State lawmakers yesterday continued to debate how to bring Hawai'i's nearly eight-month experiment with gasoline price controls to an end.

The future of the controversial law is in the hands of a Senate-House conference committee, which must resolve differences between the two bodies before midnight tomorrow.

The committee discussed a compromise proposal offered Tuesday by Sen. Ron Menor, D-17th (Mililani, Waipi'o), a key supporter of the gas cap. Menor agreed to replace the cap with a law that would require more disclosure of oil-industry profits, continue to calculate a theoretical price cap and empower the governor to bring back temporary price controls if needed.

No decision was reached yesterday, and the committee was to continue talks today. If the two sides do not reach agreement by tomorrow, the present wholesale price cap will remain in effect for another year.

House members yesterday continued to advocate an outright repeal of the price-cap law in favor of increasing oversight of the oil industry.

Gov. Linda Lingle yesterday said she supported the idea of repealing the gasoline price cap.

"The gas cap is a bad idea," she said. "If they're going to repeal it or suspend it, I think that's a good thing."

Hawai'i is the only state in the nation to regulate gasoline prices. The price cap, which took effect last September, has not been a clear-cut success or failure. Still, public sentiment has turned against the controls, which have not prevented pump prices from spiking above $3 a gallon for regular in Honolulu.

Talks concerning the future of the price-cap law are occurring amid a prolonged rise in the caps in response to rising Mainland prices. The cap, which is adjusted each Monday based on Mainland prices, will rise 4 cents a gallon next week, according to the state Public Utilities Commission. That's on top of a 14-cent increase this week.

Reach Sean Hao at shao@honoluluadvertiser.com.