Regulation could be brought back to the airline business under a bill that passed the Hawaii legislature this session.

It comes after the demise of Aloha Airlines, and at issue is whether it would help or hurt consumers.

When Aloha grounded its passenger business, they blamed the cost of oil and a low-fare price war. A measure called the "Hawaii Interisland Airlines Regulation" bill hopes that wouldn't happen again.

"By regulating the rates we can ensure that they have a reasonable rate of return and that the people of the state of Hawaii are serviced," said Rep Bob Herkes, (D) Puna-Kona, who introduced the bill/

The recent fare wars couldn't even cover airlines’ fuel bills, so the proposed law would set a floor -- a minimum on what a ticket should cost.

"It's a no-brainer: veto the bill because it's not going to protect the consumers,” said Sen. Gordon Trimble, (R) Downtown-Wakiki, “and it will wind up with more expensive airline tickets."

It would also put in place a complex barrier to entry for any new airline hoping to do business here -- they'd need to get a certificate of need from a newly created commission.

"It will protect those at are there against those that want to come into the marketplace and provide a new and a better service at a cheaper cost," Trimble said.

Existing airlines would be grandfathered in, but even with that protection Hawaiian Airlines saw flaws in the measure. They testified against it, saying it would “add restrictions and costs to an industry already beset with extremely high operating costs and a myriad of regulations."

Proponents of the measure see it differently.

"I don't see anybody knocking on the door trying to get in here,” Herkes said. “For example in the closing days of Aloha when they came in to see us about loan guarantees, we said bring somebody in, bring a viable carrier in."

Of course, no one bit.

"It's not so much that the private sector isn't willing to come out here,” Trimble said. “They're just nervous what would happen to them after they entered the marketplace."

The bill is before the governor who has not yet indicated whether she'll put it into law or veto it. The measure would require a federal waiver, something Alaska has in place.