08-04-2025
7 things to know about today's hearing to increase shipping in Hawaiʻi by 20-76%
HONOLULU (KHON2) — Young Brothers, LLC is a company that ships goods between each of our islands here in Hawaiʻi.
They bring everything from shipping containers and cars to basic household items, and they have asked for a large price increase in shipping costs.
And with Hawaiʻi depending on 98% of all goods coming from some place other than Hawaiʻi, most everyone relies on nearly everything being shipped in.
Here's what you need to know:
1. Big price increase: Young Brothers is asking for a 27% increase in its shipping rates, which would add an extra $26 million in revenue. They claim this is needed to cover company costs like buying new barges and tugs to keep the service safe and reliable.
2. Inflation and rising costs: The company says the price increase is also needed because their operating expenses are rising and shipping volumes have not returned to the levels they were at before the COVID-19 pandemic.
3. Water Carrier Inflationary Cost Index (WICI): Young Brothers wants to use a new system called WICI. This will adjust shipping rates every year based on inflation, but it would be limited to a 5% increase each year to keep costs reasonable for customers.
Click to read more about Hawaiʻi's Senate Bill 2756 that created WICI and to read more about Hawaiʻi's Senate Bill 21 that authorized public utilities to automatically implement WICI.4. Temporary rate increase: In addition to the big price hike, the company plans a Temporary Rate Increase starting in April 2025. This would be a 20% increase in rates that will be followed by another 5% increase in July 2025.
5. Specific Rate Increases: Some types of shipping will see large increases, such as:
45% increase for refrigerated cargo.
41.5% to 76.6% increase for minimum shipping charges.
35% increase for certain container shipments.
6. Specific rate increases by island: Here's a breakdown of how much shipping will increase for each island:
Oʻahu to Hawaiʻi (Hilo and Kawaihae): 35% increase for most rates.
Oʻahu to Kauaʻi (Nawiliwili): 35% increase for most rates.
Oʻahu to Maui (Kahului): 35% increase for most rates.
Oʻahu to Molokaʻi (Kaunakakai): 41.5% to 76.6% increase for some rates.
Oʻahu to Lānaʻi (Kaumalapau): 35% increase for most rates.
7. Public input: The public can share their opinions about the price increases by writing or speaking at hearings. The Hawaiʻi Public Utilities Commission will review whether the increases are fair and reasonable.
These are the public hearing dates, times and locations:
Oʻahu
Date and time: April 7 at 5:30 p.m.
Location: Hawaiʻi Public Utilities Commission Hearing Room located at 465 South King Street, Room 103, Honolulu.
Hybrid participation options:
Online: Click here to join the meeting.
Meeting number: 2551 520 6450.
Password: 0255.
Telephone dial-in: +1-650-479-3208.
Access code: 2551 520 6450.
Hawaiʻi Island in Kona
Date and time: April 8, at 5:30 p.m.
Location: Natural Energy Laboratory of Hawaiʻi Authority (NELHA) Hale Iako Building, Collaboration Area located at 73-970 Makako Bay Drive, Kailua-Kona. 96740
Hawaiʻi Island in Hilo
Date and time: April 9 at 5:30 p.m.
Location: Hawaiʻi Community College, Building 388, Rooms 101 and 102 located at1175 Manono Street, Hilo.
Kauaʻi
Date and time: April 14 at 5:30 p.m.
Location: Lihue State Office Building Conference Rooms 209 A, B and C located at 3060 Eiwa Street, Lihue, HI 96766
You can click to read more from the Public Utilities Commission.
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This price hike will affect many types of shipping, and people are encouraged to comment if they have concerns. Will this motivate Hawaiʻi to consider long term investment in local production?
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