Hawaiian Electric shares fall 8 percent on Ige’s new PUC appointment
STAR-ADVERTISER / DEC. 4, 2012
A Hawaiian Electric Co. crews repairs downed powerlines on Salt Lake Boulevard in Halawa.
Hawaiian Electric Industries Inc. stock dropped as much as 8 percent today, following Gov. David Ige’s announcement Wednesday that he was replacing a Public Utilities Commission member days ahead of the agency’s decision regarding NextEra Energy Inc.’s $4.3 billion proposed purchase of HEI.
Ige, who is opposed to the sale to NextEra, said he is replacing outgoing PUC Commissioner Mike Champley with the PUC’s Chief Counsel Tom Gorak. Champley’s term expires today. Ige said Gorak will take over starting Friday. Ige said he appointed Gorak, 64, because his views align with the governor’s.
HEI stock closed at $32.79, down $1.69 or 4.9 percent, after recovering from an intraday low of $31.69.
Paul Patterson, analyst with Glenrock Associates LLC, said the appointment of Gorak causes concern that the sale of Hawaii’s largest electric utility to NextEra won’t go through.
“People are concerned that the merger may not take place,” Patterson said. “The one utility commissioner who was a previous utility executive before he moved to Hawaii is leaving and he is being replaced by someone else.
Florida-based NextEra Energy announced in December 2014 its plan to buy HEI, which supplies power to 90 percent of the state. Ige has repeatedly said he is opposed to the buyout because he does not believe NextEra is the right partner for Hawaii to achieve its goal of getting 100 percent of its electric power from renewable sources by 2045.
14 responses to “Hawaiian Electric shares fall 8 percent on Ige’s new PUC appointment”
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Ige is one and done………… Won’t be reelected.
sale was dead several months ago
Hey Ding Dong allie stick to the issue of my comment !
just wait til next week
Good!
Guess Ige showed the people that Democrats don’t care about Wall Street.
I own stock and I am against NEXTERA!
Poor Connie! She can see the rips in her parachute.
Ige the gift that keeps on giving. Maybe the rolling blackouts should now start in Pearl City Ige’s old district.
They already do
Mr. Champley did not resign. Champley should remain a PUC Commissioner until Tom Gorak can be confirmed by the Senate. Champley should not be forced out.
Ige took a play out of Obamas play book. I am the king and the rule of law does not apply to me. God I can’t stand listening to that guy.
One must ask the question: “Who is advising the governor on critical matters such as the PUC and the proposed acquisition?” It does not sit well for many people who understand that one of his closest advisors is a former employee of Hawaiian Electric who has ready access to the fifth floor of the State Capitol. It is highly doubtful that any advice from such a source can be considered absolutely pristine.
“People are concerned that the merger may not take place,” Patterson said. No, shareholders are concerned.