July 29, 2024 [Honolulu, HI]—On Friday, July 26, Hawaiʻi Gas filed an application with the Hawaiʻi Public Utilities Commission (PUC) requesting adjustments to utility gas rates on all islands. The energy provider is committed to maintaining affordable rates for its customers without compromising on safety, reliability, or system improvements. The rate increase would provide for increased reliability and energy resiliency and cover operational and maintenance costs that have gone up significantly over the past seven years.
If approved, any changes in rates as part of this PUC application would affect only the company’s utility customers and are not expected to go into effect until mid-2025 at the earliest.
Hawaiʻi Gas is seeking an average statewide increase of about 17.7% in utility rates, which is equivalent to approximately a 2.5% per year increase since its last rate case. Rate adjustments will differ by island and customer rate class, depending on various factors, including cost of service and equity considerations.
Hawaiʻi Gas understands the impact that this may have on customers and offers a variety of resources to those who anticipate challenges paying their energy bills, including payment plan arrangements and referral to and administrative filing with low-income assistance programs and agencies.
“Regular investments in operational infrastructure are essential to ensuring the safety and reliability of our gas manufacture and distribution system, as well as to provide our customers with the highest level of service,” said Alicia Moy, president and CEO of Hawaiʻi Gas. “Like many other local businesses, we’ve been affected by inflation and market forces resulting in higher operational costs. We’ve been working hard to keep necessary rate increases to modest levels when compared to inflation over the same time period, while still making prudent investments to support safety, reliability, systems improvements and our clean and renewable energy initiatives aligned with the state’s climate goals.”
Non-utility tank and bottled gas customers are not affected by this action. Utility customers are typically those who are served by an underground pipeline. The requested increase is not related to any changes in the cost of fuel which are passed through to customers without a markup.
The PUC will review the rate case filing and conduct a thorough evaluation process, including opportunities for public comment and hearings. Hawaiʻi Gas customers and the community are encouraged to stay up to date on rate case application proceedings by visiting www.hawaiigas.com/ratecase.
About Hawai‘i Gas Established in 1904, Hawaiʻi Gas is the only government-franchised, full-service gas company manufacturing and distributing gas in Hawaiʻi. Hawaiʻi Gas manufactures synthetic natural gas (SNG), blended with renewable natural gas (RNG) and hydrogen for its utility customers on Oʻahu, and distributes liquefied petroleum gas, or LPG (propane), to utility, tank and bottled gas customers throughout the state’s six primary islands. It produces RNG at the award-winning Honouliuli Wastewater Treatment Plant on Oʻahu. For more information, visit Hawaiigas.com.
