hawaii incentives

HawaiiIncentives/Policies for Renewables & EfficiencyFinancial Incentives

Solar and Wind Energy Credit (Corporate)

Last DSIRE Review: 06/26/2009

http://www.dsireusa.org/incentives/allsummaries.cfm?State=HI&&re=1&ee=1&printable=1

Incentive Type: Corporate Tax CreditState: Hawaii

Eligible Renewable/Other Technologies:

Solar Water Heat, Solar Space Heat, Solar Thermal Electric, Photovoltaics, Wind

Applicable Sectors: Commercial, Residential, Multi-Family ResidentialAmount: Solar Thermal and PV: 35%;

Wind: 20%Maximum Incentive: Varies by technology and property type (see summary for details)

Carryover Provisions: Credit may be carried forward until exhausted.

Eligible System Size: Not specifiedEquipment/Installation

Requirements:System must be new and in compliance with all applicable performance and safety standards.

Web Site: http://www.hawaii.gov/dbedt/info/energy/renewable/solar

Authority 1: HRS §235-12.5Date Enacted: 1990, subsequently amended

Date Effective: 7/1/2003Expiration Date: None

Authority 2: SB 464Date Enacted: 6/25/2009

Date Effective:7/1/2009

Summary:Originally enacted in 1990, the Hawaii Energy Tax Credits allow individuals or corporations to claim an income tax credit of 20% of the cost of equipment and installation of a wind system and 35% of the cost of equipment and installation of a solar thermal or photovoltaic system. For solar thermal energy systems, the maximum allowable credits are as follows:

• Single family residential property is eligible for a credit of 35% of the actual cost or $2,250, whichever is less;

• Multi-family residential property is eligible for a credit of 35% of the actual cost or $350 per unit, whichever is less; and

• Commercial property is eligible for a credit of 35% of the actual cost or $250,000, whichever is less.

For photovoltaic systems, the maximum allowable credits are as follows:• Single family residential property is eligible for a credit of 35% of the actual cost or

$5,000, whichever is less;• Multi-family residential property is eligible for a credit of 35% of the actual cost or

$350 per unit, whichever is less; and• Commercial property is eligible for a credit of 35% of the actual cost or $500,000,

whichever is less.For wind powered energy systems the maximum allowable credits are as follows:




For a system that is business property, it is important to note that the costs that exceed the amount allowable for the maximum energy tax credit may be used for the Capital Goods Excise tax credit. In addition, for taxable years beginning after December 31, 2005, the dollar amount of any utility rebate must be deducted from the cost of the qualifying system and its installation before applying the state tax credit. For further information, please refer to the Department of Taxation's Tax Information Release 2007-02. A new provision was added to the tax credits in June 2009, with the passage of SB 464. This legislation, effective July 1, 2009, allows the tax credit to be refundable under certain conditions. For solar energy systems, a taxpayer can reduce the eligible credit amount by 30%. If this reduced amount exceeds the amount of income taxes to be paid by the taxpayer, the excess credit will be refunded to the taxpayer. For renewable energy systems, the tax credit may be refunded to certain qualified taxpayers, including taxpayers whose entire income is exempt or whose adjusted gross income is $20,000 or less (or $40,000 or less if filing jointly). Background: Since originally enacted in 1990, the Hawaii Energy Tax Credits have been amended several times. As a result of SB 855 in 2003, the tax credits were revised and extended to the end of 2007. SB 3162 of 2004, allowed for a credit that exceeds the taxpayer's income tax liability to be carried forward to subsequent years until exhausted. HB 2957, enacted in June 2006, removed the credit's sunset date, increased the maximum credit for some applications, and eliminated the provision that required new federal tax credits to be deducted from the actual cost before calculating the state tax credit. SB 644 discontinued the personal tax credit for solar water heating installations on new home construction after December 31, 2009. This legislation also disallowed residential home developers to take the tax credit for solar water heating installations in 2009.

http://www.hawaii.gov/dbedt/info/energy/renewable/solar



http://www.capitol.hawaii.gov/hrscurrent/Vol04_Ch0201-0257/HRS0235/HRS_0235-0012_0005.HTM

http://www.capitol.hawaii.gov/session2009/bills/SB464_CD2_.htm

http://www.state.hi.us/tax/tir/tir07-02.pdf

http://www.capitol.hawaii.gov/session2003/bills/sb855_.htm


http://www.capitol.hawaii.gov/session2006/Bills/SB2957_CD1_.htm













For a system that is business property, it is important to note that the costs that exceed the amount allowable for the maximum energy tax credit may be used for the Capital Goods Excise tax credit. In addition, for taxable years beginning after December 31, 2005, the dollar amount of any utility rebate must be deducted from the cost of the qualifying system and its installation before applying the state tax credit. For further information, please refer to the Department of Taxation's Tax Information Release 2007-02. A new provision was added to the tax credits in June 2009, with the passage of SB 464. This legislation, effective July 1, 2009, allows the tax credit to be refundable under certain conditions. For solar energy systems, a taxpayer can reduce the eligible credit amount by 30%. If this reduced amount exceeds the amount of income taxes to be paid by the taxpayer, the excess credit will be refunded to the taxpayer. For renewable energy systems, the tax credit may be refunded to certain qualified taxpayers, including taxpayers whose entire income is exempt or whose adjusted gross income is $20,000 or less (or $40,000 or less if filing jointly). Background: Since originally enacted in 1990, the Hawaii Energy Tax Credits have been amended several times. As a result of SB 855 in 2003, the tax credits were revised and extended to the end of 2007. SB 3162 of 2004, allowed for a credit that exceeds the taxpayer's income tax liability to be carried forward to subsequent years until exhausted. HB 2957, enacted in June 2006, removed the credit's sunset date, increased the maximum credit for some applications, and eliminated the provision that required new federal tax credits to be deducted from the actual cost before calculating the state tax credit. SB 644 discontinued the personal tax credit for solar water heating installations on new home construction after December 31, 2009. This legislation also disallowed residential home developers to take the tax credit for solar water heating installations in 2009.

Contact:

Information SpecialistHawaii Department of TaxationTaxpayer Services BranchP.O. Box 259Honolulu, HI 96809Phone: (808) 587-4242 E-Mail: [email protected] Site: http://www.state.hi.us/tax






mailto:[email protected]

http://www.state.hi.us/tax

Contact:


Priority Permit Processing for Green Buildings

Last DSIRE Review: 02/23/2009 Incentive Type: Green Building Incentive

State: HawaiiEligible Efficiency

Technologies: Comprehensive Measures/Whole BuildingEligible Renewable/Other Technologies:

Passive Solar Space Heat, Solar Water Heat, Solar Space Heat, Photovoltaics, Wind, Biomass, Geothermal Heat Pumps, Daylighting, Small Hydroelectric

Applicable Sectors:Authority 1: HRS §46-19.6

Date Enacted: 5/12/2006Date Effective:

5/12/2006

Summary:Hawaii Revised Statutes (HRS) §46-19.6 requires each county agency that issues building, construction, or development-related permits to establish a procedure for priority processing of permit applications for construction projects incorporating energy and environmental design building standards. The priority processing will be provided at no additional cost. Buildings eligible for priority processing are those that meet the "energy and environmental design building standards". These standards can be achieved by earning either a LEED silver rating, a two Green Globes rating, or a comparable state-approved, nationally recognized, and consensus-based guideline, standard, or system. For further information, contact your county building department.

High Technology Business Investment Tax Credit



http://www.capitol.hawaii.gov/hrscurrent/Vol02_Ch0046-0115/HRS0046/HRS_0046-0019_0006.htm

Last DSIRE Review: 07/23/2009 Incentive Type: Industry Recruitment/Support

State: HawaiiEligible Renewable/Other Technologies:

Solar Water Heat, Solar Space Heat, Solar Thermal Electric, Solar Thermal Process Heat, Photovoltaics, Landfill Gas, Wind, Biomass, Hydroelectric, Renewable Transportation Fuels, Geothermal Electric, Fuel Cells, Geothermal Heat Pumps, Wave Energy, Ocean Thermal

Applicable Sectors: IndustrialAmount: 100% (over five years)

Maximum Incentive: $2,000,000 (over five years)Web Site: http://www.state.hi.us/tax/a2_b2_6hi_tech.htm

Authority 1: HRS § 235-110.9Expiration Date: 12/31/10

Summary:NOTE: With the passage of SB 199 in July 2009, several temporary changes were made to this tax credit. For tax years beginning January 1, 2009 until January 1, 2011, there is a temporary cap on the amount of credit a taxpayer can receive. The amount of credit a taxpayer can take for investments in a qualified high tech business, where the property is placed in service on or after May 1, 2009, is limited to 80% of the taxpayer's income tax liability. For these years, excess credit cannot be carried over. On July 1, 2001, Hawaii became the only state in the nation to offer a 100% tax credit on an equity investment in a qualified high tech business (QHTB). The purpose of this credit is to encourage investment in Hawaii's high tech companies. A "qualified high technology business" is defined as "a business that conducts more than fifty per cent of its activities in qualified research." Qualified research includes development of energy technologies based on non-fossil sources such as "wind, solar energy, hydropower, geothermal resources, ocean thermal energy conversion, wave energy, hydrogen, fuel cells, landfill gas, waste to energy, biomass including municipal solid waste, and biofuels." The credit will be allocated as follows: (1) 35% in the year the investment was made (maximum credit of $700,000) (2) 25% in the first year following the year in which the investment was made (maximum credit of $500,000) (3) 20% in the second year following the investment (maximum credit of $400,000) (4) 10% in the third year following the investment (maximum credit of $200,000) (5) 10% in the fourth year following the investment (maximum credit of $200,000) HB 2396 of 2004 extended the expiration date of the tax credit the end of 2010 (previously 12/31/05).

http://www.state.hi.us/tax/a2_b2_6hi_tech.htm



Summary:NOTE: With the passage of SB 199 in July 2009, several temporary changes were made to this tax credit. For tax years beginning January 1, 2009 until January 1, 2011, there is a temporary cap on the amount of credit a taxpayer can receive. The amount of credit a taxpayer can take for investments in a qualified high tech business, where the property is placed in service on or after May 1, 2009, is limited to 80% of the taxpayer's income tax liability. For these years, excess credit cannot be carried over. On July 1, 2001, Hawaii became the only state in the nation to offer a 100% tax credit on an equity investment in a qualified high tech business (QHTB). The purpose of this credit is to encourage investment in Hawaii's high tech companies. A "qualified high technology business" is defined as "a business that conducts more than fifty per cent of its activities in qualified research." Qualified research includes development of energy technologies based on non-fossil sources such as "wind, solar energy, hydropower, geothermal resources, ocean thermal energy conversion, wave energy, hydrogen, fuel cells, landfill gas, waste to energy, biomass including municipal solid waste, and biofuels." The credit will be allocated as follows: (1) 35% in the year the investment was made (maximum credit of $700,000) (2) 25% in the first year following the year in which the investment was made (maximum credit of $500,000) (3) 20% in the second year following the investment (maximum credit of $400,000) (4) 10% in the third year following the investment (maximum credit of $200,000) (5) 10% in the fourth year following the investment (maximum credit of $200,000) HB 2396 of 2004 extended the expiration date of the tax credit the end of 2010 (previously 12/31/05).

