Hawaii
Hawaii Is Bailing Out Its Wildfire-Causing Energy Company
Last August, a deadly wildfire tore through Hawaii, erasing the town of Lahaina and killing over one hundred people. The state’s publicly traded utility corporation was found responsible; it is now facing a deluge of claims from residents seeking compensation for damages, as well as lawsuits from the insurance companies that have been paying out disaster claims.
Hawaii’s electricity is provided by a for-profit utility supplier that is granted monopoly power over energy distribution. In addition to its dominance of Hawaii’s power grid, Hawaiian Electric Industries, Inc., (HEI) enjoys almost complete autonomy in the physical management of its power lines on the islands of Oahu, Hawaii, Maui, Lanai, and Molokai. Only residents of the island of Kauaʻi maintain some semblance of control over their electricity, through a resident-owned energy cooperative. When massive winds from Hurricane Dora blew into Maui, HEI subsidiary Maui Electric Company (MECO) refused to respond to early calls to shut down the grid. This came even as fire-safety officials warned that a flash drought put most of the state in a Red Flag Warning, the highest possible fire alert issued by the National Weather Service.
More than thirty power lines went down as winds battered the island, but MECO remained silent — apparently refusing to cut power to downed lines that were sparking fires. In the fallout of the fires, it came to light that MECO had not properly insulated wires or maintained poles and surrounding vegetation. These are standard precautionary measures in most states, especially ones with significant wildfire and windstorm risk. Many lines were bare — i.e., lacking any insulation at all — a direct violation of state regulations dating back to 2002 that significantly increased the probability of ignition in surrounding vegetation.
Now, as HEI struggles to pay for damages, state regulators look set to bail out the negligent utility company.
Five months after the fire, legal fees, disaster relief bills, and settlements are piling up. A battery of personal claims against HEI prompted 142 insurance companies, including USAA, State Farm, Island Insurance, and Tradewind, to seek reimbursement for over $1 billion in claims they had paid to residents as of December 2023. The companies are following the lead of Maui County, which similarly filed suit against HEI on the grounds that the corporation’s negligence is to blame for property damage and loss of life. Recent analysis estimates HEI could be on the hook for over $4.9 billion when the ashes clear. The corporation itself was only insured up to $165 million, a drop in the bucket compared to what they owe in damages combined with what insurers are seeking in reimbursement.
This scheme by insurance companies puts them in league with individual residents and the county in civil suits against HEI. This is not uncommon in catastrophe underwriting, as insurance companies will leave no stone unturned in trying to mitigate losses from natural disasters.
To that end, insurers often use gray areas in coverage to deny consumers’ claims related to flood or hurricane damage. But as the $1 billion in insurance payouts suggest, the insurance companies don’t seem to be fighting consumers’ claims. When it’s evident that a battery of claims cannot be denied, will not be sufficiently covered by reinsurance (the insurance that insurance companies themselves take out to protect against significant losses), and cannot be stalled in court, industry-wise lawyers will go after the next best offering: in this case, the utility company left holding the bag.
Soon after the announcement that the company had failed to de-energize its grid, the corporation’s long- and short-term bond ratings were downgraded by two of the “Big Three” credit-rating agencies, with Fitch lowering HEI’s grade to B on Rating Watch Negative and S&P lowering it to B-. The third of the Big Three, Moody’s, put HEI “under review for downgrade.” This means that lending companies would charge extremely high rates on anything HEI borrowed to pay its bills, whether those bills be to the people of Hawaii, state conservation efforts, insurance lawsuits, an infrastructure overhaul, or disaster relief funds.
But HEI has an important friend ready to help: the state of Hawaii. On January 23, state legislators introduced measures drafted by HEI to safeguard the company from bankruptcy by allowing it to raise costs to residents and issue a new bond covering the costly bill for starting the wildfire. Essentially, the state plans on issuing a low-APR, no-limit credit card that HEI can use to pay its bills, with minimal risk to the long-term financial health of the corporation. The monopoly’s survival is crucial to the state of Hawaii, which would lose 95 percent of its electrical coverage should HEI go bankrupt and cease operations. It is also crucial to the company’s boardroom. Some supporters of the bailout say it is ultimately the best bet for residents of Hawaii, so long as the bonds are used to fund grid updates rather than lawsuits from insurance companies. The current deal would allow HEI to push the cost of the bonds — including interest — onto residents immediately; supporters argue that this would theoretically allow for avoidance of massive consumer rate hikes, which would inevitably follow in the long term should HEI be forced to borrow on the open market. Better to start paying a little bit extra over many years than a lot extra years down the road, when it comes time to pay back the high-rate bonds. But this crowd ignores the bigger picture — that the private debt of a for-profit company will be foisted on consumers regardless.
