STAND. COM. REP. NO. 929-00

                                 Honolulu, Hawaii
                                                   , 2000

                                 RE: S.B. No. 2549
                                     S.D. 1
                                     H.D. 1




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committee on Energy and Environmental Protection, to
which was referred S.B. No. 2549, S.D. 1, entitled: 

     "A BILL FOR AN ACT RELATING TO ENERGY CONSERVATION TAX
     CREDITS,"

begs leave to report as follows:

     The purpose of this bill is to repeal the July 1, 2003
deadlines for energy conservation income tax credits.

     The Hawaiian Electric Company and its subsidiary utilities,
the Na Leo Pohai, the Hawaii Renewable Energy Alliance, the
Sierra Club Hawaii Chapter, and the Hawaii Solar Energy
Association testified in support of this measure.  The Tax
Foundation of Hawaii provided testimony commenting on this
measure.  The Department of Taxation testified in opposition to
this measure.

     After careful consideration, your Committee has amended this
bill by extending the respective deadlines for energy
conservation income tax credits until July 1, 2010.   

     As affirmed by the record of votes of the members of your
Committee on Energy and Environmental Protection that is attached
to this report, your Committee is in accord with the intent and
purpose of S.B. No. 2549, S.D. 1, as amended herein, and
recommends that it pass Second Reading in the form attached

 
 
 
                                 STAND. COM. REP. NO. 929-00
                                 Page 2

 
hereto as S.B. No. 2549, S.D. 1, H.D. 1, and be referred to the
Committee on Finance.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Energy and
                                   Environmental Protection,



                                   ______________________________
                                   HERMINA M. MORITA, Chair