Contact:

Technical SectionHawaii Department of TaxationTaxpayer Services BranchP.O. Box 259Honolulu, HI 96809Phone: (808) 587-1577 E-Mail: [email protected] Site: http://www.state.hi.us/tax/tax.html

Honolulu - Solar Roofs Initiative Loan Program



http://www.state.hi.us/tax/tax.html

Last DSIRE Review: 05/21/2009 Incentive Type: Local Loan Program


Solar Water Heat

Applicable Sectors: Residential, Island of OahuAmount: Low Interest loan of 0% or 2% (depending on income)

Maximum Incentive: VariesTerms: Income restrictions apply; 7 year loan payback period

Web Site: http://www.heco.com/portal/site/heco/menuitem.508576f78baa14340b4c0610c510b1ca/?vgnextoid=b28c5e658e0fc010VgnVCM1000008119fea9RCRD&vgnextfmt=default

Summary:The Honolulu Solar Roofs Loan Program is made possible through a partnership between Hawaiian Electric Company (HECO) and the City and County of Honolulu. The program offers low-interest loans (0% or 2%) to income-qualified homeowners on Oahu for the installation of solar water heating systems through the City's Rehabilitation Loan Program. The contract occurs between the City and County of Honolulu, who provides the funding, and the residential customer, with HECO facilitating the installation of the solar hot water heaters. The low-interest loans are available for single-family homes, condominiums, and co-ops. The maximum loan is $80,000 for each dwelling unit for owner-occupied properties, up to four dwelling units and not to exceed $125,000 per property. For all other properties, the maximum loan amount is determined by a formula. Most solar hot water heater installations cost approximately $5,000 to $6,000. Loans will be secured by a promissory note and a mortgage on the property. Qualification is dependent on income level (guidelines available on program website). The program is designed to assist low-income and moderate-income homeowners, or landlords renting to low- to moderate-income tenants. Landlords must rent their properties to tenants who fall within the income limits set by the City. Please visit the City and County of Honolulu FAQ website for more qualification guidelines. For more information, please visit the City and County of Honolulu website to download an application.

Contact:

Honolulu Solar Roofs InitiativeCity and County of HonoluluSolar Roofs Initiative51 Merchant St.Honolulu, HI 96813Phone: (808) 523-4207 Fax: (808) 527-5546Web Site: http://www.co.honolulu.hi.us/dcs/housingloans.htm

http://www.heco.com/portal/site/heco/menuitem.508576f78baa14340b4c0610c510b1ca/?vgnextoid=b28c5e658e0fc010VgnVCM1000008119fea9RCRD&vgnextfmt=default





http://www.co.honolulu.hi.us/dcs/faqs.htm

http://www.co.honolulu.hi.us/dcs/housingloans.htm


Contact:

Honolulu Solar Roofs InitiativeCity and County of HonoluluSolar Roofs Initiative51 Merchant St.Honolulu, HI 96813Phone: (808) 523-4207 Fax: (808) 527-5546Web Site: http://www.co.honolulu.hi.us/dcs/housingloans.htm

Maui County - Solar Roofs Initiative Loan Program

Last DSIRE Review: 01/20/2009 Incentive Type: Local Loan Program

State: HawaiiEligible

Renewable/Other

Technologies:

Solar Water Heat

Applicable Sectors:

Residential

Amount: Zero-interest loansTerms: Repayment based on savings expected; income restrictions apply

Web Site:

http://www.mauielectric.com/portal/site/meco/menuitem.ed4aed221358a44973b5c410c510b1ca/?vgnextoid=f94c5e658e0fc010VgnVCM1000008119fea9RCRD&vgnextfmt=default&cpsextcurrchannel=1

Summary:In September 2002, Maui Electric Company (MECO) and the County of Maui teamed up to launch the Maui Solar Roofs Initiative to increase the use of renewable energy in Maui County. MECO administers the loan program and, through the Hawaii Energy Efficiency Program (HEEP), offers a $1,000 rebate for installations through its approved solar contractors. Residential homeowners with existing electric water heaters are eligible and must provide a down payment equal to 35% of the system cost after HEEP’s rebate. This program also accepts applications from renters who have the property owner's permission. Funds are provided by the County of Maui and MECO administers the loans. To date, the County of Maui has funded a total of $700,000. This funding goes into a revolving fund for interest free loans for the installation of solar water heating. Loan payments are based on expected monthly savings. As payments replenish the fund, more applicants can be served. Some of the funds have been designated for households at or below the median income. Call MECO at 1-808-871-2330 for more information or visit the website shown above.







Summary:In September 2002, Maui Electric Company (MECO) and the County of Maui teamed up to launch the Maui Solar Roofs Initiative to increase the use of renewable energy in Maui County. MECO administers the loan program and, through the Hawaii Energy Efficiency Program (HEEP), offers a $1,000 rebate for installations through its approved solar contractors. Residential homeowners with existing electric water heaters are eligible and must provide a down payment equal to 35% of the system cost after HEEP’s rebate. This program also accepts applications from renters who have the property owner's permission. Funds are provided by the County of Maui and MECO administers the loans. To date, the County of Maui has funded a total of $700,000. This funding goes into a revolving fund for interest free loans for the installation of solar water heating. Loan payments are based on expected monthly savings. As payments replenish the fund, more applicants can be served. Some of the funds have been designated for households at or below the median income. Call MECO at 1-808-871-2330 for more information or visit the website shown above.

Contact:

Cheryl CorreaMaui Electric Company, LTDMaui Solar Roofs InitiativeP.O. Box 398Kahului, HI 96733-6898Phone: (808) 871-2330 Fax: (808) 872-3235E-Mail: [email protected] Site: http://www.mauielectric.com

Solar and Wind Energy Credit (Personal)



http://www.mauielectric.com/

Incentive Type: Personal Tax CreditState: Hawaii


Solar Water Heat, Solar Space Heat, Photovoltaics, Wind

Applicable Sectors: Commercial, Residential, Multi-Family ResidentialAmount: Solar Thermal and PV: 35%;

Wind: 20%Maximum Incentive: Varies by technology and property type (see summary for details)

Carryover Provisions: Excess credit may be carried forward until exhausted.

Eligible System Size: Not specifiedEquipment/Installation

Requirements:System must be new and in compliance with all applicable performance and safety standards.

Web Site: http://www.hawaii.gov/dbedt/info/energy/renewable/solar

Authority 1: HRS §235-12.5Date Enacted: 1990, subsequently amended

Date Effective: 7/1/2003Expiration Date: None

Authority 2: HB 1464Date Enacted: 6/25/2009

Date Effective: 7/1/2009Authority 3: SB 464

Date Enacted: 6/25/2009Date Effective: 7/1/2009












Legislation passed in June 2009 made several changes to the tax credits. HB 1464, signed by the governor in June 2009, addressed renewable energy systems that are used to obtain a variance from the solar water heating (SWH) system requirement. Wind energy systems installed on new single-family homes after December 31, 2009 that are used to get a variance from the SWH requirement will not be eligible for the tax credit. Solar photovoltaic systems installed on new single-family homes after December 31, 2009 that are used to get a variance from the SWH requirement will be eligible for a reduced tax credit. This tax credit will be reduced by 35% of the actual system cost or $2,250, whichever is less. SB 464, enacted in June 2009, allows the tax credit to be refundable under certain conditions. For solar energy systems, a taxpayer can reduce the eligible credit amount by 30%. If this reduced amount exceeds the amount of income tax payment due from the taxpayer, the excess credit will be refunded to the taxpayer. For renewable energy systems, the tax credit may be refunded to certain qualified taxpayers, including taxpayers whose entire income is exempt or whose adjusted gross income is $20,000 or less (or $40,000 or less if filing jointly). For a system that is business property, it is important to note that the costs that exceed the amount allowable for the maximum energy tax credit may be used for the Capital Goods Excise tax credit. In addition, for taxable years beginning after December 31, 2005, the dollar amount of any utility rebate must be deducted from the cost of the qualifying system and its installation before applying the state tax credit. For further information, please refer to the Department of Taxation's Tax Information Release 2007-02. Background: Since originally enacted in 1990, the Hawaii Energy Tax Credits have been amended several times. As a result of SB 855 in 2003, the tax credits were revised and extended to the end of 2007. SB 3162 of 2004, allowed for a credit that exceeds the taxpayer's income tax liability to be carried forward to subsequent years until exhausted. HB 2957, enacted in June 2006, removed the credit's sunset date, increased the maximum credit for some applications, and eliminated the provision that required new federal tax credits to be deducted from the actual cost before calculating the state tax credit. SB 644 discontinued the personal tax credit for solar water heating installations on new home construction after December 31, 2009. This legislation also disallowed residential home developers to take the tax credit for solar water heating installations in 2009.





http://www.capitol.hawaii.gov/session2009/bills/HB1464_CD1_.htm



















Contact:


Hawaii Feed-in Tariff

Last DSIRE Review: 10/02/2009 Incentive Type: Production Incentive


Solar Thermal Electric, Photovoltaics, Wind, Hydroelectric, Small Hydroelectric

Applicable Sectors: Commercial, Industrial, ResidentialAmount: Rate not yet determined

Maximum Incentive: Systems up to 5 MW are eligible, though system size cap varies by technology and island

Terms: 20 year contractAuthority 1: HI PUC Decision and Order, Docket 2008-0273

Date Enacted: 9/25/2009

Summary:In September 2009, the Hawaii Public Utilities Commission (PUC) issued a decision that established a feed-in tariff in Hawaii. The feed-in tariff will be offered by the three investor-owned utilities: HECO, MECO and HELCO. In October 2008, the PUC opened a docket to review the development of a feed-in tariff. The creation of the feed-in tariff is in accordance with the Hawaii Clean Energy Initiative, and serves to formalize some of the goals established in 2008. Several renewable energy technologies are eligible for the feed-in tariff, including solar photovoltaics, concentrating solar power, on-shore wind and in-line hydropower. Under this program, qualified projects will receive a fixed rate over a 20-year contract. The PUC must still set the rate for different renewable energy technologies. This program will be reviewed by the PUC two years after the start of the program and every three years thereafter. Background In January 2008, the U.S. Department of Energy (DOE) and the State of Hawaii signed a Memorandum of Understanding (MOU) establishing the Hawaii Clean Energy Initiative. This agreement established an aggressive goal to help Hawaii greatly increase its renewable and clean energy production capabilities, and to transition exclusively to renewable energy use on the smaller islands. Although the MOU is not legally binding, it has the potential to help reduce oil consumption in Hawaii by 72% if implementation is successful.