Whether in the short or long term, consumers are being made liable for the fire, the immediate costs, and the ensuing market fallout. Even if a resident receives an insurance payout, the insurance company is passing the ball to HEI, which is passing it to the state, which is ultimately turning it back over to the resident.
HEI vice president of corporate communications James Kelly claims that the utility doesn’t intend to use the bond proceeds to cover legal claims. But the state is not imposing any safeguards to ensure this, and there are no mechanisms to enforce transparency. In fact, legislators seem to have the opposite in mind — litigation and settlement costs are explicitly covered by the bonds.
An important question for Kelly, then, is how the utility does intend to process over $4.9 billion in legal claims if its current equity and insurance backing is so insufficient as to require a generous bailout by Hawaii residents. Why else would HEI directly include litigation and settlement contingencies in the legislative measure the company itself drafted, if not to use the bonds to cover those costs?
Pacific Gas and Electric Company — California’s energy utility — went through its own equity crisis following the 2018 Camp Fire. That fire resulted in at least eighty-five deaths and was found to be the result of similarly mismanaged power lines. A recent decision by the California judiciary hopes to save their for-profit energy corporation from the same type of bankruptcy facing HEI with big rate hikes, brought about by an $11 billion insurance settlement. Both disasters might have been avoided with state-run utilities or publicly held energy cooperatives, which would be democratically accountable to residents. Had there been public, democratic oversight in place of a concern with profit maximization, HEI might have taken measures that prevented the wildfires from starting in the first place — like implementing the 2002 infrastructure regulation. Hawaii could take notes from the publicly owned New York Power Authority (NYPA), for instance. NYPA is the lowest-cost energy provider in New York State, which is theoretically bound by regulations set by the state comptroller.
Instead, Hawaiian consumers are not only bearing the burden of loss of life, land, and property caused by corporate negligence — they’re being forced to pick up the bill for the corporation’s negligence too. Here, utility deregulation has taken to such an extreme that the company at fault is allowed to build its own legislative life raft. This state of affairs is par for the course with private utilities: Hawaii needs HEI as the owner and operator of the vast majority of the state’s electrical grid. Yet the utility needs the state of Hawaii to help it avoid being eaten by the bigger fish it exposes itself to as a profit-generating corporation. Until utilities are publicly controlled, corporate boardrooms will dictate who ultimately pays utilities’ financial burden.
Hawaii
Guided tours take visitors into Honouliuli internment camp’s ‘Hell Valley’
HONOLULU (HawaiiNewsNow) – Other than brush, overgrown grass, some birds singing in the distance, and perhaps a gust of wind coming in, there’s really not much going on in Honouliuli Gulch these days.
More than 80 years ago, it was a different story.
Following the bombing of Pearl Harbor, a hasty prisoner of war compound was built in this barren area of Oahu and named the Honouliuli Internment Camp.
Some of the Japanese Americans who were imprisoned here had another name for this place: “Jigoku dani,” or “Hell Valley.”
“There is a reason why the Japanese Americans nicknamed it Hell’s Valley. It’s a very rugged environment. It’s deep in the gulf to the valley,” said Christine Ogura, superintendent of the Honouliuli National Historic Site.
Now, for the first time, the public will be able to understand the “hell” internees experienced through guided tours into what is now known as the Honouliuli National Historic Site.
“You’re going to have an opportunity to actually walk original historic roads that people who were incarcerated there, their family members walked as well,” Ogura said. “Even though the camp was closed and we don’t have any original structures left, because when the military closed in 1946, they actually took everything down. But we do still have original, like the concrete slab foundation of the mess hall, where families were able to reunite with their mothers and their fathers during visitation.”
