Relating To Energy Financing.
HB977 would expand Hawaii’s Clean Energy and Energy Efficiency Revolving Loan Fund so it can provide low-cost loans and other financial assistance not only to existing eligible borrowers, but also to a newly defined category of “underserved ratepayer.” That definition includes state and local governments, low- and moderate-income homeowners and renters, nonprofits, small businesses, and multi-family rental projects. The bill is aimed at financing rooftop solar plus storage and other clean energy investments, with the stated goal of helping Hawaii reach its 100% renewable energy target by 2045, reduce carbon emissions, and lessen dependence on imported fossil fuels.
The measure also makes an appropriation from general revenues into the revolving loan fund for fiscal year 2025-2026, and an additional appropriation from the fund itself for loans or other financial assistance in the same fiscal year. It authorizes the Hawaii Green Infrastructure Authority to use fund moneys for administrative and legal costs tied to fund management and individual loans, including personnel, technical assistance, reporting, materials, equipment, and travel. The bill’s effective date is set for July 1, 3000, which is a common placeholder date used in draft legislation and does not appear intended as a practical implementation date.
If enacted, HB977 would amend Hawaii Revised Statutes sections 196-61 and 196-65.5 to broaden the legal uses of the Clean Energy and Energy Efficiency Revolving Loan Fund and formally add “underserved ratepayer” to the statute. This would expand the Hawaii Green Infrastructure Authority’s authority to finance a wider range of borrowers and projects, including moderate-income households, renters, nonprofits, small businesses, local governments, and multifamily rental housing, while also allowing the fund to cover certain administrative and legal expenses. The bill would also create new state budget obligations by directing money into and out of the revolving loan fund for clean energy financing in fiscal year 2025-2026.
The available legislative history suggests generally favorable sentiment toward the bill. In the Senate Energy and Intergovernmental Affairs committee, the measure passed with amendments by a 3-0 vote, indicating unanimous support among those voting at that stage. The bill’s findings and purpose section frame it as a practical financing tool to address unmet demand for rooftop solar plus storage and to support Hawaii’s clean energy transition, which likely contributed to its positive reception.
The main policy issue reflected in the bill is how to allocate limited clean energy financing resources. The measure responds to concerns that existing federal Solar for All funds are restricted to low-income households and certain disadvantaged areas, leaving moderate-income households, nonprofits, small businesses, and other underserved borrowers without access to financing. The bill appears designed to fill that gap, but it also implicitly raises questions about funding levels, prioritization among borrower classes, and whether state dollars should supplement or broaden a program already supported by federal funds. No explicit opposition is shown in the provided materials, but the need for amendments and the focus on eligibility expansion suggest the central debate is over scope and resource allocation rather than the overall concept of clean energy financing.