http://www.dsireusa.org/documents/Incentives/HI29F.pdf

Summary:In September 2009, the Hawaii Public Utilities Commission (PUC) issued a decision that established a feed-in tariff in Hawaii. The feed-in tariff will be offered by the three investor-owned utilities: HECO, MECO and HELCO. In October 2008, the PUC opened a docket to review the development of a feed-in tariff. The creation of the feed-in tariff is in accordance with the Hawaii Clean Energy Initiative, and serves to formalize some of the goals established in 2008. Several renewable energy technologies are eligible for the feed-in tariff, including solar photovoltaics, concentrating solar power, on-shore wind and in-line hydropower. Under this program, qualified projects will receive a fixed rate over a 20-year contract. The PUC must still set the rate for different renewable energy technologies. This program will be reviewed by the PUC two years after the start of the program and every three years thereafter. Background In January 2008, the U.S. Department of Energy (DOE) and the State of Hawaii signed a Memorandum of Understanding (MOU) establishing the Hawaii Clean Energy Initiative. This agreement established an aggressive goal to help Hawaii greatly increase its renewable and clean energy production capabilities, and to transition exclusively to renewable energy use on the smaller islands. Although the MOU is not legally binding, it has the potential to help reduce oil consumption in Hawaii by 72% if implementation is successful.

Contact:

Public Information - Hawaii PUCHawaii Public Utilities Commission465 South King Street, Room 103Honolulu, HI 96813Phone: (808) 586-2020 E-Mail: [email protected] Site: http://www.hawaii.gov/budget/puc

Honolulu - Real Property Tax Exemption for Alternative Energy Improvements



http://www.hawaii.gov/budget/puc

Incentive Type: Property Tax ExemptionState: Hawaii


Solar Water Heat, Solar Thermal Electric, Photovoltaics, Landfill Gas, Wind, Biomass, Municipal Solid Waste, CHP/Cogeneration, Solar Pool Heating, Anaerobic Digestion, Tidal Energy, Wave Energy

Applicable Sectors: Commercial, Industrial, ResidentialAmount: 100%; only alternative energy property and part of building necessary

for improvement is eligible for exemptionTerms: Exempt from property taxes for 25 years

Authority 1: Honolulu City Council Bill 58Date Effective: 10/1/2009

Summary: In September 2009, the Honolulu City Council unanimously passed Bill 58 to create a real property tax exemption for alternative energy improvements. This bill became effective October 1, 2009. The alternative energy property installed on a building, property, or land is exempt from property taxes for 25 years. For the purposes of this property tax exemption, alternative energy sources include solar, wind, hydropower, tidal, wave, solid waste and increased efficiency in fossil-fuel burning facilities. Energy sources based on fossil fuels, nuclear fuels or geothermal energy are not eligible for this exemption.

Farm and Aquaculture Alternative Energy Loan


http://www.dsireusa.org/documents/Incentives/HI28F.pdf

Incentive Type: State Loan ProgramState: Hawaii


Photovoltaics, Wind, Biomass, Hydroelectric, Ethanol, Biodiesel

Applicable Sectors: Agricultural, AquaculturalAmount: 85% of the project cost

Maximum Incentive: $1,500,000Terms: 3% interest rate for agriculture, 5% interest rate for aquaculture, 40-

year termProject Review/

Certification:Applicant must be a qualified farmer or aquaculturist of sound credit rating with the ability to repay the money borrowed, as determined by the Department of Agriculture.

Funding Source: HI Department of AgricultureWeb Site: http://hawaii.gov/

hdoa/agl/alternative-energy-loansAuthority 1: HRS § 155-8 et seq.

Date Effective: 7/1/2008Authority 2: HB 2261


7/1/2008

Summary:In July 2008 Hawaii enacted legislation (HB 2261) which created a loan program for agriculture and aquaculture renewable energy projects. Farmers and aquaculturists may receive loans for projects involving photovoltaic (PV) energy, hydroelectric power, wind power generation, methane generation, bio-diesel and ethanol production. Loans may provide up to 85% of the project cost (up to a maximum of $1,500,000) for a term of up to forty years. To be eligible, the applicant must be a qualified farmer or aquaculturist with a sound credit rating and the ability to repay the loan, as determined by the Department of Agriculture. These renewable energy loans fall into class "H" which carries a 3% interest rate for agriculture. The interest rate for aquaculture projects is 5%. If the money loaned is borrowed by the Department of Agriculture, the interest rate will be the greater of 3% for agriculture and 5% for aquaculture or 1% greater than the State’s cost of borrowing the money. The Department of Agriculture generally funds these loans using existing revolving loan funds rather than obtaining outside funding. These loans bear simple interest on the unpaid principal balance, charged on the actual amount disbursed to the borrower.

http://hawaii.gov/hdoa/agl/alternative-energy-loans



http://www.capitol.hawaii.gov/hrscurrent/Vol03_Ch0121-0200D/HRS0155/HRS_0155-0008.htm

http://www.capitol.hawaii.gov/session2008/bills/HB2261_SD1_.htm

Contact:

Public Information - HDOA Hawaii Department of Agriculture1428 S. King StreetHonolulu, HI 96814Phone: (808) 973-9560 E-Mail: [email protected]

KIUC - Solar Water Heating Loan Program

Last DSIRE Review: 01/15/2009 Incentive Type: Utility Loan Program


Solar Water Heat

Applicable Sectors: Residential, Multi-Family Residential, Low-Income ResidentialTerms: Interest-free loans

Distributions: 5 years of monthly interest payments from KIUC to lenderNo down paymentCustomer makes 60 monthly payments to lender based on loan amount

Web Site: http://www.kiuc.coop/co-opportunities/index.htm

Summary:Through a partnership with Kauai Community Federal Credit Union (KCFCU) and Kauai County Housing Agency (KCHA), the Kauai Island Utility Cooperative (KIUC) provides qualifying members with interest-free loans for solar water heating systems. KCHA, through funding from the Community Development Block Grant Program, and KCFCU provide funding for the loans. KIUC pays the interest, markets the program and verifies that systems will meet Energy Wise program standards for sizing and installation. Participants pay the loan back to the lender with 60 monthly payments (no down payment is required). KIUC pays the interest on the loan directly to the lender for the customer. Participating members also make their monthly payments directly to the lender. There is no maximum loan amount, however commercial systems are not eligible. The state of Hawaii also offers tax credits for solar water heating systems.


http://www.kiuc.coop/co-opportunities/index.htm

Contact:

Raymond MiertaKauai Island Utility CoopEnergy Wise Programs4463 Pahee StreetLihue, HI 96766Phone: (808) 246-8284 Phone 2: (808) 246-8280Fax: (808) 246-8268E-Mail: [email protected] Site: http://www.kiuc.coop/

Hawaii Energy - Energy Solutions Business Appliance Rebates and Customized Incentives Program



http://www.kiuc.coop/

Incentive Type: Utility Rebate ProgramState: Hawaii

Eligible Efficiency Technologies:

Water Heaters, Lighting, Lighting Controls/Sensors, Chillers, Heat pumps, Air conditioners, Heat recovery, Windows, Motors, Processing and Manufacturing Equipment, Custom/Others pending approval, Booster Pump

Applicable Sectors: Commercial, IndustrialAmount: Lighting: $4.80 - $85 for retrofits, $2.50 - $50 for new construction;

Occupancy Sensors: $20Window Film Shading: $0.35 per square footMotors: $6-15 per horsepower; A/C Units and Chillers– $20-$160 per ton + $40-$250 for every 1 EER above Energy Star qualifying efficiencyHVAC Fan/Pump VFD: $50-$80 per horsepowerBooster Pump: $1600 + ($65 per system HP reduced)

Maximum Incentive: Varies by technologyEquipment

Requirements:All room (window) air conditioners must be Energy Star rated. All Packaged, Split Systems and Chiller cooling equipment must meet Air-Conditioning and Refrigeration Institute standards. Motor (3-phase) Must be NEMA and Premium Efficient RatedWindow Film Shading coefficient must be 0.40 or less.

Installation Requirements:

Rebates for screw-in CFLs and HPS/MH fixtures for new construction projects are no longer offered.

Expiration Date: 12/31/09Project Review/

Certification:Customized Incentives: Projects are evaluated on a case-by-case basis. Example: $0.05 per kWh saved for retrofits, $0.06 per kWh saved new construction, $125 per kW reduced during peak demand periods.

Web Site: http://www.hawaiienergy.com/

Summary: As part of the Energy Solutions Business program, the Hawaii Energy Efficiency Program provides rebates for purchases of individual energy-efficient appliances. These rebates are available to customers of HECO, HELCO, and MECO as part of Hawaii's public benefits fund administered by Hawaii Energy. Rebates vary based on energy savings, whether the purchase is for retrofitting or new construction, and in some cases, size of equipment. These rebates cover many of the energy-efficiency options for businesses, and those that are not covered specifically may fit into the Customized Incentives Program, which includes (but is not limited to) window tinting, adjustable speed drives, air conditioning system improvements, process heat recovery, booster pump, heat pump water heaters, and solar water heating. Please refer to the program website for more information.

http://www.hawaiienergy.com/

Summary: As part of the Energy Solutions Business program, the Hawaii Energy Efficiency Program provides rebates for purchases of individual energy-efficient appliances. These rebates are available to customers of HECO, HELCO, and MECO as part of Hawaii's public benefits fund administered by Hawaii Energy. Rebates vary based on energy savings, whether the purchase is for retrofitting or new construction, and in some cases, size of equipment. These rebates cover many of the energy-efficiency options for businesses, and those that are not covered specifically may fit into the Customized Incentives Program, which includes (but is not limited to) window tinting, adjustable speed drives, air conditioning system improvements, process heat recovery, booster pump, heat pump water heaters, and solar water heating. Please refer to the program website for more information.

