SB 588: Solar Distributed Energy Resource Systems; Permitting Self‑Certification; FEMA Flood Zone No-Rise/No Impact Declaration Requirements

A BILL FOR AN ACT

RELATING TO RENEWABLE ENERGY.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  The legislature finds that Act 97, Session Laws of Hawaii 2015, requires electric utilities in the State to achieve a one hundred per cent renewable portfolio standard by December 31, 2045, to transition the State away from imported fossil fuels and toward locally available renewable energy sources.

     The legislature further finds that to encourage the timely build-out of a diverse, resilient, and reliable portfolio of low-cost renewable energy generation and storage assets, the State must lower the administrative barriers that constrain deployment of residential and commercial-scale distributed energy resources.

     The legislature additionally finds that the permitting review process currently adds substantial time and cost to the adoption of residential solar and energy storage projects and that self-certification by duly licensed design professionals can significantly reduce this time, cost, and administrative burden without sacrificing public health and safety.

     The purpose of this Act is to reduce administrative barriers to the deployment of energy generation and storage technology systems by requiring certain government entities in the State to implement permit self-certification and streamlined, common-sense permitting processes, thereby ensuring efficient, standardized permitting and inspection for behind‑the-meter, customer-sited solar distributed energy resource systems.

     SECTION 2.  Chapter 196, Hawaii Revised Statutes, is amended by adding two new sections to be appropriately designated and to read as follows:

     "§196-A  Self-certification; solar projects; energy storage projects.  (a)  By           , each government entity in the State that issues building permits shall establish an efficient and standardized self‑certification process for behind‑the‑meter, customer‑sited solar distributed energy resource systems that deems permit applications approved and allows applicants to proceed to build the solar distributed energy resource system immediately; provided that:

     (1)  The solar distributed energy resource system project is not located on a property within a special flood hazard area as identified on the Federal Emergency Management Agency's current Flood Insurance Rate Maps; and

     (2)  The government entity receives from the project owner or agent of the project owner:

          (A)  A copy of any written notification prepared by the appropriate government entity, in response to a request for determination from the project owner or agent of the project owner, that the proposed project is not required to comply with federal, state, or county floodplain management development standards, ordinances, codes, statutes, rules, or regulations pursuant to the requirements of the National Flood Insurance Program;

          (B)  A request for issuance of the permit that includes a statement that the owner or agent of the owner is prepared to pay any required fees; and

          (C)  Proof of a valid license in the respective field for any professional installing the project and confirmation that the installation of the project will comply with all applicable codes and laws.

     (b)  The self-certification process shall allow a project's relevant professionals to conduct permit reviews and inspections using commercially available software and the professionals' approvals shall be accepted without additional documentation; provided that the submitted documentation demonstrates compliance with all applicable codes and laws.  In addition, the self-certification process shall allow a project's relevant design professionals to utilize offline field reports for inspections to ensure faster reviews without added cost or delays.

     (c)  If the requirements of subsections (a) and (b) are satisfied, the applicable government entity in the State that issues building permits shall issue the building permit number and close the permit within thirty days after the date that the application was submitted.

     (d)  As used in this section:

     "Offline field report" means a report that uses photos and videos taken of the project on site and submitted to a permitting authority to allow inspection remotely and asynchronously.

     "Solar distributed energy resource system" means an assembly of solar energy-generating or energy-storing materials, or any combined assembly of solar energy-generating and energy-storing materials, and the related infrastructure necessary for its operation.

     §196-B  Solar distributed energy resource systems; No‑Rise/No‑Impact declaration requirements.  (a)  Any government entity in the State that issues building permits shall exempt behind-the-meter, customer-sited solar distributed energy resource systems from the Federal Emergency Management Agency's No-Rise/No-Impact declaration requirements; provided that the project is not located within a regulatory floodway as identified on the Federal Emergency Management Agency's current Flood Insurance Rate Maps.

