A clean fuel standard may be on the horizon as the state works to eliminate greenhouse gas emissions from its transportation sector.
Switching to lower-carbon fuels, including sustainable aviation fuel for air travel, is one of the strategies included in the Hawaiʻi Department of Transportation's forthcoming emissions reduction plan.
That plan is a requirement of a landmark settlement agreement the state reached with a group of youth plaintiffs last summer who claimed the state hadn't done enough to reduce climate pollution from the transportation sector. HDOT is expected to release a draft of the plan on Friday.
HDOT director Ed Sniffen told lawmakers on Wednesday that transitioning to lower-carbon fuels and electrification across air, marine, and ground travel will have the "biggest impact" of all the emissions-reduction strategies that have been evaluated.
Domestic aviation is responsible for about a quarter of the state's total emissions.
The aviation industry has already been working to swap out jet fuel with lower-carbon alternatives, and many airlines that service Hawaiʻi including Hawaiian and Alaska have set their own emissions-reduction goals.
But sustainable aviation fuel is more expensive than conventional fuel and in limited supply, and Sniffen said the state's timeline to achieve net-zero emissions is more aggressive than those set by the airlines.
"It's difficult for industry to swallow. There's going to be additional costs that come to them, additional costs that come to all of us as users," Sniffen said.
Sniffen said HDOT has had conversations with stakeholders in the aviation, marine, and ground transportation sectors about the hurdles in the state's transition away from fossil fuels.
"I will say none of the industries are pushing back and saying, 'This is not important.' They're just saying, 'We got to see how we do this so we can afford it,'" he added.
A clean fuel standard could incentivize the development and use of lower-carbon fuels, such as sustainable aviation fuel, biodiesel, and even electrification through tax credits.
HDOT says it plans to prepare a legislative package for lawmakers ahead of the 2026 legislative session that could include a clean fuel standard.
"The state needs to take some action, similar to states such as California and Washington, to make these fuels competitive in the market," said Nicholas Nishimura, a rising junior at Waipahu High School and a member of HDOT's youth council, which has been working with the department on its greenhouse gas reduction plan.
Nishimura cautioned that the transition away from imported gasoline and jet fuel may raise costs for Hawaiʻi consumers.
With the help of the University of Hawaiʻi, HDOT is currently conducting an analysis of the possible financial impact of a clean fuel standard on Hawaiʻi residents, which will be provided to lawmakers ahead of the next legislative session.
