Consumer Advocate Rejects Young Brothers' 26% Rate Hike Proposal, Calls for Investigation
The state's Consumer Advocate opposes Young Brothers' proposed annual adjustment, deeming the suggested 26% general rate increase too high. The advocate recommends an investigation into the company's operations and finances as a condition for any interest increase approval.
Young Brothers, a prominent Hawaii-based shipping company, is seeking a 26% interest rates increase, with automatic annual raises tied to inflation. The company's executives argue that the investments, including $74 million spent on new barges and tugboats, will enhance reliability, lower maintenance costs, and improve efficiency. The state Public Utilities Commission is currently reviewing the application, following a quasi-judicial hearing where commissioners and attorneys scrutinized the company's decisions and claims. This hearing marked the end of the process to decide on the proposed rate increase, with a final decision expected by the end of the year. Young Brothers last received a general rate increase in 2020, a significant 46% spike based on an emergency request.
The state's Consumer Advocate opposes Young Brothers' proposed rate increase, recommending an investigation into the company's operations and finances. The Public Utilities Commission will decide on the rate increase by the end of the year, following a thorough review of the company's claims and investments.
