STAND. COM. REP. 365

Honolulu, Hawaii

, 2003

RE: H.B. No. 196

 

 

 

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Energy and Environmental Protection, to which was referred H.B. No. 196 entitled:

"A BILL FOR AN ACT RELATING TO A GEOTHERMAL-TO-HYDROGEN TAX CREDIT,"

begs leave to report as follows:

The purpose of this bill is to support the efforts to increase hydrogen production and use in Hawaii by establishing a geothermal-to-hydrogen investment tax credit (tax credit). This tax credit will equal 20 percent of the total cost of the geothermal-to-hydrogen system, including its accessories and installation.

Hawaiian Electric Company, Inc., Maui Electric Company, and Hawaii Electric Light Company testified in support of this bill. The Department of Business, Economic Development, and Tourism and Hawaii Renewable Energy Alliance supported the intent of this bill. The Department of Taxation and the Tax Foundation of Hawaii commented on this bill.

Your Committee recognizes the potential for hydrogen use and believes that this tax credit will encourage public and private investment in the development of hydrogen infrastructure in this State.

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 H.B. No. 196 and recommends that it pass Second Reading 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