MEDIA RELEASE

Following a round of in-person meetings with the mayors of Maui, Kauai and Hawaii Island, Lt. Gov. James R. “Duke” Aiona, testified in support of a program that would lower energy costs for homeowners and small businesses, create green jobs, stimulate the economy and reduce the state’s reliance on foreign fossil fuel.

The state Senate Committee on Energy and Environment passed legislation supporting the program. The bill (SB 2815) would allow the proceeds of state-issued bonds to be lent through professional energy services companies to commercial and residential property owners for the installation of renewable energy and energy-efficient systems. The loans are then repaid over time through an annual or semi-annual county property tax assessment, which would be amortized over a 20-year repayment period.

“I applaud the Senate committee members for their thoughtful consideration in passing this bill,” Aiona said. “The key to this program is improving access to clean energy for residents and small businesses who otherwise would not be able to afford the up-front costs. By removing this major barrier, demand will increase, spurring competition and creating green jobs.”

Each property owner who receives financing through the program will be responsible for repaying the loan via a special assessment linked to property tax payments on the improved property. If the property is sold or transferred during the repayment period, the obligation will transfer with the property, which means the liability stays with the property, not the original owner.

The benefit of the program is that it removes barriers to making a long-term investment on a property that an owner may wish to sell before the full value of the investment is recovered.

Aiona traveled to Maui to meet with Mayor Charmaine Tavares and other county officials about the program. Last week, the Lt. Governor traveled to Hawaii Island and Kauai to meet with Mayor Billy Kenoi and Mayor Bernard Carvalho, Jr., respectively.