Open Letter to Senator Glenn Wakai and the EET Committee

March 18, 2022

Dear Chair Wakai, Vice-Chair Bennette E. Misalucha, and members of the Energy, Economic Development, and Tourism Committee,

Urgent action is needed on HB2278 so that Hawaii can most effectively and fairly transition away from fossil fuels. This bill is one of the most consequential climate bills in the State Legislature. This measure passed the House, with over 90% of members voting in favor. 

There is widespread agreement that carbon cashback (carbon fee and dividend) represents one of the best ways to reduce our emissions. 

The Hawaii State Climate Commission stated in a 2018 news release: “The Commission believes that putting a price on carbon is the most effective single action that will achieve Hawaii’s ambitious and necessary emissions reduction goals.”  

"The climate crisis requires us to act now. We can’t wait any longer and must put a price on carbon, like the one proposed in HB2278." - Tyler Dos-Santos Tam, Chair of the Hawaii Democratic Party.

In its 2022 report, Hawaii’s Tax Review Commission’s first recommendation was for Hawaii to “Enact a carbon tax that reflects the social cost of carbon. Return 80 percent of the proceeds, other than proceeds from aviation fuel, to households.”

The Tax Review Commission’s recommendations leveraged the economic analysis from the University of Hawaii’s carbon pricing study that found a carbon tax set at the social cost of carbon (the rate proposed in HB2278) “results in a 40% reduction of greenhouse gases (GHGs) from 2019 levels, with small impacts on the overall economy. Giving revenues back to households in equal shares makes households economically better-off.”

"Climate change disproportionately affects low-income people. HB2278 helps to reverse this. This climate bill allows us to reduce global warming emissions, and since carbon dividends are distributed equally, care for low-moderate income residents.” - Susan Gorman-Chang, Faith Action Environmental Taskforce.

HB2278 puts a carbon fee on fossil fuel distributors and returns the funds in equal shares to people.  The bill is a win-win for Hawaii: It will reduce Hawaii’s greenhouse gas emissions and benefit most low and middle-income households financially.

We urge you to hold a hearing and pass HB2278 (Carbon Cashback) for the benefit of Hawaii’s environment and families.  Please support HB2278 so that Hawaii can most effectively and fairly transition away from fossil fuels. 

Sincerely,

Tyler Santos-Tam - Chair of the Democratic Party of Hawaii

Dr. Chip Fletcher - Interim Dean, School of Ocean and Earth Science and Technology

Heather Kimball - Hawaii County Council Member

Admiral Paul Zukunft - US Coast Guard (retired)

Dr. Sumner La Croix - Economist

Ruth Robison - United Nations Association - Hawaii Island Chapter

Russell Ruderman - Island Naturals, former State Senator

Molly Whiteley - State Coordinator, Citizens’ Climate Lobby Hawaii

Cara Oba - Climate Protectors Hawaii

Noel Morin - President, Hawaii EV Association, Big Island EV Association

Helen Cox - Chair, Kauai Climate Action Coalition (KCAC)

Sonja Kass - President, Kauai EV

Emily Ebert - GM, ProVision Solar, Inc.

Richard Ha - Chair - Sustainable Energy Hawaii

Susan Gorman-Chang - Faith Action’s Environmental Justice Task Force

Laurel Brier - Kauai Women's Caucus

Angela Amantite - University student

Barbara Best - Concerned resident

Barbara Gach - Concerned resident

Barry Solomon - Concerned resident

Camry Gach - High School Student

Carol Cam - Citizens’ Climate Lobby - Maui Chapter leader

David Jantz - Concerned resident

Doug Perrine - Concerned resident

Douglas Hagan - Citizens’ Climate Lobby - Maui Chapter leader

Jaymen Laupola - Senior Program Officer at the East-West Center

Joanna Norton - Concerned resident

John Latkiewicz - Formerly with Small Business Development Center

Keith Neal - Concerned resident

Logan Lee - High school student

Lorn Douglas - Concerned resident

Mark White - Concerned resident

Mike Lewis - Concerned resident

Robert Pearsall - Former staffer of Senator Wakai

Ronald Reilly - Citizens’ Climate Lobby - Hawaii Island Chapter leader

Sam Pintz - Energy/environment consultant

Sara Bower - Senior at UH-Manoa Global Environmental Science

Sarah Moore - Concerned resident

Sheryl Roberts - Concerned resident

Steve Parsons - Kauai Climate Action Coalition

Virginia Tincher - Citizens’ Climate Lobby - Oahu Chapter leader

Zoe Whitney - University student