Hawaii HB946 establishes a carbon displacement tax credit for local producers replacing imported goods.

Hawaii HB946 creates a tax credit for local producers who replace imported goods, reducing carbon emissions. The bill allows producers to claim a credit for the carbon cost avoided by not importing goods. To qualify, producers must demonstrate that their goods are substantially similar to the imported ones, with at least 50% of the value added occurring within the state. The Department of Business, Economic Development, and Tourism issues carbon displacement certificates based on greenhouse gas emissions factors and carbon cost rates.

Hawaii HB946 establishes a carbon displacement tax credit for local producers replacing imported goods.

Hawaii HB946 creates a tax credit for local producers who replace imported goods, reducing carbon emissions. The bill allows producers to claim a credit for the carbon cost avoided by not importing goods. To qualify, producers must demonstrate that their goods are substantially similar to the imported ones, with at least 50% of the value added occurring within the state. The Department of Business, Economic Development, and Tourism issues carbon displacement certificates based on greenhouse gas emissions factors and carbon cost rates.