Contact:

Derrick SonodaHawaii Energy Efficiency ProgramPO Box 2040Honolulu, HI 96805Phone: (808) 537-5577 Fax: (808) 441-6068E-Mail: [email protected] Site: http://www.hawaiienergy.com

Hawaii Energy - Energy Solutions Water Heater Rebate





Eligible Efficiency Technologies: Water Heaters

Applicable Sectors: ResidentialAmount: High Efficiency Electric Water Heater: $40 - $70

Heat Pump Water Heater: $175Equipment

Requirements: High efficiency water heaters must be program approved modelsInstallation

Requirements: For retrofit onlyWeb Site: http://www.hawaiienergy.com/

Summary:As part of the Energy Solutions programs, the Hawaii Energy Efficiency Program provide rebates for high-efficiency water heaters and heat pump water heaters for replacements of existing residential systems. These rebates are available to customers of HECO, HELCO, and MECO as part of Hawaii's public benefits fund administered by Hawaii Energy. High-efficiency water heater rebates vary based on tank size. In order to be eligible for this rebate, residents must live in their homes year round and purchase a program approved model. Interested customers can view a list of retailers selling eligible models on the program website, fill out the rebate application, and call an approved contractor. This rebate is separate from the Hawaii Energy Solar Water Heater Rebate.

Contact:


Hawaii Energy - Energy Star Appliance Rebate Program



http://dsireusa.org/incentives/incentive.cfm?Incentive_Code=HI06F&re=1&ee=1





Clothes Washers, Dishwasher, Refrigerators/Freezers, Ceiling Fan, Air conditioners

Applicable Sectors: ResidentialAmount: Ceiling Fans: $40

Clothes Washer: $50 Refrigerators: $50 Dish Washers: $50 Room Air Conditioner: $75 Central Air Conditioner Servicing: $50

Equipment Requirements: Appliances must be Energy Star rated.

Project Review/Certification:

Customers must provide the original sales receipt indicating date of purchase, dealer’s name and address, manufacturer, model number and quantity purchased.

Web Site: http://www.hawaiienergy.com/

Summary:The Hawaii Energy Efficiency Program offers incentives for residential customers on Oahu with the Energy Star Appliance Rebate Program. Rebates are available for a variety of appliances, room air conditioners and the servicing of central air conditioners. Appliances must be installed in Oahu and participants must apply for rebate within six months of purchasing the appliance. The incentive is limited to one of each appliance with the exception of ceiling fans and air conditioners, of which participants can claim rebates for up to five purchases. Additional restrictions apply; interested customers should visit the program website for more information.

Contact:





Hawaii Energy - Solar Water Heater Rebate

Last DSIRE Review: 09/09/2009 Incentive Type: Utility Rebate Program


Solar Water Heat

Applicable Sectors: Commercial, ResidentialAmount: Residential: $1,000; commercial: $125 per deferred kW, plus $0.05/

kWh for retrofits and $0.06/kWh for new constructionWeb Site: http://www.hawaiienergy.com/solar/index.html

Summary:The Hawaii Energy Efficiency Program, a third-party administered public benefit fund, provides incentives for energy efficiency and conservation to customers of the Hawaiian Electric Company (HECO) and its subsidiaries, Maui Electric Company (MECO) and Hawaii Electric Light Company (HELCO). Residential customers who install solar water heaters are eligible for a one-time rebate of $1,000. Commercial customers may receive custom incentives. The program, which began in June 1996, has supported the installation of more than 50,000 home solar water heaters in Hawaii. In July 2009, the administration of this rebate program transferred from the utilities over to the Hawaii Energy Efficiency Program. The residential program for solar water heater rebates offers $1,000 for retrofits or systems installed on new construction in the service territory of HECO, MECO or HELCO. The commercial rebate for solar water heaters is offered as a custom incentive on a case-by-case basis to HECO, MECO and HELCO customers. Commercial customers receive $125 per deferred kilowatt (kW) that is coincident with peak electric demands, plus $0.05 per kilowatt-hour (kWh) for retrofits and $0.06 per kWh for new construction, based on estimated annual energy savings calculated at time of installation. The Hawaii Energy Efficiency Program provides a list of participating contractors that have agreed to comply with the programs' rigorous standards regarding equipment use and installation. A participating contractor will visit the home or business, analyze the building's hot water usage, and provide a bid for a complete installation, including the anticipated energy savings. When a system is installed, the contractor will instantly deduct the rebate from the installed cost of the system. The Hawaii Energy Efficiency Program will perform a comprehensive post-installation inspection to ensure the system was installed to meet the proper standards. Customers may also qualify for the 35% Hawaii State Energy Tax Credit and the 30% federal tax credit for solar water heaters.

http://www.hawaiienergy.com/solar/index.html

Contact:


KIUC - Efficient Appliance Rebate Program



Technologies: Clothes Washers, Dishwasher, Refrigerators/FreezersApplicable Sectors: Residential

Amount: variesInstallation

Requirements:Refrigerators - February 1, 2009 - March 31, 2009 Rebate Submittal Deadline: April 30, 2009Clothes Washers - May 1, 2009 - June 30, 2009 Rebate Submittal Deadline: June 30, 2009Dishwashers - August 1, 2009 - September, 30, 2009 Rebate Submittal Deadline: October 31, 2009

Web Site:http://www.kiuc.coop/co-opportunities/links/res/appliancerebateprogram.htm

Summary:Kauai Island Utility Coop, a Touchstone Energy Cooperative, offers revolving residential rebates for efficient appliances. The goal of the program is to put inefficient home appliances into "early retirement" by providing members an incentive to replace existing ones. Typically KIUC offers refrigerator, clothes washer and dishwasher rebates at varying times throughout the year. Rebates for one type of appliance are usually offered for two months before they are replaced by rebates for another appliance. To see the rebate schedule, visit the program website listed above.



http://www.kiuc.coop/co-opportunities/links/res/appliancerebateprogram.htm

http://www.kiuc.coop/co-opportunities/links/res/appliancerebateprogram.htm

Summary:Kauai Island Utility Coop, a Touchstone Energy Cooperative, offers revolving residential rebates for efficient appliances. The goal of the program is to put inefficient home appliances into "early retirement" by providing members an incentive to replace existing ones. Typically KIUC offers refrigerator, clothes washer and dishwasher rebates at varying times throughout the year. Rebates for one type of appliance are usually offered for two months before they are replaced by rebates for another appliance. To see the rebate schedule, visit the program website listed above.

Contact:


KIUC - Energy Wise Commercial Energy Efficiency Program



Technologies: Custom/Others pending approvalApplicable Sectors: Commercial

Amount: variesProject Review/

Certification: KIUC performs a verification visitWeb Site: http://www.kiuc.coop/co-opportunities/links/com/ewc.htm

Summary:Kauai Island Utility Cooperative, a Touchstone Energy Cooperative, offers its commercial customers of all rate classes financial incentives for installing energy efficient equipment. The opportunities for equipment replacement are identified by a survey provided by KIUC’s Commercial Energy Services Representative. Once a survey has been completed, KIUC will deliver a report that identifies energy-saving measures. After the equipment has been installed, KIUC performs a verification visit to insure that all the specified equipment has been installed and is operating properly. Once verified, an incentive payment is issued.



http://www.kiuc.coop/co-opportunities/links/com/ewc.htm

Summary:Kauai Island Utility Cooperative, a Touchstone Energy Cooperative, offers its commercial customers of all rate classes financial incentives for installing energy efficient equipment. The opportunities for equipment replacement are identified by a survey provided by KIUC’s Commercial Energy Services Representative. Once a survey has been completed, KIUC will deliver a report that identifies energy-saving measures. After the equipment has been installed, KIUC performs a verification visit to insure that all the specified equipment has been installed and is operating properly. Once verified, an incentive payment is issued.

Contact:

Paul DanielsKauai Island Utility Cooperative4463 Pahe`e Street, Suite 1Lihue, HI 96766Phone: (808) 246-8275 Phone 2: (880) 824-6430Fax: (808) 246-8268E-Mail: [email protected] Site: http://www.kiuc.coop

KIUC - Solar Water Heating Rebate Program



Solar Water Heat

Applicable Sectors: Commercial, ResidentialAmount: Residential: $800; Commercial: 50% - 80% of equipment costs

Web Site: http://www.kiuc.coop/co-opportunities/index.htm

Summary:Kaua'i Island Utility Cooperative's Commercial Energy Wise Program began in 1998. Participants will receive an energy use analysis and screening for the installation of cost-effective energy saving devices, which includes solar water heating systems. Commercial customers are eligible for a 50% to 80% rebate for such devices. Residential customers are eligible for a flat $800 rebate for each solar system installed.



http://www.kiuc.coop/co-opportunities/index.htm

Contact:


Rules, Regulations & Policies

Hawaii Building Energy Code

Last DSIRE Review: 12/07/2009 Incentive Type: Building Energy Code


Technologies: Comprehensive Measures/Whole BuildingApplicable Sectors: Commercial, Residential

Residential Code: The Hawaii Model Energy Code exceeds 1995 MEC, voluntary statewide and mandatory in the counties of Honolulu and Maui.

Commercial Code: ASHRAE/IESNA 90.1-1989 with modifications, mandatory in Hawaii County. Honolulu, Kauai and Maui Counties have adopted ASHRAE 90.1-1999.

Code Change Cycle: No set schedule. Most recent update: April 25, 2005.Web Site: http://www.bcap-energy.org/node/64

Summary: Much of the information presented in this summary is drawn from the U.S. Department of Energy’s (DOE) Building Energy Codes Program and the Building Codes Assistance Project (BCAP). For more detailed information about building energy codes, visit the DOE and BCAP websites. No schedule exists for making statewide changes to the Hawaii Model Energy Code (HMEC). Each county reviews its code periodically. If changes are deemed necessary on a statewide basis, the Department of Business, Economic Development, and Tourism (DBEDT) submits proposed legislation to the state legislature. Following final passage, any new criteria becomes effective after an appropriate lead-in time. In May 2009, the Hawaii County Council adopted the 2006 IECC with state-specific amendments. Among them, the new code gives options for roof insulation including cool roofs, advanced ventilation, and low emittance roofs by testing or specification. It also has more stringent requirements regarding pools as well as mandatory HVAC and other system commissioning. On October 13, 2009, the Hawaii Building Code Council approved the 2006 IECC with state-specific amendments as the statewide energy code. The code will become law once an Administrative Directive is approved. The counties of Hawaii are free to modify the statewide code, as long as the codes they adopt are at least as stringent.



http://www.bcap-energy.org/node/64

http://www.energycodes.gov/implement/state_codes/index.stm

http://www.bcap-energy.org/

Summary: Much of the information presented in this summary is drawn from the U.S. Department of Energy’s (DOE) Building Energy Codes Program and the Building Codes Assistance Project (BCAP). For more detailed information about building energy codes, visit the DOE and BCAP websites. No schedule exists for making statewide changes to the Hawaii Model Energy Code (HMEC). Each county reviews its code periodically. If changes are deemed necessary on a statewide basis, the Department of Business, Economic Development, and Tourism (DBEDT) submits proposed legislation to the state legislature. Following final passage, any new criteria becomes effective after an appropriate lead-in time. In May 2009, the Hawaii County Council adopted the 2006 IECC with state-specific amendments. Among them, the new code gives options for roof insulation including cool roofs, advanced ventilation, and low emittance roofs by testing or specification. It also has more stringent requirements regarding pools as well as mandatory HVAC and other system commissioning. On October 13, 2009, the Hawaii Building Code Council approved the 2006 IECC with state-specific amendments as the statewide energy code. The code will become law once an Administrative Directive is approved. The counties of Hawaii are free to modify the statewide code, as long as the codes they adopt are at least as stringent.

