II 

109TH CONGRESS 

1ST SESSION S. 436 

To require the Secretary of Energy to assess the economic implications 

of the dependence of the State of Hawaii on oil as the principal source 

of energy for the State. 

IN THE SENATE OF THE UNITED STATES 

FEBRUARY 17, 2005 

Mr. AKAKA (for himself and Mr. INOUYE) introduced the following bill; which 

was read twice and referred to the Committee on Energy and Natural 

Resources 

A BILL 

To require the Secretary of Energy to assess the economic 

implications of the dependence of the State of Hawaii 

on oil as the principal source of energy for the State. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. HAWAII ENERGY ASSESSMENT. 

4 (a) ASSESSMENT.—The Secretary of Energy shall as5 sess the economic implications of the dependence of the 

6 State of Hawaii on oil as the principal source of energy 

7 for the State, including— 
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1 (1) the short- and long-term prospects for crude 

2 oil supply disruption and price volatility and poten3 tial impacts on the economy of Hawaii; 

4 (2) the economic relationship between oil-fired 

5 generation of electricity from residual fuel and re6 fined petroleum products consumed for ground, ma7 rine, and air transportation; 

8 (3) the technical and economic feasibility of in9 creasing the contribution of renewable energy re10 sources for generation of electricity, on an island-by11 island basis, including— 

12 (A) siting and facility configuration; 

13 (B) environmental, operational, and safety 

14 considerations; 

15 (C) the availability of technology; 

16 (D) effects on the utility system including 

17 reliability; 

18 (E) infrastructure and transport require19 ments; 

20 (F) community support; and 

21 (G) other factors affecting the economic 

22 impact of such an increase and any effect on 

23 the economic relationship described in para24 graph (2); 
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1 (4) the technical and economic feasibility of 

2 using liquefied natural gas to displace residual fuel 

3 oil for electric generation, including neighbor island 

4 opportunities, and the effect of the displacement on 

5 the economic relationship described in paragraph 

6 (2), including— 

7 (A) the availability of supply; 

8 (B) siting and facility configuration for on9 shore and offshore liquefied natural gas receiv10 ing terminals; 

11 (C) the factors described in subparagraphs 

12 (B) through (F) of paragraph (3); and 

13 (D) other economic factors; 

14 (5) the technical and economic feasibility of 

15 using renewable energy sources (including hydrogen) 

16 for ground, marine, and air transportation energy 

17 applications to displace the use of refined petroleum 

18 products, on an island-by-island basis, and the eco19 nomic impact of the displacement on the relationship 

20 described in (2); and 

21 (6) an island-by-island approach to— 

22 (A) the development of hydrogen from re23 newable resources; and 

24 (B) the application of hydrogen to the en25 ergy needs of Hawaii 
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1 (b) CONTRACTING AUTHORITY.—The Secretary of 

2 Energy may carry out the assessment under subsection 

3 (a) directly or, in whole or in part, through 1 or more 

4 contracts with qualified public or private entities. 

5 (c) REPORT.—Not later than 300 days after the date 

6 of enactment of this Act, the Secretary of Energy shall 

7 prepare, in consultation with agencies of the State of Ha8 waii and other stakeholders, as appropriate, and submit 

9 to Congress, a report detailing the findings, conclusions, 

10 and recommendations resulting from the assessment. 

11 (d) AUTHORIZATION OF APPROPRIATIONS.—There 

12 are authorized to be appropriated such sums as are nec13 essary to carry out this section. 

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