Question: Auwe! My electric bill is almost $350 and we hardly ever run the air conditioner. We are using less electricity than last summer yet the bill is through the roof. What’s going on?
Answer: Hawaiian Electric had warned in March, after Russia invaded Ukraine, that rising oil prices globally would drive up electric bills locally, with a 10% increase forecast for residential customers on Oahu and a 20% jump expected in Maui and Hawaii counties.
“We know these higher rates are painful, especially as prices for nearly every other commodity are rising. We’re all paying more primarily because Hawaiian Electric is paying more for the imported fuels used to generate electricity. The company makes no profit on the fuel used to generate power,” said spokesperson Shannon Tangonan, who also explained the fees listed on residential statements, in response to questions from other readers trying to make sense of their monthly bill. See 808ne.ws/hecobill for a sample.
Q: Do all residential customers pay the non-fuel energy charge?
A: “All customers pay the Non-Fuel Energy Charge, which is tiered and based on the kilowatt-hours used. For low-income customers eligible to receive a waiver of the tiered rate schedule, the Non-Fuel Energy Charge remains at the lowest tier. On Oahu, that’s 10.6812 cents/kWh.”
Q: Do all residential customers pay the energy cost recovery charge?
A: “Yes, all customers pay the Energy Cost Recovery Charge based on the kWh used. The Energy Cost Recovery recoups actual fuel and purchased energy expenses; it increases or decreases monthly based on changes in the cost of purchased energy from independent power producers and in the price of fuel used in Hawaiian Electric’s power plants. The price of fuel rises with the increase in the price of imported oil; fuel prices started rising in 2021 and this year spiked to the highest level in more than a decade.”
Q: Of the fees listed under “Current Charges,” which do people with solar panels on their roof have to pay?
A: “All customers, including those who have solar panels, pay all the per-kWh charges based on the kWh that they use: the Non-Fuel Energy Charge, Energy Cost Recovery, IRP Cost Recovery, PBF Surcharge, Purchased Power Adjustment, RBA Rate Adjustment and Renewable Infrastructure Program. The Customer Charge is applied to all bills. If a residential customer’s bill after the Customer Charge and all per-kWh charges are applied is below the Minimum Charge of $25 per bill, the customer’s bill is replaced by the Minimum Charge. The Green Infrastructure Fee is added to all customers’ bills, in addition to all other charges, including any applicable Minimum Charge.
“Customers who have solar panels and who participate in company-approved programs have lower bills than customers who buy all their energy from the company because a) they provide some of their own energy so the kWh that they use from Hawaiian Electric is a lower amount and b) they can receive bill credits for energy that they export to the grid.”
For information about Hawaiian Electric’s solar programs, see 808ne.ws/solar.
Mahalo
We would like to extend a heartfelt mahalo to the honest woman who found a black zippered wallet in the restroom by the food court at Windward Mall on Tuesday. My son and his girlfriend are visiting from the mainland. She left her wallet in the restroom and it wasn’t there when she went back. A security guard, who was patient and caring, directed us to the mall manager’s office. We were not feeling optimistic, but to our relief the wallet had been turned in. We are so fortunate to have so many honest people here who still know the right thing to do. Mahalo! — Grateful family
Write to Kokua Line at Honolulu Star-Advertiser, 500 Ala Moana Blvd., Suite 7-500, Honolulu, HI 96813; call 808-529-4773; or email kokualine@staradvertiser.com.