Hawaiian Airlines and Kapolei-­based petroleum refiner Par Hawaii plan to team up to study the commercial viability of locally produced sustainable aviation fuels to replace all or a percentage of traditional kerosene-based jet fuel with fuel that is made with sustainable feedstocks.

The venture would reduce carbon emissions, address climate change and create a more sustainable energy future for the state.

“This is the first step in what we hope will be a long and productive relationship that reflects both parties’ unwavering commitment to the environment and to these islands we call home,” Hawaiian President and CEO Peter Ingram said in a statement. “SAF (sustainable aviation fuels) is an integral part of decarbonizing aviation, and we hope to be able to make joint investments in SAF production here in Hawaii, which will benefit both the environment and our economy.”

Hawaiian and Par Hawaii signed a memorandum of understanding to jointly evaluate the potential to convert two of the processing units at Par’s Kapolei refinery to produce renewable fuels, including sustainable aviation fuel; explore the production of locally grown, oil-yielding crops; study the feasibility of importing sustainable feedstocks to produce sustainable aviation fuel and other renewable products; and convene stakeholders to continue to support and identify federal and state policies and programs that accelerate Hawaii-based production of renewable fuels.

“We have over 260 employees at our Kapolei refinery engaged in high-quality manufacturing work,” said William Pate, president and CEO of Houston-based Par Pacific Holdings Inc., the parent company of Par Hawaii. “We’re excited to be partnering with Hawaiian Airlines to innovate and position our business for the future. Aviation fuel represents approximately 40% of Hawai‘i’s fuel demand, and our work with Hawaiian is an important step in addressing these emissions.”

In 2019 Par Pacific invested $27 million in a distillate hydrotreater at its Kapolei refinery to produce more jet fuel and ultra-low sulfur diesel. This new processing unit, along with the refinery’s distillate hydrocracker — which produces high-value transportation fuels by converting heavier, lower-value products under high temperature and pressure — are the two primary units being considered for renewable fuels production.