HB 307 Summary

• Broadens the definition of "renewable energy" under Hawaii's public utilities commission law to include a tenth category: "other self-replenishing non-fossil fuel, non-nuclear resources" as approved by the Public Utilities Commission by rule or order.

• Adds commercial seawater air conditioning systems to the renewable energy technologies income tax credit, allowing a 20% credit on the basis of connecting to a seawater air conditioning district cooling system with a $100,000 cap.

• Restructures solar energy tax credits by splitting systems into water-heating (35% credit up to $2,000-$225,000 depending on property type) and grid-connected electricity-generating systems (35-20% credit depending on installation date, up to $5,000-$500,000).

• Modifies grid-connected wind energy system credits to 20% of basis for systems first placed in service between January 1, 2020 and December 31, 2028, with caps ranging from $1,500 to $500,000 depending on property type.

• Establishes that renewable energy tax credits expire for taxable years ending after December 31, 2028, and takes effect July 1, 2050 (except Part III applies to taxable years beginning after December 31, 2019).