HI HCR206

Hawaii State Energy Office requested to convene a working group to study potential impacts of large data centers on electric utilities, ratepayers, natural resources, and climate goals.

Working group membership includes the Chief Energy Officer as chair, plus representatives from the Department of Business, Economic Development, and Tourism; Board of Land and Natural Resources; Public Utilities Commission; electric utilities; and consumer/environmental organizations.

Study topics include cost allocation mechanisms so data center developers pay for required grid infrastructure, ratepayer protection measures, transparency requirements for electricity/water usage and emissions, and renewable energy alignment strategies.

Data centers consumed approximately 4.4% of U.S. electricity in 2023, projected to reach 6.7-12% by 2028, with large facilities potentially using hundreds of millions to billions of gallons of water annually for cooling.

Working group must submit findings and recommendations to the Legislature no later than 20 days before the 2027 Regular Session and ceases to exist on June 30, 2027.