Contact:

Howard WiigHawaii Department of Business, Economic Development, and TourismEnergy DivisionP.O. Box 2359Honolulu, HI 96804Phone: (808) 587-3811 Fax: (808) 587-3820E-Mail: [email protected] Site: http://www.hawaii.gov/dbedt/info/energy

Solar Water Heating Requirement for New Residential Construction


http://www.energycodes.gov/implement/state_codes/index.stm

http://www.bcap-energy.org/


http://www.hawaii.gov/dbedt/info/energy

Incentive Type: Building Energy CodeState: Hawaii


Solar Water Heat

Applicable Sectors: ResidentialResidential Code: Solar water heaters are required on new single-family residential

construction beginning 1/1/2010Authority 1: HRS § 196-6.5

Date Enacted: 6/26/2008Date Effective: 1/1/2010

Authority 2: HB 1464Date Enacted: 6/25/2009

Date Effective: 7/1/2009

Summary:In June 2008, Hawaii enacted legislation, SB 644, with the intent to require solar water-heating (SWH) systems to be installed on all single-family new home construction, with a few exceptions. This legislation had several errors that were corrected by legislation passed during the 2009 legislative session. In June 2009, HB 1464 was signed by the governor and addressed the errors in the previous solar water heating requirement. Beginning January 1, 2010, building permits may not be issued for new single-family homes that do not include a SWH system. The state energy resources coordinator may provide a variance for this requirement if:

• Installation is impracticable due to poor solar resource;• Installation is cost-prohibitive based upon a life cycle cost-benefit analysis that

incorporates the average residential utility bill and the cost of the new SWH system with a life cycle that does not exceed 15 years;

• A renewable energy technology system is substituted for use as the primary energy source for heating water; or

• A demand water heater device approved by UL is installed; provided that at least one other gas appliance is installed in the dwelling. (A "demand water heater" means a gas-tankless instantaneous water heater that provides hot water only as it is needed.)

The legislative intent is that the demand water heater provision should only apply if the variance applicant is the individual that will be paying for the energy costs (the homeowner). A variance is automatically granted if not approved within 30 days or if a Hawaii licensed architect or mechanical engineer attests to one of the allowed exemptions. The Hawaii Public Utilities Commission must adopt specifications for the required performance, materials, components, durability, longevity, proper sizing, installation and quality of solar water heaters. Significantly, SB 644 rescinded the state income tax credit for residential SWH installations on new homes issued a building permit after December 31, 2009. It also prohibited any residential home developer from claiming the tax credit in 2009. HB 1464 eliminated the tax credit for wind systems used to get a SWH variance and reduced the tax credit available to photovoltaic systems used to get a SWH variance. For more information, see Hawaii's Solar and Wind Energy Tax Credit.

http://www.capitol.hawaii.gov/hrscurrent/Vol03_Ch0121-0200D/HRS0196/HRS_0196-0006_0005.htm





Summary:In June 2008, Hawaii enacted legislation, SB 644, with the intent to require solar water-heating (SWH) systems to be installed on all single-family new home construction, with a few exceptions. This legislation had several errors that were corrected by legislation passed during the 2009 legislative session. In June 2009, HB 1464 was signed by the governor and addressed the errors in the previous solar water heating requirement. Beginning January 1, 2010, building permits may not be issued for new single-family homes that do not include a SWH system. The state energy resources coordinator may provide a variance for this requirement if:

• Installation is impracticable due to poor solar resource;• Installation is cost-prohibitive based upon a life cycle cost-benefit analysis that

incorporates the average residential utility bill and the cost of the new SWH system with a life cycle that does not exceed 15 years;

• A renewable energy technology system is substituted for use as the primary energy source for heating water; or

• A demand water heater device approved by UL is installed; provided that at least one other gas appliance is installed in the dwelling. (A "demand water heater" means a gas-tankless instantaneous water heater that provides hot water only as it is needed.)

The legislative intent is that the demand water heater provision should only apply if the variance applicant is the individual that will be paying for the energy costs (the homeowner). A variance is automatically granted if not approved within 30 days or if a Hawaii licensed architect or mechanical engineer attests to one of the allowed exemptions. The Hawaii Public Utilities Commission must adopt specifications for the required performance, materials, components, durability, longevity, proper sizing, installation and quality of solar water heaters. Significantly, SB 644 rescinded the state income tax credit for residential SWH installations on new homes issued a building permit after December 31, 2009. It also prohibited any residential home developer from claiming the tax credit in 2009. HB 1464 eliminated the tax credit for wind systems used to get a SWH variance and reduced the tax credit available to photovoltaic systems used to get a SWH variance. For more information, see Hawaii's Solar and Wind Energy Tax Credit.

Contact:

Public Information - DBEDTHawaii Department of Business, Economic Development, and TourismEnergy BranchP.O. Box 2359235 South Beretania Street, 5th FloorHonolulu, HI 96804-2359Phone: (808) 587-3807 Fax: (808) 587-3820E-Mail: [email protected] Site: http://hawaii.gov/dbedt/info/energy





http://hawaii.gov/dbedt/info/energy

Contact:

Public Information - DBEDTHawaii Department of Business, Economic Development, and TourismEnergy BranchP.O. Box 2359235 South Beretania Street, 5th FloorHonolulu, HI 96804-2359Phone: (808) 587-3807 Fax: (808) 587-3820E-Mail: [email protected] Site: http://hawaii.gov/dbedt/info/energy

Solar Contractor Licensing

Last DSIRE Review: 09/15/2009 Incentive Type: Contractor Licensing


Solar Water Heat, Solar Space Heat, Solar Thermal Process Heat, Photovoltaics

Applicable Sectors: Installer/ContractorWeb Site: http://www.hawaii.gov/

dcca/areas/pvl/boards/contractor/Authority 1: HAR §16-77-32 et seq.Authority 2: HRS §444-7

Date Enacted: 1959, subsequently amended

Summary:Hawaii offers several specialty licenses for solar contractors through Hawaii’s Department of Commerce and Consumer Affairs. The following specialty licenses are available: Solar Power Systems Contractor (C-60); Solar Energy Systems Contractor (C-61); Solar Hot Water Systems Contractor (C-61a); and Solar Heating and Cooling Systems Contractor (C-61b). These licenses require business and trade exams plus four years of experience. An Electrical Contractor (C-13) license is required to install photovoltaic systems other than low voltage DC wiring and it includes the work of the C-60 solar power systems contractor. Plumbing contractors (C-37) are also allowed to install solar hot water heating systems. Note that a Solar Contractor’s license alone does not permit a contractor to install a complete solar energy system and may require that he or she subcontract with Electrical and/or Plumbing Contractors. General engineering contractors ("A" classification) automatically hold the Solar Power Systems Contractor (C-60) specialty license without having to take a further exam or pay additional fees. For Photovoltaic (PV) systems other than low voltage DC wiring, a licensed electrician must certify that the system and its connections have been properly installed. Solar Water Heating (SWH) systems require the certification of a licensed plumber and, if the system is connected to a back-up energy supply, a licensed electrician. Electrical and Plumbing Contractors may conversely subcontract with Solar Contractors to install components of PV and SWH systems.


http://hawaii.gov/dbedt/info/energy

http://www.hawaii.gov/dcca/areas/pvl/boards/contractor/



http://www.dsireusa.org/documents/Incentives/HI03R.pdf

http://www.capitol.hawaii.gov/hrscurrent/Vol10_Ch0436-0474/HRS0444/HRS_0444-0007.htm

Summary:Hawaii offers several specialty licenses for solar contractors through Hawaii’s Department of Commerce and Consumer Affairs. The following specialty licenses are available: Solar Power Systems Contractor (C-60); Solar Energy Systems Contractor (C-61); Solar Hot Water Systems Contractor (C-61a); and Solar Heating and Cooling Systems Contractor (C-61b). These licenses require business and trade exams plus four years of experience. An Electrical Contractor (C-13) license is required to install photovoltaic systems other than low voltage DC wiring and it includes the work of the C-60 solar power systems contractor. Plumbing contractors (C-37) are also allowed to install solar hot water heating systems. Note that a Solar Contractor’s license alone does not permit a contractor to install a complete solar energy system and may require that he or she subcontract with Electrical and/or Plumbing Contractors. General engineering contractors ("A" classification) automatically hold the Solar Power Systems Contractor (C-60) specialty license without having to take a further exam or pay additional fees. For Photovoltaic (PV) systems other than low voltage DC wiring, a licensed electrician must certify that the system and its connections have been properly installed. Solar Water Heating (SWH) systems require the certification of a licensed plumber and, if the system is connected to a back-up energy supply, a licensed electrician. Electrical and Plumbing Contractors may conversely subcontract with Solar Contractors to install components of PV and SWH systems.

Contact:

Public Information - HDCCAHawaii Department of Commerce and Consumer AffairsProfessional and Vocational Licensing DivisionKamamalu Building, 1010 Richards StreetP.O. Box 3469Honolulu, HI 96801Phone: (808) 586-3000

Renewables and Efficiency in State Facilities & Operations


Incentive Type: Energy Standards for Public BuildingsState: Hawaii


Building Insulation, Windows, Comprehensive Measures/Whole Building


Solar Water Heat, Photovoltaics, Wind, Biomass, Geothermal Heat Pumps, CHP/Cogeneration, Bio-gas, Daylighting, Small Hydroelectric

Applicable Sectors: Schools, State GovernmentRequirement: State buildings, including new residential facilities receiving state

funds, must meet minimum LEED* or other approved construction and energy efficiency standard.Solar water heating systems must be installed in all state facilities, if life-cycle cost-benefit analysis determines it to be cost-effective.Agencies are required to purchase environmentally preferable, resource-efficient products and materials.

