H.B. 2060 Summary

• Establishes a renewable fuels production tax credit providing 20 cents per 115,000 British thermal units (BTUs) of qualifying renewable fuels produced and sold in Hawaii, with a maximum annual cap and 5-year credit period, contingent on minimum production of 15 billion BTUs per year.

• Qualifies renewable fuels include methanol, ethanol, hydrogen, biodiesel, renewable diesel, biofuels, and renewable jet fuel produced from renewable feedstocks (biomass, agricultural residues, oil crops, food waste, municipal solid waste, and animal residues) sourced within 2,000 miles of the production facility.

• Repeals the existing ethanol facility tax credit (§235-110.3), replacing it with the broader renewable fuels credit to diversify Hawaii's energy production beyond ethanol alone.

• Requires the Department of Business, Economic Development, and Tourism to certify qualifying fuel production amounts, verify credits, and submit annual reports on production effectiveness to the governor and legislature.

• Appropriates funds for fiscal year 2015-2016 to administer an annual survey on the new tax credit; effective July 1, 2050 for taxable years beginning after December 31, 2014.