hawaiian-electric heco hawaii maui wildfire utility energy monopoly
related: PG&E - Pacific Gas and Electric Energy & Utilities Donor Bloc
Who They Are
Hawaiian Electric Company (HECO). Hawaii’s dominant electric utility, serving 95% of the state’s electricity customers across Oahu, Maui, and Hawaii Island. HECO is a regulated monopoly — the only option for electricity in its service territory. The company’s political significance exploded after the August 2023 Lahaina wildfire that killed 100+ people and destroyed the historic town, with investigations and lawsuits pointing to HECO’s failure to maintain infrastructure, de-energize power lines during high-wind conditions, and invest in wildfire mitigation.
HECO’s political operation before the fire focused on rate-setting (lobbying the Hawaii Public Utilities Commission for favorable electricity rates), renewable energy mandates (Hawaii’s 100% renewable target by 2045), and infrastructure investment recovery. Post-fire, the company faces $5.5+ billion in settlement liabilities, potential criminal investigations, and the fundamental question of whether a regulated monopoly that prioritized shareholder returns over infrastructure safety should continue operating.
The Utility Negligence Pattern
HECO follows the same pattern as PG&E in California: a regulated monopoly that underinvested in infrastructure maintenance and wildfire mitigation while paying dividends to shareholders and lobbying for favorable rate treatment. The Lahaina fire is HECO’s Camp Fire — a catastrophic failure that reveals the structural conflict between shareholder returns and public safety in the regulated utility model.
Money
HECO is the PG&E pattern replicated in Hawaii: a monopoly utility that spent decades prioritizing shareholder returns over infrastructure safety, then faced catastrophic consequences when aging infrastructure met extreme weather conditions. The $5.5B+ settlement liability demonstrates the cost of deferred maintenance — money that could have been invested in grid hardening, vegetation management, and power shutoff protocols instead went to dividends and executive compensation. The regulatory failure is identical to PG&E’s: the Hawaii PUC approved rate structures and investment plans that allowed HECO to underinvest in safety while maintaining profitability. The regulator protected the utility; the utility’s negligence killed 100+ people. The regulated monopoly model socializes catastrophic risk while privatizing profit.
Sources
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