Web Site: http://www.hawaii.gov/dbedt/info/energy/efficiency/state/

Authority 1: HRS §196Date Enacted: 05/12/2006

Summary:In May 2006, Hawaii’s governor signed HB 2175 addressing renewable energy, energy efficiency, and alternative fuels in state facilities and operations. This legislation also detailed requirements for renewable energy and energy efficiency in Hawaii’s public schools. An amount of $5,000,000 was appropriated to develop a net-metered, photovoltaic pilot project in the schools beginning in the 2006-2007 fiscal year. In order to reduce project costs, installation of photovoltaic (PV) systems must be timed to occur in conjunction with major roof repairs or replacements in the school buildings, and all systems will be net metered. The PV systems will likely be installed beginning in late 2009. Projects must recapture the system costs within three quarters of the useful life of the system. State law requires energy efficiency and environmental standards for state facilities, motor vehicles, and transportation fuels. Each state agency must meet the following requirements to the extent possible:

• Buildings must be designed and constructed to meet the Leadership in Energy and Environmental Design (LEED*) “Silver” standard, the two green globes rating system, or another similar guideline, standard, or system that is approved by the state.

• State buildings, including new residential facilities receiving state funds, must meet minimum insulation requirements, install high-performance windows, and, wherever possible, be oriented to maximize natural ventilation and day-lighting without heat gain and to optimize solar water heating.

• With the exception of single-family residential clients of the Department of Hawaiian Home Lands or any agency which can take advantage of utility rebates, solar water heating systems must be installed in all state facilities, if life-cycle cost-benefit analyses determine it to be cost-effective.

• State agencies must implement energy and water conservation practices in operations, and they are required to incorporate waste minimization and pollution prevention principles into standard operating practices.

• Agencies should use life-cycle cost-benefit analysis to purchase energy efficient equipment, using utility rebate programs whenever possible to reduce costs.

• Agencies are required to purchase environmentally preferable, resource-efficient products and materials.

• Agencies must also track vehicle data such as fuel consumption, EPA fuel economy ratings, and acquisition cost, and use alternative fuels when available.

Actions taken by state executive agencies to comply with Act 96 (codified as HRS §196-9) and Act 160, which directs the reporting of electricity consumption by state agencies, are reported annually to the State Legislature. The reports, “Lead by Example,” can be accessed here. Enacted in June 2009, HB 1464 addressed energy efficiency requirements for existing public buildings. By the end of 2010, state agencies must evaluate the energy efficiency of all existing public buildings that are larger than 5,000 square feet or use more than 8,000 kilowatt-hours (kWh) annually. Opportunities for increased energy efficiency must be identified by setting benchmarks for these buildings using Energy Star Portfolio Management or another similar tool. Buildings must be retro-commissioned every five years. Further guidance on the requirements described in HB 1464 will be provided by January 1, 2010. *Click here for more information on the United States Green Building Council’s Leadership in Energy and Environmental Design (LEED) Green Building Rating System.

http://www.hawaii.gov/dbedt/info/energy/efficiency/state/




http://www.capitol.hawaii.gov/hrscurrent/Vol03_Ch0121-0200D/HRS0196/HRS_0196-.HTM

http://hawaii.gov/dbedt/info/energy/efficiency/state/Act96_reprint.pdf

http://www.hawaii.gov/dbedt/info/energy/efficiency/state/lbe


http://www.usgbc.org/DisplayPage.aspx?CategoryID=19

Summary:In May 2006, Hawaii’s governor signed HB 2175 addressing renewable energy, energy efficiency, and alternative fuels in state facilities and operations. This legislation also detailed requirements for renewable energy and energy efficiency in Hawaii’s public schools. An amount of $5,000,000 was appropriated to develop a net-metered, photovoltaic pilot project in the schools beginning in the 2006-2007 fiscal year. In order to reduce project costs, installation of photovoltaic (PV) systems must be timed to occur in conjunction with major roof repairs or replacements in the school buildings, and all systems will be net metered. The PV systems will likely be installed beginning in late 2009. Projects must recapture the system costs within three quarters of the useful life of the system. State law requires energy efficiency and environmental standards for state facilities, motor vehicles, and transportation fuels. Each state agency must meet the following requirements to the extent possible:

• Buildings must be designed and constructed to meet the Leadership in Energy and Environmental Design (LEED*) “Silver” standard, the two green globes rating system, or another similar guideline, standard, or system that is approved by the state.

• State buildings, including new residential facilities receiving state funds, must meet minimum insulation requirements, install high-performance windows, and, wherever possible, be oriented to maximize natural ventilation and day-lighting without heat gain and to optimize solar water heating.

• With the exception of single-family residential clients of the Department of Hawaiian Home Lands or any agency which can take advantage of utility rebates, solar water heating systems must be installed in all state facilities, if life-cycle cost-benefit analyses determine it to be cost-effective.

• State agencies must implement energy and water conservation practices in operations, and they are required to incorporate waste minimization and pollution prevention principles into standard operating practices.

• Agencies should use life-cycle cost-benefit analysis to purchase energy efficient equipment, using utility rebate programs whenever possible to reduce costs.

• Agencies are required to purchase environmentally preferable, resource-efficient products and materials.

• Agencies must also track vehicle data such as fuel consumption, EPA fuel economy ratings, and acquisition cost, and use alternative fuels when available.

Actions taken by state executive agencies to comply with Act 96 (codified as HRS §196-9) and Act 160, which directs the reporting of electricity consumption by state agencies, are reported annually to the State Legislature. The reports, “Lead by Example,” can be accessed here. Enacted in June 2009, HB 1464 addressed energy efficiency requirements for existing public buildings. By the end of 2010, state agencies must evaluate the energy efficiency of all existing public buildings that are larger than 5,000 square feet or use more than 8,000 kilowatt-hours (kWh) annually. Opportunities for increased energy efficiency must be identified by setting benchmarks for these buildings using Energy Star Portfolio Management or another similar tool. Buildings must be retro-commissioned every five years. Further guidance on the requirements described in HB 1464 will be provided by January 1, 2010. *Click here for more information on the United States Green Building Council’s Leadership in Energy and Environmental Design (LEED) Green Building Rating System.

Contact:

Carilyn ShonHawaii Department of Business, Economic Development, and TourismEnergy Efficiency BranchP.O. Box 2359235 South Beretania Street, 5th FloorHonolulu, HI 96804-2359Phone: (808) 587-3810 Fax: (808) 587-3820E-Mail: [email protected] Site: http://www.hawaii.gov/dbedt/info/energy

Interconnection Standards


http://hawaii.gov/dbedt/info/energy/efficiency/state/Act96_reprint.pdf

http://www.hawaii.gov/dbedt/info/energy/efficiency/state/lbe


http://www.usgbc.org/DisplayPage.aspx?CategoryID=19



Incentive Type: InterconnectionState: Hawaii


Solar Thermal Electric, Photovoltaics, Landfill Gas, Wind, Biomass, Hydroelectric, Geothermal Electric, Fuel Cells, Municipal Solid Waste, CHP/Cogeneration, Microturbines, Other Distributed Generation Technologies

Applicable Sectors: Commercial, Industrial, Residential, Nonprofit, Schools, State Government, Fed. Government

Applicable Utilities: Investor-owned utilitiesSystem Capacity

Limit: No limit specifiedStandard Agreement: Yes

Insurance Requirements: Amount not specified

External Disconnect Switch: Required

Net Metering Required: No

Authority 1: HRS § 269-101 et seq.Date Effective: 6/25/2001 (revised 2004, 2005, 2008)

Authority 2: HI PUC Order No. 19773Date Enacted: 11/15/2002

Date Effective:11/15/2002

Summary:Hawaii has established simplified interconnection rules for small renewables and separate rules for all other distributed generation (DG). For inverter-based systems up to 10 kilowatts in capacity (and inverter-based DG under 250 kW on islands other than Kauai), there is a simple application process for interconnection. For other smaller systems, there are simplified interconnection procedures for net metering for solar, wind, biomass and hydro-electric systems up to 50 kW on Kauai and 100 kW in capacity on the other islands. These procedures are streamlined if the system uses an approved DC-AC inverter. The state's largest electric utility, Hawaiian Electric Company (HECO), which owns Hawaii Electric Light Company (HELCO) and Maui Electric Company (MECO), uses a set of simple interconnection guidelines. HECO also uses a simple, net-metering agreement. A manual, lockable disconnect is required for net-metered systems, and mutual indemnification is required. The state's only other utility, Kauai Island Utility Cooperative (KIUC), has a similar set of rules for net metering and interconnection. Two dockets were opened in 2006 to streamline interconnection procedures: (1) PUC Docket No. 2006-0497 (Hawaiian Electric Co., Inc.; Hawaii Electric Light Co., Inc.; and Maui Electric Co., Ltd.); and (2) PUC Docket No. 2006-0498 (KIUC). The PUC issued a decision and order for each of these dockets in April and May 2008, and more streamlined procedures for interconnection have been adopted. KIUC provides small generating facilities under two megawatts (MW) a fast-track process, while larger systems must undergo more extensive review. * In October 2003, the PUC initiated Docket No. 03-0371 to review and improve the state's DG interconnection rules. PUC Docket No. 03-0371 has been superseded by Docket Nos. 2006-0497 and 2006-0498.


http://www.dsireusa.org/documents/Incentives/HI01Rc.pdf

Summary:Hawaii has established simplified interconnection rules for small renewables and separate rules for all other distributed generation (DG). For inverter-based systems up to 10 kilowatts in capacity (and inverter-based DG under 250 kW on islands other than Kauai), there is a simple application process for interconnection. For other smaller systems, there are simplified interconnection procedures for net metering for solar, wind, biomass and hydro-electric systems up to 50 kW on Kauai and 100 kW in capacity on the other islands. These procedures are streamlined if the system uses an approved DC-AC inverter. The state's largest electric utility, Hawaiian Electric Company (HECO), which owns Hawaii Electric Light Company (HELCO) and Maui Electric Company (MECO), uses a set of simple interconnection guidelines. HECO also uses a simple, net-metering agreement. A manual, lockable disconnect is required for net-metered systems, and mutual indemnification is required. The state's only other utility, Kauai Island Utility Cooperative (KIUC), has a similar set of rules for net metering and interconnection. Two dockets were opened in 2006 to streamline interconnection procedures: (1) PUC Docket No. 2006-0497 (Hawaiian Electric Co., Inc.; Hawaii Electric Light Co., Inc.; and Maui Electric Co., Ltd.); and (2) PUC Docket No. 2006-0498 (KIUC). The PUC issued a decision and order for each of these dockets in April and May 2008, and more streamlined procedures for interconnection have been adopted. KIUC provides small generating facilities under two megawatts (MW) a fast-track process, while larger systems must undergo more extensive review. * In October 2003, the PUC initiated Docket No. 03-0371 to review and improve the state's DG interconnection rules. PUC Docket No. 03-0371 has been superseded by Docket Nos. 2006-0497 and 2006-0498.