     (b)  Each government entity in the State that issues building permits shall develop Federal Emergency Management Agency-accepted guidance for determining specific conditions when a No-Rise Certification is not required for a solar distributed energy resource system located in a regulatory floodway as identified on the Federal Emergency Management Agency's current Flood Insurance Rate Maps.

     (c)  Notwithstanding subsections (a) and (b), the project owner or agent of the project owner shall:

     (1)  Comply with all applicable codes and laws;

     (2)  Properly install the system on an already existing structure; and

     (3)  Not create additional obstruction within the regulatory floodway.

     (d)  As used in this section, "solar distributed energy resource system" has the same meaning as defined in section 196‑A."

     SECTION 3.  In codifying the new sections added by section 2 of this Act, the revisor of statutes shall substitute appropriate section numbers for the letters used in designating the new sections in this Act.

     SECTION 4.  New statutory material is underscored.

     SECTION 5.  This Act shall take effect on July 1, 2050.

Report Title:

Solar Distributed Energy Resource Systems; Permitting Self‑Certification; FEMA Flood Zone No-Rise/No Impact Declaration Requirements

Description:

Authorizes certain government entities to establish a self-certification process for behind-the-meter, customer-sited solar distributed energy resource systems and exempt the systems from the Federal Emergency Management Agency No-Rise/No-Impact declaration requirements under certain circumstances.  Effective 7/1/2050.  (SD2)

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.

A BILL FOR AN ACT

RELATING TO RENEWABLE ENERGY.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  The legislature finds that Act 97, Session Laws of Hawaii 2015, requires electric utilities in the State to achieve a one hundred per cent renewable portfolio standard by December 31, 2045, to transition the State away from imported fossil fuels and toward locally available renewable energy sources.

     The legislature further finds that to encourage the timely build-out of a diverse, resilient, and reliable portfolio of low-cost renewable energy generation and storage assets, Hawaii must lower the administrative barriers that constrain deployment of residential and commercial-scale distributed energy resources.

     The legislature further finds that the permitting review process currently adds substantial time and cost to the adoption of residential solar and energy storage projects and that self-certification by duly licensed design professionals can significantly reduce this time, cost, and administrative burden without sacrificing public health and safety.

     The purpose of this Act is to reduce administrative barriers to the deployment of energy generation and storage technology systems by requiring certain government entities in the State to implement permit self-certification and streamlined, common-sense permitting processes, thereby ensuring efficient, standardized permitting and inspection for behind‑the-meter, customer-sited solar distributed energy resource systems.

     SECTION 2.  Chapter 196, Hawaii Revised Statutes, is amended by adding two new sections to be appropriately designated and to read as follows:

     "§196-     Self-certification; solar projects; energy storage projects.  (a)  By           , each government entity in the State that issues building permits shall establish an efficient and standardized self‑certification process for behind‑the‑meter, customer‑sited solar distributed energy resource systems that deems permit applications approved and allows applicants to proceed to build the solar distributed energy resource system immediately; provided that:

     (1)  The solar distributed energy resource system project is not located on a property within a special flood hazard area as identified on Federal Emergency Management Agency's current Flood Insurance Rate Maps; and

     (2)  The government entity receives from the project owner or agent of the project owner:

          (A)  A copy of any written notification prepared by the appropriate government entity, in response to a request for determination from the project owner or agent of the project owner, that the proposed project is not required to comply with federal, state, or county floodplain management development standards, ordinances, codes, statutes, rules, or regulations pursuant to the requirements of the National Flood Insurance Program;

          (B)  A request for issuance of the permit that includes a statement that the owner or agent of the owner is prepared to pay any required fees; and

          (C)  Proof of a valid license in the respective field for any professional installing the project and confirmation that the installation of the project will comply with all applicable codes and laws.

     (b)  The self-certification process shall allow a project's relevant professionals to conduct permit reviews and inspections using commercially available software and the professionals' approvals shall be accepted without additional documentation; provided that the submitted documentation demonstrates compliance with all applicable codes and laws.  In addition, the self-certification process shall allow a project's relevant design professionals to utilize offline field reports for inspections to ensure faster reviews without added cost or delays.  

