STAND. COM. REP. NO. 74

Honolulu, Hawaii

, 2021

RE: H.B. No. 683

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-First State Legislature

Regular Session of 2021

State of Hawaii

Sir:

Your Committee on Economic Development, to which was referred H.B. No. 683 entitled:

"A BILL FOR AN ACT RELATING TO SUSTAINABLE AVIATION FUEL,"

begs leave to report as follows:

The purpose of this measure is to:

(1) Establish the Sustainable Aviation Fuel Program to provide matching grants to any small business in Hawaii that is developing products related to sustainable aviation fuel or greenhouse gas reduction from commercial aviation operations; and

(2) Specify that monies for the program are from legislative appropriations out of the Environmental Response, Energy, and Food Security Tax.

Your Committee received testimony in support of this measure from the Department of Transportation. Your Committee received comments on this measure from the Department of the Attorney General, Office of Planning, Hawaii State Energy Office, and Hawaii Technology Development Corporation.

Your Committee finds that greenhouse gas emissions from air travel have historically been one of the largest sources of Hawaii's greenhouse gas emissions. This measure positions the State to continue to be a leader in the promotion of sustainable aviation fuels by providing opportunities for greenhouse gas reduction in aviation operations and the development of sustainable aviation fuels.

Your Committee has amended this measure by:

(1) Clarifying that the monies necessary for the Sustainable Aviation Fuel Program may, rather than are required to, be appropriated by the Legislature from the Environmental Response, Energy, and Food Security Tax revenues;

(2) Changing the effective date to July 1, 2050, to encourage further discussion; and

(3) Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.

As affirmed by the record of votes of the members of your Committee on Economic Development that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 683, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 683, H.D. 1, and be referred to your Committee on Consumer Protection & Commerce.

Respectfully submitted on behalf of the members of the Committee on Economic Development,

____________________________

SEAN QUINLAN, Chair