The State of Hawaii is rich in natural resources, yet relies on imported oil for almost 90% of its energy. It is, however, at a unique and opportune moment to steer its energy future and has recently committed to dramatic changes in its energy structure, both on the supply and demand side. The Hawaii Clean Energy Initiative put into place in late 2008 promotes aggressive goals for renewables, and efficiency as well as changes to transportation infrastructure. These changes are the result of strong interest and promotion on behalf of Federal, State and Local agencies and clean energy academic and special interest groups. The goal of the Hawai‘i Clean Energy Initiative is to meet 70% of State energy needs by 2030 through energy efficiency and renewables This paper will examine the opportunities and challenges faced by the State associated with its energy efficiency programs that were recently transitioned from utility to third party administration on July 1, 2009. The new portfolio of ratepayer funded programs were put into place during a very dynamic time in which State officials are making numerous changes to utility infrastructure, building codes and tax incentives. At the same time, energy prices had reached peak levels due to oil price fluctuations and federal stimulus funding became available for a wide range of energy efficiency related programs. This paper examines the transition issues and development goals and budgets of the ratepayer-funded portfolio of efficiency programs and the role played by the wide range of contributors.
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