Hawaii Rainforest Campaign Update
11/16/91

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/** rainfor.genera: 149.0 **/
** Topic: Hawaii Update **
** Written 6:58 pm Nov 16, 1991 by annies in cdp:rainfor.genera
**
Aloha Friends,
Here are 3 documents relating to a new lawsuit filed in
Hawaii to stop the state's geothermal nightmare and to protect the Wao Kele
O Puna Rainforest. Please contact me by e-mail at "annies" or by phone at
(808) 941-2402 if you would like more updates.

-Annie

For Immediate Release October 23, 1991 Contact: Annie Szvetecz
(808) 941-2402 Skip Spaulding (808) 599-2436

WAO KELE O PUNA vs. WAIHEE
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COALITION SUES STATE TO STOP HAWAII GEOTHERMAL PROJECT

(Honolulu, Hawaii) The Sierra Club Legal Defense Fund, on behalf
of an unprecedented coalition of twelve environmental, cultural,
neighborhood and business groups, filed a landmark lawsuit today against
the State of Hawaii. The suit, filed in a Hawaii State Circuit Court,
challenges the state's pursuit of the entire geothermal/cable project on
the Big Island. The "Project" is an immense four-phase development plan to
build 20 geothermal power plants along Kilauea Volcano's East Rift Zone and
to transfer 500 megawatts of electricity to Oahu via a deep-sea cable.

The Plaintiffs claim, in "Wao Kele O Puna vs. Waihee," that current
activities of this federal-state-private enterprise are in violation of the
Hawaii Environmental Policy Act (HEPA). Although over $17 million in state
funds have been appropriated for the geothermal/cable project in the past
15 years, no state Environmental Impact Statement (EIS) has been completed.
"The state defendants' enthusiasm for the Hawaii Geothermal Project has
outrun both their good sense and one of Hawaii's fundamental environmental
laws," said Skip Spaulding, attorney for the Sierra Club Legal Defense
Fund. "It's foolhardy to proceed with geothermal development until a
cumulative and comprehensive environmental study, required by state and
federal law are completed," he said.

This lawsuit falls in the shadow of the June Federal Court ruling by Judge
David Ezra which ruled that the potential environmental, social, and
economic effects of the Project warrant an EIS. The activities of True
Geothermal, Ormat Energy Systems, and the Scientific Observation Hole
Program constitute the resource "verification and characterization" phase
of the geothermal/cable project. The federal government was in

-more-

violation of the National Environmental Policy Act by participating in the
first 3 phases of this project without the completion of an "adequate
federal EIS." All U.S. agencies are now prohibited from assisting in the
project and the U.S. Department of Energy plans to undertake an evaluation
of geothermal development in Hawaii which will include any alternatives to
the entire project.

"This new lawsuit is the decisive stroke in our campaign to protect the Wao
Kele O Puna Rainforest" said Meg Ruby of Greenpeace USA. "The state's
pursuit of geothermal has been a Rambo-like approach to a complex energy
problem," she said. Although True Geothermal Energy Company and Ormat
Energy Systems are not defendants in the suit, it is possible that the
state's involvement in their activities will be seriously questioned.
Modeled after federal law, HEPA requires that the EIS be done at the
earliest possible opportunity before actions are taken and project momentum
becomes too great. The plaintiffs include The Wao Kele O Puna Rainforest,
Greenpeace USA, Big Island Rainforest Action Group, Blue Ocean Preservation
Society, Citizens for Responsible Energy Development with Aloha Aina,
Friends of the Earth, Greenpeace Hawaii, Kapoho Community Association,
O'ahu Rainforest Action Group, Pahoa Business Association, Pele Defense
Fund, Rainforest Action Network, and the Sierra Club. The plaintiffs seek
a court injunction prohibiting any additional state or county participation
in the Project until a state EIS is completed. Defendants include Governor
Waihee; William Paty, Chairman of the Department of Land and Natural
Resources; Murray Towill, Director of the Department of Business, Economic
Development and Tourism; John Lewin, Director of the Department of Health;
Lorraine Inouye, Mayor of Hawaii County; Norman Hayashi, Director of the
Planning Department of Hawaii County; and Bruce McClure, Chief Engineer of
the Department of Public Works of Hawaii
County.

"The planning and engineering of this development is happening in secret,
behind closed doors. State law provides for an open public forum to
examine projects affecting our health and environment before substantial
commitments are made. We are taking action to force the government to
follow its own laws," said Carl Freedman of the Blue Ocean Preservation
Society.

Jane Hedtke, Secretary of Kapoho Community Association and neighbor to
current geothermal activities, is encouraged by the lawsuit. "In the
aftermath of the June blowout at Ormat, it is apparent that geothermal is
not compatible with the health, safety, and existing land uses of the
community. The EIS must address an alternative to any geothermal
development here in Puna."

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WAO KELE O PUNA vs. WAIHEE Statement by the Plaintiffs

As Plaintiffs representing the Puna Rainforest, Puna residents, Native
Hawaiians, and advocates of energy conservation and truly renewable
energies, we seek a court injunction which halts any further state or
county participation in the geothermal/cable project until a state
Environmental Impact Statement (EIS) is completed.

Governor John Waihee, together with the named defendants in this suit, have
been the chief promoters instead of chief regulators of geothermal energy
as it affects the health and well-being of the people and unique
environment of this state. Because of this ongoing governmental violation
of state and federal laws, we as plaintiffs must sue in order to protect
the environmental, economic, and cultural health of this state.

