SB 2999 requires the state Department of Transportation to create and adopt rules by January 1, 2028, establishing a clean fuel standard for alternative transportation fuels like electricity and biofuels. This rulemaking will directly affect fuel providers, refiners, and the state's transportation sector by setting requirements for reducing carbon emissions in these fuels. The bill mandates the DOT to develop specific standards for cleaner fuel use, focusing on lowering greenhouse gas emissions from transportation. It does not set immediate fuel requirements but establishes a timeline for the agency to create enforceable rules. The legislation is currently in committee review after its introduction in January 2026.
PART I: Repeals certain future adjustments to income tax brackets. Changes income tax rates. Amends the Renewable Energy Technologies Income Tax Credit by adding an aggregate cap amount, setting income thresholds, adding a certification requirement, and adding a sunset date. Adds sunset dates to the Capital Goods Excise Tax Credit and Renewable Fuels Production Tax Credit. PART II: Beginning 1/1/2028, repeals the Technology Infrastructure Renovation Tax Credit. Beginning 1/1/2029, repeals the High Technology Business Investment Tax Credit and Tax Credit for Research Activities. (CD2)
Requires the Director of Business, Economic Development, and Tourism to implement a requirement that, no later than January 1, 2028, diesel fuel sold in certain counties for use in on-highway diesel-powered motor vehicles contains no less than five per cent biodiesel by volume, except in circumstances where the supply of biodiesel is insufficient. Requires the Department of Business, Economic Development, and Tourism to submit a report to the Legislature, including a comprehensive rollout plan. Requires the Director of Business, Economic Development, and Tourism to consult with the Department of Transportation during the development and implementation of the biodiesel requirements and present DBEDT's comprehensive rollout plan to the public. Effective 7/1/3050. (SD1)
Amends the Renewable Energy Technologies Income Tax Credit by: Limiting claims for certain solar energy systems that are not third-party financed systems and installed and placed in service on a single-family residential property to taxpayers with an adjusted gross income of $175,000 or less if filing as an individual, $262,500 or less if filing as a head of household, or $350,000 or less if filing jointly; increasing the maximum adjusted gross income an individual taxpayer must be below in order to be eligible to have any excess credits refunded and limiting credit refundability to systems that are not third-party financed systems; and prohibiting a taxpayer from claiming a credit for a renewable energy technology system installed and placed in service on a residential property where the taxpayer has claimed a credit in prior taxable years. Applies to taxable years beginning after 12/31/2026. Sunsets 1/1/2029. (SD2)
Requires the design of all new state building construction where parking is to be included to provide that a number of the parking stalls, as determined by the Department of Accounting and General Services, shall be electric vehicle charger-ready. Requires the Hawaii State Energy Office, in consultation with the Department of Accounting and General Services and Department of Transportation, to conduct a survey and identify certain high-priority state facilities. Establishes a goal of the State to retrofit state facilities to be electric vehicle charger-ready. Requires a report to the Legislature. Appropriates funds. Effective 7/1/3000. (SD2)
Expands the provisions of the renewable fuels production tax credit. Applies to taxable years beginning after December 31, 2025. Effective 7/1/3000. (HD2)
Requires that lands within the agricultural district with class B or C soils that have solar or wind energy facilities must also obtain certification from the Department of Agriculture that the lands are also used for a farming operation. Effective 7/1/3000. (HD2)
Requires the Department of Transportation to conduct a feasibility study on implementing a clean fuel standard for alternative fuels in the State. Requires, no later than 1/1/2028, the Department of Transportation to adopt rules governing a clean fuel standard for alternative fuels in the State. Effective 7/1/3000. (HD1)
Requires all state and county agencies to utilize applicable federal clean energy tax credits, pursuant to the Inflation Reduction Act of 2022, for the purchase and financing of capital improvement projects that use clean energy technology and zero-emission vehicles. Effective 7/1/2050. (SD1)
Establishes a Carbon Sequestration, Underground Water, and Geothermal Exploration Resource Characterization Program via slim hole bores and requires a related statewide environmental assessment. Requires a report to the Legislature. Establishes positions. Appropriates funds. Effective 7/1/3000. (SD2)
