STAND. COM. REP. NO. 228

Honolulu, Hawaii

, 2025

RE: H.B. No. 1459

H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Madame:

Your Committee on Energy & Environmental Protection, to which was referred H.B. No. 1459 entitled:

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

begs leave to report as follows:

The purpose of this measure is to establish requirements for commercial airlines to utilize at least ten per cent sustainable aviation fuel in intrastate flights beginning January 1, 2030, to be increased annually by five per cent until January 1, 2045, at which time one hundred per cent sustainable aviation fuel will be required.

Your Committee received testimony in support of this measure from Coalition Earth; Blue Planet Foundation; Biotechnology Innovation Organization; and one individual. Your Committee received testimony in opposition to this measure from Alaska x Hawaiian Airlines; Environmental Caucus of the Democratic Party of Hawaiʻi; Energy Justice Network; and Airlines for America. Your Committee received comments on this measure from the Department of the Attorney General and Twelve Benefit Corporation.

Your Committee finds that sustainable aviation fuel offers a promising alternative to conventional fuels and can help minimize carbon emissions while fostering economic growth in the clean energy sector. This measure helps increase sustainable aviation fuel usage by requiring commercial airlines to utilize at least ten per cent sustainable aviation fuel in intrastate airline flights by January 1, 2030.

Your Committee has amended this measure by:

(1) Removing the annual five per cent increases for sustainable aviation fuel usage and the requirement for one hundred per cent sustainable aviation fuel usage;

(2) Removing the requirement that the Department of Transportation collaborate with various entities for the development and funding of sustainable aviation fuel;

(3) Requiring the Department of Transportation to adopt rules in consultation with the Hawaii State Energy Office;

(4) Removing the requirement that the Department of Transportation adopt rules to incentivize the development and use of sustainable aviation fuels;

(5) Amending the definition of "sustainable aviation fuel" to mean liquid fuels that consist of synthesized hydrocarbons, meet certain standards, and are derived from biomass resources, waste streams, renewable or zero carbon energy sources, or gaseous carbon oxides;

(6) Removing the appropriation;

(7) Changing the effective date to July 1, 3000, to encourage further discussion; and

(8) 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 Energy & Environmental Protection that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1459, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1459, H.D. 1, and be referred to your Committee on Transportation.

Respectfully submitted on behalf of the members of the Committee on Energy & Environmental Protection,

____________________________

NICOLE E. LOWEN, Chair