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Hawaii - Net Metering




Incentive Type: Net MeteringState: Hawaii


Photovoltaics, Wind, Biomass, Hydroelectric, Small Hydroelectric

Applicable Sectors: Commercial, Residential, Local Government, State Government, Fed. Government

Applicable Utilities: All utilitiesSystem Capacity

Limit:100 kW for HECO, MECO, HELCO customers; 50 kW for KIUC customers

Aggregate Capacity Limit:

3% of utility's peak demand for HELCO and MECO; 1% of utility's peak demand for KIUC and HECO

Net Excess Generation:

Credited to customer's next bill at retail rate; granted to utility at end of 12-month billing cycle

REC Ownership: Not addressedMeter Aggregation: Not addressed

Web Site: http://www.hawaii.gov/dbedt/info/energyAuthority 1: HRS § 269-101 et seq.

Date Enacted: 6/25/2001 (subsequently amended)Authority 2: HI PUC Order, Docket 2006-0084


Summary:Hawaii's original net-metering law was enacted in 2001 and expanded in 2004 by HB 2048, which increased the eligible capacity limit of net-metered systems from 10 kilowatts (kW) to 50 kW. In 2005, the law was further amended by SB 1003, which authorized the Hawaii Public Utilities Commission (PUC) to increase certain limits outlined in the law and provided for the carryover of net excess generation (NEG) to the customer's next bill. In March 2008, the PUC issued an order to implement SB 1003. This order generally raised both the individual system capacity limit and the aggregate capacity limit for net-metered systems. In December 2008, the PUC issued an order to raise the aggregate capacity limit for net-metered systems in the service territories of HELCO and MECO. Net metering is available on a first-come, first-served basis to residential and "small commercial" customers (including government entities) that generate electricity using solar, wind, biomass or hydro-electric systems. Under the terms of the March 2008 and December 2008 PUC orders, Hawaii's three investor-owned utilities (HECO, HELCO and MECO) and sole electric cooperative (KIUC) have slightly different programs:

• For customers of Hawaiian Electric Company (HECO), the maximum individual system capacity is 100 kW. The aggregate capacity of net-metered systems is limited to 1% of HECO's peak demand. Of this 1% limit, 40% is reserved for systems 10 kW or smaller.

• For customers of Hawaii Electric Light Company (HELCO) and Maui Electric Company (MECO), which are both subsidiaries of HECO, the maximum individual system capacity is 100 kW. The aggregate capacity of net-metered systems is limited to 3% of each utility's peak demand. Of this 3% limit, 40% is reserved for systems 10 kW or smaller. HELCO and MECO will increase the system cap from 3% to 4% of system peak demand at the point when approved net-metering applications equal or exceed 75% of the then existing 3% of system peak demand cap either for smaller systems (up to 10 kW) or larger systems. At this point, 30% of the 4% limit will be reserved for systems 10 kW or smaller.

• For customers of Kauai Island Utility Cooperative (KIUC), the maximum individual system capacity is 50 kW. The aggregate capacity of net-metered systems is limited to 1% of KIUC’s peak demand. Of this 1% limit, 50% is reserved for systems 10 kW or smaller.

The March 2008 PUC order also required each utility to develop a pilot program allowing net metering to a limited number of systems 100 kW to 500 kW in capacity, while allowing for even larger systems "if technically and economically reasonable and practicable." A customer whose system produces more electricity than the customer consumes during the month may carry forward NEG in the form of a kilowatt-hour (kWh) credit that is applied to the customer's next bill. NEG may be carried over for a maximum of 12 months. At the end of the 12-month period, any remaining customer NEG credits are surrendered to the utility without compensation (unless the customer enters into a purchase agreement with the utility). In October 2008, Hawaii's governor; the Hawaii Department of Business, Economic Development and Tourism; the Hawaii consumer advocate, and the HECO companies entered into an energy agreement, a product of the Hawaii Clean Energy Initiative. This agreement provides that there should be no system-wide caps on net metering, and that net metering should transition towards a feed-in-tariff. Electric utilities, along with the PUC, are currently in the process of considering changes in accordance with this agreement.



http://www.dsireusa.org/documents/Incentives/HI04R2.pdf

http://hawaii.gov/dbedt/info/energy/agreement/

Summary:Hawaii's original net-metering law was enacted in 2001 and expanded in 2004 by HB 2048, which increased the eligible capacity limit of net-metered systems from 10 kilowatts (kW) to 50 kW. In 2005, the law was further amended by SB 1003, which authorized the Hawaii Public Utilities Commission (PUC) to increase certain limits outlined in the law and provided for the carryover of net excess generation (NEG) to the customer's next bill. In March 2008, the PUC issued an order to implement SB 1003. This order generally raised both the individual system capacity limit and the aggregate capacity limit for net-metered systems. In December 2008, the PUC issued an order to raise the aggregate capacity limit for net-metered systems in the service territories of HELCO and MECO. Net metering is available on a first-come, first-served basis to residential and "small commercial" customers (including government entities) that generate electricity using solar, wind, biomass or hydro-electric systems. Under the terms of the March 2008 and December 2008 PUC orders, Hawaii's three investor-owned utilities (HECO, HELCO and MECO) and sole electric cooperative (KIUC) have slightly different programs:

• For customers of Hawaiian Electric Company (HECO), the maximum individual system capacity is 100 kW. The aggregate capacity of net-metered systems is limited to 1% of HECO's peak demand. Of this 1% limit, 40% is reserved for systems 10 kW or smaller.

• For customers of Hawaii Electric Light Company (HELCO) and Maui Electric Company (MECO), which are both subsidiaries of HECO, the maximum individual system capacity is 100 kW. The aggregate capacity of net-metered systems is limited to 3% of each utility's peak demand. Of this 3% limit, 40% is reserved for systems 10 kW or smaller. HELCO and MECO will increase the system cap from 3% to 4% of system peak demand at the point when approved net-metering applications equal or exceed 75% of the then existing 3% of system peak demand cap either for smaller systems (up to 10 kW) or larger systems. At this point, 30% of the 4% limit will be reserved for systems 10 kW or smaller.

• For customers of Kauai Island Utility Cooperative (KIUC), the maximum individual system capacity is 50 kW. The aggregate capacity of net-metered systems is limited to 1% of KIUC’s peak demand. Of this 1% limit, 50% is reserved for systems 10 kW or smaller.

The March 2008 PUC order also required each utility to develop a pilot program allowing net metering to a limited number of systems 100 kW to 500 kW in capacity, while allowing for even larger systems "if technically and economically reasonable and practicable." A customer whose system produces more electricity than the customer consumes during the month may carry forward NEG in the form of a kilowatt-hour (kWh) credit that is applied to the customer's next bill. NEG may be carried over for a maximum of 12 months. At the end of the 12-month period, any remaining customer NEG credits are surrendered to the utility without compensation (unless the customer enters into a purchase agreement with the utility). In October 2008, Hawaii's governor; the Hawaii Department of Business, Economic Development and Tourism; the Hawaii consumer advocate, and the HECO companies entered into an energy agreement, a product of the Hawaii Clean Energy Initiative. This agreement provides that there should be no system-wide caps on net metering, and that net metering should transition towards a feed-in-tariff. Electric utilities, along with the PUC, are currently in the process of considering changes in accordance with this agreement.

Contact:


Hawaii Energy Efficiency Program

http://hawaii.gov/dbedt/info/energy/agreement/



Last DSIRE Review: 09/25/2009 Incentive Type: Public Benefits Fund


Technologies:Clothes Washers, Dishwasher, Refrigerators/Freezers, Ceiling Fan, Water Heaters, Lighting, Lighting Controls/Sensors, Chillers, Heat pumps, Air conditioners, Heat recovery, Windows, Motors, Processing and Manufacturing Equipment, Custom/Others pending approval, Booster Pump


Solar Water Heat

Applicable Sectors: Commercial, Industrial, ResidentialTypes: Energy efficiency, demand side management

Total Fund: 2009 Budget (January 2009-June 2010): approximately $21 million 2010 Budget (July 2010-June 2011): approximately $20 million

Charge: 2009-2010: 1% of projected total utility revenue, including revenue tax2011-2012: 1.5% of projected total utility revenue, including revenue tax2013-onwards: 2% of projected total utility revenue, including revenue tax

Web Site: http://www.hawaiienergy.com/Authority 1: HRS § 269-121 et seq.

Date Enacted: 6/2/2006, subsequently amendedAuthority 2: HI PUC Order, Docket 2007-0323


Summary:In June 2006, the Hawaii State Legislature enacted legislation to create a public benefits fund (PBF) for energy efficiency and demand side management. The statutory language included a provision that prevents the PBF funds from being re-appropriated by the legislature or put into the state treasury. This legislation granted authority to the Public Utilities Commission (PUC) to develop the details of the third-party administered public benefits fund. In December 2008, the PUC issued an order in Docket No. 2007-0323, outlining the structure of the PBF. In July 2009, the Hawaii Energy Efficiency Program was created, and administration of the public benefits funds programs transitioned from the utilities to a third-party administrator. The PBF is funded by a surcharge on utility bills that is based on a percentage of total utility revenue. The percentage of total utility revenue is used to establish a target budget for the PBF. The surcharge is set on a cents per kilowatt-hour ($/kWh) basis to meet the target budget. The surcharge is determined by dividing the target budget (based on a percentage of total utility sales) by projected sales. Any difference in the amount collected from the surcharge and the target budget will be addressed by adjusting the following year's surcharge (by either increasing or decreasing the surcharge). There will be separate residential and commercial/industrial components, with 45% of collections from residential customers, for residential programs and 55% of collections from commercial and industrial customers, for commercial and industrial programs. The surcharge appears as a separate line item on customers' bills. For 2009 and 2010, the PBF will have a target budget of 1% of total projected revenue, including revenue taxes. For 2011 and 2012, the PBF will have a target budget of 1.5% of total projected revenue. From 2013 onwards, the PBF will have a target budget of 2% of total projected revenue. All utilities in Hawaii, with the exception of KIUC, collect this surcharge on utility bills. Customers of HECO, HELCO, and MECO are eligible to receive incentives from the public benefits fund. Programs supported by Hawaii Energy include rebates for home appliances, industrial energy efficiency, and solar water heaters, among others.



