Panel reviews proposed resolutions and recommends ways residents can alleviate the impacts of the oil dilemma. “People are really hurting.”It might have been their day off, but on Thursday, July 24, the members of the Maui County Council Planning Committee convened for a special meeting to discuss the crisis that has impacted the lives—and livelihoods—of Maui residents.
“There is only one item on the agenda today,” said Planning Committee Chairwoman Gladys Baisa. “Oil.”
From jaw-dropping interisland fares to escalating utility and grocery bills, the skyrocketing cost of fuel has taken its toll—and many believe there is no solution in sight.
The primary purpose of Thursday’s meeting was to review two resolutions proposed by Councilmember Michael Molina, and determine “why things are the way they are.” The first resolution, “Urging the United States To Take Immediate Action to Ease The Burden of Escalating Gasoline Prices on Consumers and Reducing Our Dependence on Oil,” requests the federal government take immediate action and seek viable solutions to soaring gasoline prices and pursue initiatives to reduce the nation’s consumption of oil, which has been estimated at 21 million barrels per day.
The second resolution, “Urging the State of Hawai‘i to Take Immediate Action to Reduce Our Dependence on Oil,” is a plea to state legislators to consider measures that will reduce Hawai‘i’s addiction to petroleum—and end its dubious distinction as the most oil-dependent state in the nation, once and for all. Molina said he created the resolutions after watching a CNN report naming Maui County as the home of the highest gas and energy rates in the country.
“That’s not what I want Maui to be known for,” he said. According to Molina, recent economic hardships “are scary and all related to the price of fuel… this is hitting people hard in their pocketbooks and we need to find a solution.”
At Thursday’s meeting, Planning Committee members listened to public testimony and a panel discussion of experts from different fields so they could better consider relevant policy issues. “It is very important that we convene to discuss this,” said Councilmember Baisa. “This is something that is on everyone’s minds… people are really hurting.” She noted the devastating effects on Maui’s low-income families, who cannot afford to buy groceries because of the cost of transportation. “The county may be a bit player, but it can certainly influence the bigger powers,” she said.
Sierra Club Maui Chapter President Lance Holter and Hawai‘i Wind Power Architectural Designer Michael Angelo Leone implored the committee to support the development of alternative and renewable energy sources.
“There are solutions out there,” said Holter. In his testimony, Leone advised the committee to consider the benefits of providing incentives to “green” contractors in both the residential and commercial building sectors.
Maui Economic Opportunity (MEO) Executive Director Sandy Baz testified the organization spends more than $45,000 a month on fuel, which invariably impacts MEO’s ability to provide services, in addition to impacting the individuals it serves.
“Some of our clients now ask themselves, ‘Should I fill up the car to go to work… or buy food?’” he said.
The committee listened to a panel discussion comprised of four experts from different fields, assigned with the task of formulating solutions and answering the question: “How and why did we get here?”
Panelists included Lance Tanaka of Tesoro Hawai‘i Corporation, Steve Wetter of Maui Petroleum Inc., Maui Community College (MCC) Professor of Economics Cynthia Foreman, and Maui Electric Company (MECO) Renewable Energy Expert Matt McNeff. Tanaka gave an overview of Hawai‘i’s fuel industry, advising the council to “put aside any misconceptions of profitability.” Tanaka said that Tesoro is experiencing substantial operating losses and declining gross refining margins.
According to Maui Petroleum representative Wetter, one solution to Maui County’s fuel crisis lies in sales tax relief. On Maui, the fuel tax is 16 cents a gallon, compared to 8.8 cents a gallon on the Big Island—a difference that adds to the frustrations of Maui drivers. “Alternative energy is really the way to go,” he said. “We need to harness wind, solar and wave power.”
While she acknowledged it was indeed a “dismal topic,” MCC Professor Foreman assured the committee members that Maui is not alone. “It is a world issue that is affecting everyone.” Gas prices are increasing at a rapid rate, she said, and food costs are not far behind. “It’s what I call double impact,” she said, pointing out that escalating fuel prices impact the transport and delivery of goods to the island. Using a gallon of milk, a dozen eggs and a loaf of bread as examples, Foreman illustrated the inflated costs that continue to plague Maui County. “It’s a bad situation,” she said. “But there are common sense solutions.”
Harvesting food, using public transportation and taking advantage of available renewable energy sources, are ways residents can alleviate the impact of the oil crisis, she said. “There are no quick-fixes and this problem will not be solved overnight,” she told the committee members. “We need to learn how to adapt and modify our behaviors. Reduce, reuse, recycle—it’s not just a cliché.”