Back to Hawaii

HB1257 • 2026

RELATING TO ENERGY.

RELATING TO ENERGY.

Budget Energy Technology
Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor
ILAGAN
Last action
2025-12-08
Official status
Carried over to 2026 Regular Session.
Effective date
Not listed

Plain English Breakdown

The official source material does not provide specific details about the criteria for being resident-owned or conducting high-technology readiness level research beyond what is stated in the bill text.

Hawaii Office of Naval Research Grant Program

This bill allows the Hawaii Technology Development Corporation to create a two-year grant program that matches federal grants for alternative energy research awarded by the U.S. Department of Defense's Office of Naval Research.

What This Bill Does

  • Creates a two-year Hawaii Office of Naval Research Grant Program run by the Hawaii Technology Development Corporation.
  • Provides matching grants up to fifty percent of the amount received from the U.S. Department of Defense’s Office of Naval Research for alternative energy research.
  • Establishes criteria that businesses must meet to receive these grants, including being resident-owned and conducting high-technology readiness level research.
  • Sets up an Alternative Energy Research and Development Revolving Fund to manage funding for the grant program.
  • Sunsets or ends the grant program on June 30, 2027.

Who It Names or Affects

  • Hawaii businesses that receive alternative energy research grants from the U.S. Department of Defense’s Office of Naval Research.
  • The Hawaii Technology Development Corporation and other state agencies involved in economic development.

Terms To Know

Alternative Energy
Energy sources like solar, wind, or geothermal that are renewable and have a lower environmental impact than traditional fossil fuels.
Grant Program
A program funded by the government to provide financial support for specific projects or research.

Limits and Unknowns

  • The bill does not specify how much money will be allocated to the grant program.
  • It is unclear which businesses will qualify and receive grants under this program.
  • The program ends on June 30, 2027, after two years.

Bill History

  1. 2025-12-08 D

    Carried over to 2026 Regular Session.

  2. 2025-01-27 H

    Referred to ECD, EEP, FIN, referral sheet 4

  3. 2025-01-23 H

    Introduced and Pass First Reading.

  4. 2025-01-22 H

    Pending introduction.

Official Summary Text

RELATING TO ENERGY.
Alternative Energy Research; Hawaii Technology Development Corporation; Office of Naval Research; Grant Program; Appropriation ($)
Authorizes the Hawaii Technology Development Corporation to establish a two-year Hawaii Office of Naval Research Grant Program to provide fifty per cent matching grants to Hawaii awardees of alternative energy research grants from the United States Department of Defense Office of Naval Research. Establishes and appropriates funds into and out of the Alternative Energy Research and Development Revolving Fund. Sunsets the grant program on 6/30/2027.

Current Bill Text

Read the full stored bill text
HB1257

HOUSE OF REPRESENTATIVES

H.B. NO.

1257

THIRTY-THIRD LEGISLATURE, 2025

STATE OF HAWAII

A BILL FOR AN ACT

relating
to energy
.

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

����
SECTION
1.
�
The legislature finds that Act 159,
Session Laws of Hawaii 2015 (Act 159), authorized the high technology
development corporation to provide fifty per cent matching grants of up to
$500,000 to Hawaii businesses that were awarded alternative energy research
grants by the United States Department of Defense Office of Naval Research
between 2015 and 2017.
�
The Hawaii office
of naval research grant program was established to implement Act 159.

����
In the
program's final year, the legislature passed Act 69, Session Laws of Hawaii
2017, which, in part, changed the name of the high technology development
corporation to the Hawaii technology development corporation.
�
In its 2017 annual report, the Hawaii
technology development corporation noted that it had awarded a total of
$950,000 to three local companies, which were then matched with a total of
$10,200,000 in federal funds.
�
The
legislature also finds that re-establishing this program would align with the
State's goal to achieve one hundred per cent clean energy by the year 2045,
while encouraging economic growth and diversification.

����
Accordingly,
the purpose of this Act is to:

����
(1)
�
Re-establish the two-year Hawaii office of
naval research grant program; and

����
(2)
�
Establish the alternative energy research and
development revolving fund.