http://www.dsireusa.org/documents/Incentives/HI14R.pdf

Summary:In June 2006, the Hawaii State Legislature enacted legislation to create a public benefits fund (PBF) for energy efficiency and demand side management. The statutory language included a provision that prevents the PBF funds from being re-appropriated by the legislature or put into the state treasury. This legislation granted authority to the Public Utilities Commission (PUC) to develop the details of the third-party administered public benefits fund. In December 2008, the PUC issued an order in Docket No. 2007-0323, outlining the structure of the PBF. In July 2009, the Hawaii Energy Efficiency Program was created, and administration of the public benefits funds programs transitioned from the utilities to a third-party administrator. The PBF is funded by a surcharge on utility bills that is based on a percentage of total utility revenue. The percentage of total utility revenue is used to establish a target budget for the PBF. The surcharge is set on a cents per kilowatt-hour ($/kWh) basis to meet the target budget. The surcharge is determined by dividing the target budget (based on a percentage of total utility sales) by projected sales. Any difference in the amount collected from the surcharge and the target budget will be addressed by adjusting the following year's surcharge (by either increasing or decreasing the surcharge). There will be separate residential and commercial/industrial components, with 45% of collections from residential customers, for residential programs and 55% of collections from commercial and industrial customers, for commercial and industrial programs. The surcharge appears as a separate line item on customers' bills. For 2009 and 2010, the PBF will have a target budget of 1% of total projected revenue, including revenue taxes. For 2011 and 2012, the PBF will have a target budget of 1.5% of total projected revenue. From 2013 onwards, the PBF will have a target budget of 2% of total projected revenue. All utilities in Hawaii, with the exception of KIUC, collect this surcharge on utility bills. Customers of HECO, HELCO, and MECO are eligible to receive incentives from the public benefits fund. Programs supported by Hawaii Energy include rebates for home appliances, industrial energy efficiency, and solar water heaters, among others.

Contact:







Contact:



Renewable Portfolio Standard

Last DSIRE Review: 06/26/2009 Incentive Type: Renewables Portfolio Standard


Technologies:Heat pumps, CHP/Cogeneration, Ice storage, Rate-payer funded efficiency programs


Solar Water Heat, Solar Space Heat, Solar Thermal Electric, Solar Thermal Process Heat, Photovoltaics, Landfill Gas, Wind, Biomass, Hydroelectric, Geothermal Electric, Geothermal Heat Pumps, Municipal Solid Waste, CHP/Cogeneration, Hydrogen, Seawater AC, Solar AC, Anaerobic Digestion, Tidal Energy, Wave Energy, Ocean Thermal, Ethanol, Methanol, Biodiesel, Fuel Cells using Renewable Fuels

Applicable Sectors: Investor-Owned Utility, Rural Electric CooperativeStandard: 40% by 2030

Technology Minimum: No

Credit Trading: NoWeb Site: http://www.hawaii.gov/dbedt/info/energy/

Authority 1: HRS § 269-91 et seq.Date Enacted: 2001, subsequently amended



7/1/2009





http://www.hawaii.gov/dbedt/info/energy/

http://www.capitol.hawaii.gov/hrscurrent/Vol05_Ch0261-0319/HRS0269/HRS_0269-0091.HTM


Incentive Type: Renewables Portfolio StandardState: Hawaii


Heat pumps, CHP/Cogeneration, Ice storage, Rate-payer funded efficiency programs


Solar Water Heat, Solar Space Heat, Solar Thermal Electric, Solar Thermal Process Heat, Photovoltaics, Landfill Gas, Wind, Biomass, Hydroelectric, Geothermal Electric, Geothermal Heat Pumps, Municipal Solid Waste, CHP/Cogeneration, Hydrogen, Seawater AC, Solar AC, Anaerobic Digestion, Tidal Energy, Wave Energy, Ocean Thermal, Ethanol, Methanol, Biodiesel, Fuel Cells using Renewable Fuels

Applicable Sectors: Investor-Owned Utility, Rural Electric CooperativeStandard: 40% by 2030

Technology Minimum: No

Credit Trading: NoWeb Site: http://www.hawaii.gov/dbedt/info/energy/

Authority 1: HRS § 269-91 et seq.Date Enacted: 2001, subsequently amended



7/1/2009

Summary:Hawaii’s renewable portfolio standard (RPS) was significantly expanded by legislation passed in 2009. HB 1464, signed by the governor in June 2009, increased the amount of renewable electrical energy generation required by utilities to 40% by 2030. In January 2008, the U.S. Department of Energy (DOE) and the State of Hawaii signed a Memorandum of Understanding (MOU) establishing the Hawaii Clean Energy Initiative. This agreement established an aggressive goal to help Hawaii greatly increase its renewable and clean energy production capabilities, and to transition exclusively to renewable energy use on the smaller islands. Although the MOU is not legally binding, it has the potential to help reduce oil consumption in Hawaii by 72% if implementation is successful. The expansion of Hawaii’s RPS in 2009 formalized many of the goals established by the Hawaii Clean Energy Initiative in 2008. Under the RPS, each electric utility company that sells electricity for consumption in Hawaii must establish the following percentages of "renewable electrical energy" sales:

• 10% of its net electricity sales by December 31, 2010; • 15% of its net electricity sales by December 31, 2015; • 25% of its net electricity sales by December 31, 2020; and • 40% of its net electricity sales by December 31, 2030.

Existing renewables may be counted in the total. In addition, an electric utility company and its electric utility affiliates may aggregate their renewable portfolios in order to achieve the renewable portfolio standard (i.e., the Hawaiian Electric Company and its affiliates-- Maui Electric Company and Hawaii Electric Light Company -- may add together their renewable energy numbers to meet the goal). "Renewable energy" means energy generated or produced using the following sources: (1) wind; (2) the sun; (3) falling water; (4) biogas, including landfill and sewage-based digester gas; (5) geothermal; (6) ocean water, currents, and waves, including ocean thermal energy conversion; (7) biomass, including biomass crops, agricultural and animal residues and wastes, and municipal solid waste and other solid waste; (8) biofuels; and (9) hydrogen produced from renewable energy sources. "Renewable electrical energy" means: (1) Electrical energy generated using renewable energy as the source; and (2) Electrical energy savings brought about by: (A) The use of renewable displacement or off-set technologies, including solar water heating, seawater air-conditioning district cooling systems, solar air-conditioning, and customer-sited, grid-connected renewable energy systems; provided that, beginning January 1, 2015, electrical energy savings shall not include customer-sited, grid-connected renewable-energy systems; or (B) The use of energy efficiency technologies, including heat pump water heating, ice storage, ratepayer- funded energy efficiency programs, and use of rejected heat from co-generation and combined heat and power systems, excluding fossil-fueled qualifying facilities that sell electricity to electric utility companies and central station power projects." The Public Utilities Commission (PUC) can establish standards for each utility that prescribe what portion of the renewable portfolio standards shall be met by specific types of renewable electrical energy resources. The standards established by the PUC cannot conflict with the following rules outlined in the legislation. Prior to January 1, 2015, at least 50% of the RPS must be met with electricity generated using renewables. Beginning January 1, 2015, the RPS must be entirely met by electricity generated using renewables. On that date, electrical energy savings brought about by the use of energy efficiency technologies or renewables to displace or off-set electricity demand will no longer count towards compliance with the RPS.* Customer-sited, grid-connected renewable energy systems will continue to count towards RPS compliance and will no longer be included as “electrical energy savings” beginning January 1, 2015. Where electrical energy is generated or displaced by a combination of renewable and nonrenewable means, the proportion attributable to the renewable means shall be credited as renewable energy. Where fossil and renewable fuels are co-fired in the same generating unit, the unit shall be considered to generate renewable electrical energy (electricity) in direct proportion to the percentage of the total heat value represented by the heat value of the renewable fuels. The PUC can assess penalties if an electric utility company fails to meet the renewable portfolio standard. The PUC is required to contract with the Hawaii Natural Energy Institute to conduct a peer-reviewed study each five years. The standard must be evaluated in 2013, with the findings reported to the legislature before the 2014 legislative session. The percentage of renewable energy required by the RPS may be revised by the PUC if recommended by the peer-reviewed study. Background: Hawaii established a renewable portfolio goal in 2001. Hawaii's renewable portfolio goal was replaced with an enforceable renewable portfolio standard (RPS) upon the enactment of SB 2474 (Act 95, Session Laws of Hawaii 2004) in June 2004. Under Hawaii’s original renewable portfolio goal, established by Act 272 (SLH 2001), each electric utility was required to establish goals to increase net renewable energy sales to 9% by December 31, 2010. The 2004 standard raised this target and required that 20% of electricity be generated from renewable resources by the end of 2020. Additional modifications were made to Hawaii's RPS law in June 2006 by SB 3185 (Act 162, SLH 2006). The 2006 amendments allowed electrical energy savings generated by renewables including solar water heating and seawater air-conditioning district cooling systems, among others, to count towards the RPS. The 2006 amendments also allowed electrical energy savings generated by certain energy efficiency technologies to count towards the RPS. In accordance with the MOU establishing the Hawaii Clean Energy Initiative, the most recent amendments to the RPS passed in June 2009. *Note: HB 1464 of 2009 created separate Energy Efficiency Portfolio Standards (EEPS). The legislation set a goal of 4,300 gigawatt-hour (GWh) reduction in electricity use by 2030. The Public Utilities Commission must establish interim goals and can adjust the 2030 goal by rule or order. Electrical energy savings from renewable displacement or offset technologies and energy efficiency technologies will count towards the EEPS.

http://www.hawaii.gov/dbedt/info/energy/

http://www.capitol.hawaii.gov/hrscurrent/Vol05_Ch0261-0319/HRS0269/HRS_0269-0091.HTM


http://apps1.eere.energy.gov/news/pdfs/hawaii_mou.pdf

http://www.capitol.hawaii.gov/session2004/Bills/SB2474_HD1_.htm


http://www.capitol.hawaii.gov/session2006/bills/SB3185_cd1_.htm




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Prohibition of Covenant Restrictions

Last DSIRE Review: 03/17/2009 Incentive Type: Solar Access Law/Guideline


Passive Solar Space Heat, Solar Water Heat, Solar Space Heat, Photovoltaics

Applicable Sectors: Residential, Townhouse and Condominium OwnersAuthority 1: HRS § 196-7

Expiration Date: None

Summary:Hawaii law prohibits the creation of any covenant or restriction contained in any document restricting the installation or use of a solar energy system on a residential dwelling or townhouse. Furthermore, Hawaii requires homeowners associations to adopt rules that provide for the placement of solar energy systems and do not unreasonably restrict the placement. SB 1338, enacted in July 2009, also prevents the prohibition of clotheslines.

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http://www.capitol.hawaii.gov/hrscurrent/Vol03_Ch0121-0200D/HRS0196/HRS_0196-0007.htm





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hawaii incentives

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