     (c)  If the requirements of subsection (a) and (b) are satisfied, the applicable government entity in the State that issues building permits shall issue the building permit number and close the permit within thirty days after the date that the application was submitted.

     (d)  As used in this section:

     "Offline field report" means a report that uses photos and videos taken of the project on site and submitted to a permitting authority to allow inspection remotely and asynchronously.

     "Solar distributed energy resource system" means an assembly of solar energy-generating or energy-storing materials, or any combined assembly of solar energy-generating and energy-storing materials, and the related infrastructure necessary for its operation.

     §196-     Solar distributed energy resource systems; No‑Rise/No‑Impact declaration requirements.  (a)  Any government entity in the State that issues building permits shall exempt behind-the-meter, customer-sited solar distributed energy resource systems from the Federal Emergency Management Agency's No-Rise/No-Impact declaration requirements; provided that the project is not located within a regulatory floodway as identified on the Federal Emergency Management Agency's current Flood Insurance Rate Maps.

     (b)  Each government entity in the State that issues building permits shall develop Federal Emergency Management Agency-accepted guidance for determining specific conditions when a No-Rise Certification is not required for a solar distributed energy resource system located in a regulatory floodway as identified on the Federal Emergency Management Agency's current Flood Insurance Rate Maps.

     (c)  Notwithstanding subsections (a) and (b), the project owner or agent of the project owner shall:

     (1)  Comply with all applicable codes and laws;

     (2)  Properly install the system on an already existing structure; and

     (3)  Not create additional obstruction within the regulatory floodway."

     SECTION 3.  New statutory material is underscored.

     SECTION 4.  This Act shall take effect on July 1, 2025.

Report Title:

Solar Distributed Energy Resource Systems; Permitting Self‑Certification; FEMA Flood Zone No-Rise/No Impact Declaration Requirements

Description:

Authorizes certain state government entities to establish a self-certification process for behind-the-meter, customer-sited solar distributed energy resource systems and exempt the systems from the Federal Emergency Management Agency No-Rise/No-Impact declaration requirements under certain circumstances.  (SD1)

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.

A BILL FOR AN ACT

relating to renewable energy.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  The legislature finds that Act 97, Session Laws of Hawaii 2015, requires electric utilities in the State to achieve a one hundred per cent renewable portfolio standard by December 31, 2045, to transition the State away from imported fossil fuels and toward locally available renewable energy sources.

     The legislature further finds that to encourage the timely build-out of a diverse, resilient, and reliable portfolio of low-cost renewable energy generation and storage assets, Hawaii must lower the administrative barriers that constrain deployment of residential and commercial-scale distributed energy resources.

     The legislature further finds that the permitting review process currently adds substantial time and cost to the adoption of residential solar and energy storage projects and that self-certification by duly licensed design professionals can significantly reduce this time, cost, and administrative burden without sacrificing public health and safety.

     The legislature further finds that unnecessary and misapplied rules in federally designated flood zones add undue time and cost to the installation of affordable and reliable renewable energy systems in vulnerable frontline communities, significantly hampering efforts to bolster their resiliency and protection from risk.

     The purpose of this Act is to reduce administrative barriers to the deployment of energy generation and storage technology systems by requiring government entities in the State to implement permitting self-certification and streamlined, common-sense permitting processes in federally designated flood zones real time by           .

     SECTION 2.  Chapter 196, Hawaii Revised Statutes, is amended by adding two new sections to be appropriately designated and to read as follows:

     "§196-     Self-certification; solar projects; energy storage projects.  (a)  Any government entity in the State that issues building permits shall establish a self‑certification process for behind‑the‑meter, customer‑sited solar distributed energy resource systems that deems permit applications approved and allows applicants to proceed to build the solar distributed energy resource system immediately; provided that the government entity receives written notice from:

     (1)  The project owner, or an agent of the project owner, that the owner or agent requests issuance of the permit and is prepared to pay any required fees; and

     (2)  The projects' relevant professionals are licensed in their respective fields and that the installation of the project shall comply with all applicable codes and laws.

