High Electricity Costs Plague Hawaii Amid Oil Dependence

Hawaii's electricity rates are among the highest in the country. At 52.72¢/kWh, residents pay more than double the national average. This is due to the state's geographic isolation, with virtually all fuel used for generation having to be imported by ship.

Oil still provides approximately 47% of Hawaii's electricity generation, making it the only state in the U.S. heavily dependent on petroleum for power. Fuel costs account for roughly 50% of a typical electric bill in Hawaii, meaning monthly payments rise and fall with global oil prices.

Hawaii has no natural gas pipeline or interstate transmission grid to import power from neighboring states, leaving each island to generate 100% of its own electricity.