Hawaii Senate Bill SB994

Hawaii 2025 Regular Session

• Introduced: 1/17/25
• Refer: 1/23/25

Caption

Relating To Energy Assistance.

Impact

The implementation of SB994 is projected to have a positive impact on state laws by enhancing the existing energy assistance landscape. With the current limitations of the federal Low-Income Home Energy Assistance Program (LIHEAP), which serves only a small fraction of those eligible, the state program aims to fill this gap by extending assistance to more residents. This legislative effort recognizes the unique energy costs faced by Hawaii's residents and seeks to promote energy efficiency through related technical assistance from the Public Utilities Commission.

Summary

SB994 establishes the Hawaii Home Energy Assistance Program aimed at providing crucial energy support to low-income households facing rising electricity costs. Given that Hawaii's electricity rates are significantly above the national average, the bill is a response to the increasing financial strain on families, particularly those living below the asset-limited, income-constrained, and employed (ALICE) threshold. The program will allow the Department of Human Services to assist more families in covering their energy bills, thereby alleviating some of the economic pressures they face.

Contention

Notably, the bill highlights a significant point of contention regarding the adequacy of federal support for energy assistance programs in Hawaii. The state has historically received the lowest federal LIHEAP funding due to an outdated allocation formula that favors states with high heating needs rather than those with high electricity costs. By establishing this state program, lawmakers hope to ensure that low-income families can access consistent and sufficient energy assistance irrespective of federal support limitations. The potential increase in funding for the program raises discussions on state budget allocations as well.