     (b)  The self-certification process shall allow a project's relevant professionals to conduct permit reviews and inspections using commercially available software and the professionals' approvals shall be accepted without additional documentation; provided that the submitted documentation demonstrates compliance with all applicable codes and laws.  In addition, the self-certification process shall allow a project's relevant design professionals to utilize offline field reports for inspections that use photos and videos submitted remotely to ensure faster, asynchronous reviews without added cost or delays.  These measures ensure efficient, standardized permitting and inspection for behind-the-meter, customer-sited solar distributed energy resource systems.

     (c)  If the requirements of subsection (a) and (b) are satisfied, the applicable government entity in the State that issues building permits shall issue the building permit number and close the permit within thirty days of submittal of the application.

     (d)  As used in this section:

     "Offline field report" means a report that uses photos and videos taken of the project on site and sent to a permitting authority to allow inspection remotely and asynchronously. "Solar distributed energy resource system" means an assembly of solar energy-generating or energy-storing materials, or any combined assembly of solar energy-generating and energy-storing materials, and the related infrastructure necessary for its operation.

     §196-     Solar distributed energy resource systems; No‑Rise/No‑Impact declaration requirements; exemption from Federal Emergency Management Agency.  Any government entity in the State that issues building permits shall exempt behind-the-meter, customer-sited solar distributed energy resource systems from the Federal Emergency Management Agency No-Rise/No-Impact declaration requirements; provided that the project:

     (1)  Shall comply with all applicable codes and laws;

     (2)  Is properly installed on an already existing structure; and

     (3)  Does not create additional obstruction within the designated flood zone.

The value of the solar and storage distributed energy resource systems shall not be included in Federal Emergency Management Agency flood zone valuation calculations."

     SECTION 2.  New statutory material is underscored.

     SECTION 3  This Act shall take effect on July 1, 2025.

Report Title:

Solar Distributed Energy Resource Systems; Permitting Self‑Certification; Federal Emergency Management Agency Flood Zone No-Rise/No Impact Declaration Requirements

Description:

Authorizes certain state government entities to establish a self-certification process for behind-the-meter, customer-sited solar distributed energy resource systems and exempt the systems from the Federal Emergency Management Agency No-Rise/No-Impact declaration requirements under certain circumstances.

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.

STAND. COM. REP. NO. 846

Honolulu, Hawaii

RE:    S.B. No. 588

       S.D. 2

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

     Your Committee on Commerce and Consumer Protection, to which was referred S.B. No. 588, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO RENEWABLE ENERGY,"

begs leave to report as follows:

     The purpose and intent of this measure is to:

     (1)  Authorize certain government entities to establish a self-certification process for behind-the-meter, customer-sited solar distributed energy resource systems; and

     (2)  Exempt the systems from the Federal Emergency Management Agency No-Rise/No-Impact declaration requirements under certain circumstances.

     Your Committee received testimony in support of this measure from the Department of Land and Natural Resources, Hawaii State Energy Office, Hawaii Green Infrastructure Authority, Hawaii EV Association, Hawaii Food Industry Association, Climate Future Forum, Hawaii Solar Energy Association, Sunrun, Sierra Club of Hawaiʻi, 350Hawaii.org, Grassroot Institute of Hawaii, Carbon Cashback Hawaiʻi, and one individual.

     Your Committee received testimony in opposition to this measure from the Contractors License Board.

     Your Committee received comments on this measure from the Public Utilities Commission and Kauaʻi Island Utility Cooperative.

     Your Committee finds that existing law imposes administrative barriers that constrain deployment of residential and commercial-scale distributed energy resources.  To encourage the adoption of renewable energy, Hawaii must lower these administrative barriers.  Additionally, the permitting review process under existing law adds a substantial amount of time and cost to the adoption of residential solar and energy storage projects, and self-certification by duly licensed design professionals can significantly reduce this time, cost, and administrative burden without sacrificing public health and safety.  Your Committee further finds that this measure will help the State increase sustainability and resiliency by creating a streamlined, consistent permitting process as an efficient way to ensure that all regulations, rules, and safety guidelines are adhered to, while helping to relieve some of the backlog in the counties' overburdened permitting systems.