����
SECTION
2.
�
(a)
�

There is established within the department of business, economic
development, and tourism, a two-year Hawaii office of naval research grant
program to provide grants to qualified businesses conducting research and
development in alternative energy.
�
The
purpose of the program shall be to promote the research and development of
alternative energy in the State by authorizing the Hawaii technology
development corporation to provide matching grants to businesses that meet
criteria established pursuant to subsection (b).

����
(b)
�
Subject to the availability of funds, the
Hawaii technology development corporation may provide a grant to any business
that:

����
(1)
�
Has been awarded a competitive contract from
the United States Department of Defense Office of Naval Research that is
related to research on alternative energy and energy efficiency technologies in
the fields of geothermal, solar, wind, ocean power, hydrodynamics, bioenergy,
biomass, solid waste, smart grids, transportation, or demand response;

����
(2)
�
Is sixty per cent or more resident-owned;
provided that for purposes of this paragraph, "resident" shall have
the same meaning as defined in section 235-1, Hawaii Revised Statutes;

����
(3)
�
Is a for-profit entity organized under the
laws of the State;

����
(4)
�
Has been doing business in the State for not
less than one year;

����
(5)
�
Agrees to expend all grant funds awarded
pursuant to this Act in the State; and

����
(6)
�
Conducts research in alternative energy that
has a high technology readiness level or high potential for implementation as
evidenced by a contract with the United States Department of Defense Office of
Naval Research, that is funded by moneys designated by the United States
Congress as funding for alternative energy and a national defense budget
funding directive, and is existing and active or was granted within three years
before the effective date of this Act;

provided that the amount of any grant awarded
pursuant to this Act shall not exceed fifty per cent of the amount of the grant
awarded to the business by the United States Department of Defense Office of
Naval Research; provided further that the business shall not be eligible for a
grant pursuant to this section if the business has obtained any other state
grant for the same research, other than the grant awarded to the business by
the United States Department of Defense Office of Naval Research, at the time
of or during the duration of the grant from the Hawaii office of naval research
grant program.

����
(c)
�
The Hawaii office of naval research grant
program shall cease to exist on June 30, 2027.

����
(d)
�
The department of business, economic
development, and tourism shall adopt rules pursuant to chapter 91, Hawaii
Revised Statutes, necessary for the purposes of implementing the Hawaii office
of naval research grant program.

����
SECTION
3.
�
There is established the alternative
energy research and development revolving fund for the purpose of promoting
alternative energy research and development in Hawaii.

����
The
alternative energy research and development revolving fund shall be abolished
on June 30, 2027, and all unencumbered balances shall lapse to the credit
of the general fund.

����
SECTION
4
.
�
There
is appropriated out of the general revenues of the State of Hawaii the sum of $
or so much thereof as may be necessary for
fiscal year 2025-2026 and the
same sum or so much thereof as may be necessary for fiscal year 2026-2027
to be deposited into the
alternative
energy research and development revolving fund
.

����
SECTION
5
.
�
There
is appropriated out of the
alternative energy research and development
revolving fund
the sum of $
or so much thereof as may be necessary for fiscal year for
fiscal year
2025-2026 and the same sum or so much thereof as may be necessary for fiscal
year 2026-2027
for the Hawaii
Office of Naval Research grant program established under section 2 of this Act.

����
The sums appropriated shall be expended by
the Hawaii technology development corporation for the purposes of this Act.

����
SECTION 6.
�
This Act shall take effect on July 1, 2025.

INTRODUCED BY:

_____________________________

Report Title:

Alternative
Energy Research; Hawaii Technology Development Corporation; Office of Naval
Research; Grant Program; Appropriation

Description:

Authorizes
the Hawaii Technology Development Corporation to establish a two-year Hawaii
Office of Naval Research Grant Program to provide fifty per cent matching
grants to Hawaii awardees of alternative energy research grants from the United
States Department of Defense Office of Naval Research.
�
Establishes and appropriates funds into and
out of the Alternative Energy Research and Development Revolving Fund.
�
Sunsets the grant program on
6/30/2027.

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