Hawaii Senate Bill SB1342

Hawaii 2025 Regular Session

• Introduced: 1/23/25
• Refer: 1/27/25

Caption

Relating To Renewable Portfolio Standards.

Impact

A notable change introduced by SB1342 is the increasing requirement for the public utilities commission to ensure the electric utility purchases a specified quantity of renewable biofuels—20 million gallons annually by 2045. Furthermore, it emphasizes the procurement of renewable electrical energy from customer-sited generation, enhancing the diversity of the state's energy supply. The standard aims to mitigate risks associated with oil price volatility, while concurrently pushing for a shift towards cleaner sources of energy, addressing lifecycle greenhouse gas emissions more rigorously.

Summary

SB1342, relating to Renewable Portfolio Standards, seeks to amend existing laws governing the state's approach to renewable energy. The bill responds to the ongoing climate crisis and emphasizes the critical role of Hawaii's electric utility companies in adhering to renewable energy and climate objectives. The legislation aims to bolster the effectiveness of the renewable portfolio standards established over the past two decades, requiring modifications to align with emerging trends in renewable energy development, particularly regarding biofuels and the integration of distributed solar resources.

Contention

Concerns regarding the current renewable portfolio standards being overly lenient on high-carbon biofuels have prompted this legislative action. Supporters believe that it will sanitize the definition of renewable biofuels and reinforce market opportunities for locally sourced energy options. Critics, however, may argue about the feasibility of such standards leading to more stringent regulatory requirements for utilities, potentially impacting energy prices or service reliability for consumers. Additionally, discussions around capacity markets and their implementation raise questions about economic viability and fairness in the transition to renewable sources.