     Your Committee has amended this measure by:

     (1)  Inserting an effective date of July 1, 2050, to encourage further discussion; and

     (2)  Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

     As affirmed by the record of votes of the members of your Committee on Commerce and Consumer Protection that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 588, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 588, S.D. 2.

Respectfully submitted on behalf of the members of the Committee on Commerce and Consumer Protection,

STAND. COM. REP. NO. 62

Honolulu, Hawaii

RE:    S.B. No. 588

       S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

     Your Committees on Energy and Intergovernmental Affairs and Government Operations, to which was referred S.B. No. 588 entitled:

"A BILL FOR AN ACT RELATING TO RENEWABLE ENERGY,"

beg leave to report as follows:

     The purpose and intent of this measure is to authorize government entities in the State that issue building permits to:

     (1)  Establish a self-certification process for behind-the-meter, customer-sited solar distributed energy resource systems; and

     (2)  Exempt the systems from the Federal Emergency Management Agency No-Rise/No-Impact declaration requirements under certain circumstances.

     Your Committees received testimony in support of this measure from the Hawaii State Energy Office; Photonworks Engineering LLP; Sol-Ark; Sunnova Energy Corporation; Credence Projects LLC; Mālama Solar; Legasea Energy Foundation, Green Power Projects, LLC; Hawaii Solar Energy Association; Alternate Energy Hawaii, Alternate Energy, Inc.; Hawaii Food Industry Association; Grassroot Institute of Hawaii; 350Hawaii; and eight individuals.

     Your Committees received comments on this measure from the Department of Land and Natural Resources; Public Utilities Commission; Kauaʻi Island Utility Cooperative; and Association of State Floodplain Managers, Inc.

     Your Committees find that the State must lower administrative barriers that constrain the deployment of distributed energy resources to encourage the timely build-out of a diverse, resilient, and reliable portfolio of low-cost renewable energy generation and storage assets necessary for the State to achieve a one hundred percent renewable portfolio standard by December 31, 2045.  This measure leverages existing technologies to streamline the permitting process for certain solar distributed energy projects, thereby saving ratepayers and contractors time and money while enabling faster reduction of carbon emissions.

     According to testimony received by your Committees, the State and its counties are participating communities in the National Flood Insurance Program and are therefore subject to compliance with certain federal regulations set forth in the National Flood Insurance Act.  However, the measure, as it is currently written, contains provisions that are inconsistent with these federal regulations.  Accordingly, amendments to this measure are needed to address this matter.

     Your Committees have amended this measure by:

     (1)  Clarifying that all solar distributed energy resource systems subject to permit self-certification shall not be located within a special flood hazard area as identified on the Federal Emergency Management Agency's current Flood Insurance Rate Maps;

     (2)  Clarifying that all solar distributed energy resource systems to be exempted shall not be located within a regulatory floodway as identified on the Federal Emergency Management Agency's current Flood Insurance Rate Maps;

     (3)  Requiring that the project owner or their agent provide the government entity that issues building permits with a copy of any written notification prepared by the appropriate government entity that the proposed project is not required to comply with relevant laws relating to floodplain management;

     (4)  Requiring each government entity in the State that issues building permits to develop Federal Emergency Management Agency-accepted guidance for determining specific conditions when a No-Rise Certification is not required for a solar distributed energy resource system located in a regulatory floodway;

     (5)  Deleting language that would have prevented the value of the solar and storage distributed energy resource system from being included in Federal Emergency Management Agency flood zone valuation calculations;

     (6)  Amending section 1 to reflect its amended purpose; and

     (7)  Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

     As affirmed by the records of votes of the members of your Committees on Energy and Intergovernmental Affairs and Government Operations that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 588, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 588, S.D. 1, and be referred to your Committee on Commerce and Consumer Protection.

Respectfully submitted on behalf of the members of the Committees on Energy and Intergovernmental Affairs and Government Operations,