STAND. COM. REP. NO. 300

                                   Honolulu, Hawaii
                                                     , 1999

                                   RE:  S.B. No. 1468
                                        S.D. 1




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committees on Economic Development and Education and
Technology, to which was referred S.B. No. 1468 entitled: 

     "A BILL FOR AN ACT RELATING TO AN OCEAN FLOATING,
     ALL-NATURAL CLEAN ENERGY POWER STATION,"

beg leave to report as follows:
     
     The purpose of this measure is to appropriate $100,000 to
the University of Hawaii to study the feasibility of constructing
and operating an ocean floating, all-natural clean energy power
station in Hawaii.

     Your Committees received testimony in support of this
measure from Makai Ocean Engineering, Inc.  The Department of
Business, Economic Development, and Tourism testified in support
of the intent of the measure.  The University of Hawai`i and the
University's Environmental Center provided comments.

     Your Committees find that in 1997 the Legislature provided
$50,000 to the Hawaii Natural Energy Institute to work with the
local community to develop a strategic plan to design and build a
sustainable resource floating platform.  In December 1998, the
International Offshore Alliance convened a conference in Honolulu
to discuss this concept.  Approximately one hundred conferees
from industry, government, and academia adopted a recommendation
that Hawaii should take the next step in developing such a
platform.


 
a                                                     SB1468 SD1
 
                                   STAND. COM. REP. NO. 300
                                   Page 2


     Your Committees are supportive of the concept and believe it
is worthy of further development.  Your Committees have amended
this measure to designate the Department of Business, Economic
Development, and Tourism as the expending and reporting agency.
 
     As affirmed by the records of votes of the members of your
Committees on Economic Development and Education and Technology
that are attached to this report, your Committees are in accord
with the intent and purpose of S.B. No. 1468, as amended herein,
and recommend that it pass Second Reading in the form attached
hereto as S.B. No. 1468, S.D. 1, and be referred to the Committee
on Ways and Means.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committees on Economic
                                   Development and Education and
                                   Technology,



____________________________       ______________________________
DAVID Y. IGE, Chair                LORRAINE R. INOUYE, Chair

 
a                                                     SB1468 SD1