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$15 million in state funding sought for geothermal exploration in Hawaii

$15 million in state funding sought for geothermal exploration in Hawaii Mauna Kea, Mauna Loa, and Hualalai mountains at sunrise from Kawaihae, Hawaii (source: Narrissa Spies, CC BY-SA 4.0 , via Wikimedia Commons)
Carlo Cariaga 8 Jan 2026

In the coming legislative session, the DHHL will be seeking to secure state funding of $15 million for geothermal exploration in three proposed sites.

The Department of Hawaiian Home Lands (DHHL) is planning to ask state legislature for funding of $15 million over three years to investigate and identify geothermal resources in the state. This proposal will be part of the legislative package from the DHHL for the 2026 legislative session.

The DHHL has identified at least three possible sites for geothermal exploration, including in Humu’ula, Kawaihae, and in South Point on Hawaii Island. However, the department clarifies that there are also interesting sites in other islands.

“It’s actually a tremendous potential revenue source, especially considering the cost of electricity nowadays,” said DHHL Chair Kali Watson, further adding that the revenue from geothermal could lower electricity costs, fund home construction, and produce water.

DHHL had previously proposed a $20 million budget for geothermal exploration, specifically including slim-hole drilling, under House Bill 1307 during the 2025 legislative session. The same three sites were identified in the previous proposal. The bill was passed by both the Committee on Energy and Environmental Protection and the Committee on Judiciary and Hawaiian Affairs. However, it was met with opposition by residents over concerns of health issues related to the Puna geothermal power plant.

Watson says that the department will be using new technology designed to protect the environment and that drilling locations would be carefully selected so that they will be be near residential communities or archaeological sites.

“This is not something that they are trying to sneak in or anything like that. They’ll have to carry out beneficiary consultation, and they have to follow through on complying with the state’s environmental impact law,” added State Rep. David Tarnas, House Judiciary and Hawaiian Affairs Committee chair.

HB 1307 will be carried over the next legislative session. Another proposal to be carried over to the 2026 legislative session, Senate Bill 269, seeks to appropriate funds for geothermal exploration in smaller counties under the Department of Business, Economic Development and Tourism.

Source: Hawaii News Now and Hawaii Public Radio