Bill > SB2375

This bill establishes a tax credit for the distribution of sustainable aviation fuel in Hawaii, aiming to reduce greenhouse gas emissions from the aviation sector. The credit starts at $1 per gallon of sustainable aviation fuel that meets a specific emissions reduction threshold, with the amount increasing by two cents for every additional one percent of emissions reduction beyond that threshold, up to a maximum of $2 per gallon. The total amount of credits available annually is capped at $20,000,000, with provisions for unused credits to be carried over. Taxpayers claiming this credit must submit detailed reports to the Department of Transportation, including information on the fuel's origin, emissions data, and employment figures, and this information will be publicly accessible. The credit applies to taxable years beginning after December 31, 2025, and the program will sunset on December 31, 2035. The bill defines "sustainable aviation fuel" as liquid fuel meeting specific industry standards and derived from renewable sources, and "lifecycle greenhouse gas emissions" as calculated using a specific model from the U.S. Department of Energy.

Government Affairs

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=SB&billnumber=2375&year=2026