The state defines the "Hawaii Geothermal Project" to be a "Federal- State-
Private Partnership Leading Toward Commercialization." The project is
currently in "phase 3," the exploration phase of a 500MW geothermal energy
system available to Oahu via an underwater cable. Current geothermal
activities of both Puna Geothermal Venture and True/Mid-Pacific Geothermal
Venture are part of the project's exploration phase as it is defined by
state documents and officials involved with the "characterization and
verification" phase of development.

This suit is a result of our continued efforts to seek a moratorium on all
geothermal activities in Puna until both the state and federal EIS and the
state's Integrated Resource Planning (IRP) process is complete. This is
the only action that will afford decision-makers a thorough and competent
review of our energy options. Geothermal development has yet to stand up
to the scrutiny that a full EIS and the IRP process can provide. The
health and safety of Puna residents cannot be secured unless the state is
made to comply with the Hawaii Environmental Policy Act.

Greenpeace USA Kapoho Community Association Big Island Rainforest Action
Group O'ahu Rainforest Action Group Blue Ocean Preservation Society Pahoa
Business Association
CREDAA
Pele Defense Fund Friends of the Earth Rainforest Action Network
Greenpeace -Hawaii Sierra Club

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WAO KELE O PUNA vs WAIHEE
Background

"Our state's EIS statute clearly applies to our government involvement in
all aspects of geothermal development and it seems apparent that the same
reasoning which Judge Ezra applied at the federal level is equally
applicable to state action under state law."
State Representative Jerry Chang and State Senator Andrew
Levin

The 500MW Geothermal/Cable Project
The Hawaii Geothermal Project ("the Project") is an immense four-phase
development plan to build a complex of geothermal power plants on the
slopes of Kilauea Volcano, and thereby generate electricity to be
delivered by an inter- island cable system to Oahu. A 1990 DBEDT report
advertises the Project as "A federal-state-private partnership leading
toward commercialization." Its stated goal is to deliver at least 500
megawatts of energy for use on Oahu, Maui, and the Big Island. The phases
of the project include: (1) the resource assessment program, which included
the experimental HGP-A plant, (2) the deep-water cable project, (3) the
resource characterization and verification program, and (4) construction of
the commercial geothermal/cable system. Since 1978 the Hawaii State
legislature has enacted laws to encourage and assist geothermal
development. The Project is recognized by law as the largest development
project ever undertaken in Hawaii. The Governor's Advisory Board on
Geothermal states that the "geothermal and cable development should be
undertaken as a single enterprise in order to expedite development."

Current Development: Phase III
The state's Scientific Observation Hole program together with True/Mid-
Pacific Geothermal Venture and Puna Geothermal Venture compose phase 3 of
this joint "state-federal-private" partnership. DBED claims that the total
budget for this phase is $50 million, with $9 million from the State, $15
from the U.S. Department of Energy, and $26 million from the private
geothermal developers currently working in the Kilauea East Rift Zone.
This stage is considered the "final, critical phase" of the Project because
the completion of up to 25 commercial-scale wells will clear the way
for private construction of the full 500MW system. In a sworn
Affidavit, a True representative stated that his company must act quickly
to demonstrate the availability of a geothermal resource sufficient
to generate 500MW to Oahu via the undersea cable.

Victory in Federal Court
In June 1991, the U.S. District Court (Judge David Ezra) ruled that the
federal government was in violation of the National Environmental Policy
Act by participating in phase III without the completion of an "adequate
federal EIS." All U.S. agencies are now prohibited from participating or
assisting in the project and the U.S. Department of Energy plans to
undertake an EIS on geothermal development in Hawaii which will include
alternatives to the entire project.

State Law Mandates EIS
There has never been a comprehensive and cumulative study on the impacts of
geothermal development on Hawaii's forest, ocean. and native culture. The
Wao Kele O Puna Rainforest and its representative groups are suing the
Governor, his administration and the County of Hawaii for proceeding with
the project in violation of the Hawaii Environmental Policy Act (HEPA).
The law mandates a state EIS if an action "may have a significant effect on
the environment.." The Federal court supports the plaintiffs' claims
that the scale of environmental, social, and economic impacts of this
project warrant an EIS. These impacts include:

% Catastrophic environmental consequences
% Huge, unstudied financial risks to Hawaii taxpayers and electric utility
ratepayers
% Health and safety risks to the residents in the Puna District as
dramatically illustrated by the June 1991 blowout.
% Irreparable injury and harm to the subsistence, cultural, and spiritual
customs, practices and beliefs of Native Hawaiians

The state has not yet begun an EIS for the Project, nor does it
plan to include phase 3 in an EIS. The state's Scientific Observation Hole
program was recently halted, but plans for re- organizing the exploration
program are continuing and SOH project manager, Harry Olson states that the
program is "entering a new phase of permitting."

HEPA requires that the EIS be done at the earliest possible opportunity
before actions are taken and project momentum becomes too great. The above
plaintiffs seek a Court order compelling the commencement of the state EIS
process and a halt to all further state or county participation in the
Project until all defendants have complied completely with their HEPA
obligations.

Source: Wao Kele O Puna vs. John D. Waihee III, Complaint for
Declaratory and Injunctive Relief

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