STAND. COM. REP. NO.  1609-14

Honolulu, Hawaii

                , 2014

RE:   S.B. No. 2198

      S.D. 1

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Seventh State Legislature

Regular Session of 2014

State of Hawaii

Sir:

     Your Committee on Finance, to which was referred S.B. No. 2198, S.D. 1, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO RENEWABLE FUELS,"

begs leave to report as follows:

The purpose of this measure is to create a Renewable Fuels Task Force within the Department of Business, Economic Development, and Tourism to perform a feasibility study and make recommendations to the Legislature on:

     (1)  Potential changes to the existing requirement that locally produced renewable fuels account for at least ten percent of a distributor's annual sales of fuels for motor vehicles;

     (2)  Requiring a mixture of up to five percent of locally produced biofuels in purchasable diesel fuels; and

     (3)  Locally produced renewable fuels that meet relevant international specifications.

Hawaii Renewable Energy Alliance; Alliance of Automobile Manufacturers; American Chemistry Council; Pacific Biodiesel Technologies; and an individual supported this measure.  The Department of Business, Economic Development, and Tourism; Chevron; Hawaii Independent Energy; and Hawaii Auto Dealers Association commented on this measure.  

     As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2198, S.D. 1, H.D. 1, and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Finance,

____________________________

SYLVIA LUKE, Chair