HI SB2652

Establishes a renewable fuels production tax credit allowing taxpayers to claim 20 cents per 76,000 British thermal units (BTU) of renewable fuels sold in Hawaii, with a maximum annual credit of $3,000,000 per taxpayer.

Renewable fuels credit period limited to 5 consecutive years, beginning when a taxpayer produces at least 15 billion BTU of renewable fuels per year from feedstocks including biomass, agricultural residues, oil crops, waste cooking oil, food waste, and animal residues.

Eligible renewable fuels must meet ASTM International or industry specifications and include ethanol, methanol, hydrogen, biodiesel, biogas, renewable diesel, renewable jet fuel, and renewable gasoline.

Requires Department of Business, Economic Development, and Tourism to verify renewable fuels production, certify tax credits, and report annually to the governor and legislature on production facilities and output.

Repeals the existing ethanol facility tax credit effective upon approval, with the renewable fuels production tax credit applicable to taxable years beginning after December 31, 2016, and expiring December 31, 2021.