The internment camp opened in 1943 and was the largest and longest-used incarceration site in the islands. At its peak, Honouliuli held over 4,000 prisoners of war from Italy, Taiwan, Korea, Philippines and had the largest contingent made up of Japanese Americans.
For Superintendent Ogura, what happened here is personal since she is a second-generation American of Japanese ancestry.
“When I found out that this happened here and being Nisei myself and my parents are Issei, I reflected: had I been born a generation earlier it could have been me and my mom,” she said. “I think locally it’s an important history to conserve and perpetuate because it is important that our communities know that this happened locally.”
Tours at the Honouliuli National Historic Site will begin on July 18, and demand has been overwhelming with every tour fully booked and waitlists in the hundreds.
“I will say the response has been humbling when we released the dates. It booked up within 25 minutes and we currently have a waiting list of over 1,700 people,” Ogura said.
The park is working toward more availabilities for next year.
Officials are looking for volunteer docents to help expand tour capacity.
Copyright 2026 Hawaii News Now. All rights reserved.
Hawaii
Magical Creatures Sanctuary looks to develop community, educational programs – West Hawaii Today
Hawaii
Hawaii’s JJ Mandaquit took roundabout route to reunite with Tommy Lloyd
Here’s what you need to know about the University of Arizona
UA was established in 1885, and its main campus is in Tucson. The Wildcats once had a live bobcat named Rufus as a mascot.
The Republic
If point guard JJ Mandaquit’s job at Arizona next season looks tricky and challenging, having to glue together a lineup full of potential NBA draft picks under the pressure of playing for a returning Final Four team, it might be worth considering what his grandfather and father have been up to.
They’ve been running a roofing company … in Hilo, Hawaii. The rainiest city in the country, on the windward side of the Big Island. Where some 130 inches of rain hit buildings every year, creating slick working conditions, and where, even in drier moments, there’s high humidity and trade winds to deal with.
“I had to go on the roof a couple of times,” Mandaquit said, chuckling. “But not in the rain.”
He had other things to do. With his basketball skills overshadowing the local level of play since his elementary school years, Mandaquit left Hilo as a sixth-grader to begin a higher-level basketball journey that put him in Tucson this year.
His family came with him to Oahu, where he transferred to the Iolani School of Honolulu. His father, Jason Sr., commuted back and forth between Oahu and the Big Island while still roofing, though his mother was able to transfer from Hilo to Honolulu within her job at Hawaiian Electric.
Everyone thought that was the plan for a while.
“It was a better opportunity, better education and more opportunity,” Mandaquit said. “When we left from Big Island to Oahu, that was a huge move for my family, a lot of sacrifice that went into it. I’m super grateful to my parents. When we made that move in the sixth grade, we thought that was going to be the move, that it was just going to end there, I’d go to high school there.”
It still wasn’t enough. Mandaquit outgrew the basketball scene again. By ninth grade, he moved on to Real Salt Lake Academy, which turned into Utah Prep.
In Hawaii, he found players have also been kept from high-profile West Coast clubs because of a quirky club-ball residency rule in which players are typically allowed to play only for a club in their state or a bordering one — and Hawaii borders only an ocean. So Mandaquit said he and other locals started their own “Sons of Hawaii” club to play on the “MADE Hoops” circuit.
It still wasn’t enough. Utah was next.
“We felt it was best to get out of Hawaii and chase this dream,” Mandaquit said. “It wasn’t an easy choice to leave home, but we felt looking at the big picture, if I want to play at the high Division I level, we almost felt that it was a necessity to get out of the islands, surround myself with better competition, be somewhere that allows me to be more exposed.”
That move paid off. Mandaquit grew into a high-major prospect at Utah Prep and became a mainstay with USA Basketball junior teams. He won three gold medals at FIBA events: At the 2023 U16 AmeriCup, the 2024 U17 World Cup and, on a team led by UA coach Tommy Lloyd, the 2025 U19 World Cup.
Only a secondary recruiting target of Arizona’s before he committed to Washington in November 2024, Mandaquit jumped out at Lloyd while playing for USA Basketball last summer. Mandaquit averaged 6.1 points and 5.4 assists — with nearly a 4-to-1 assist-turnover ratio — while hitting 6 of 10 3-pointers over USA’s seven-game romp.
“I had only seen him play a few times before (last summer), but I was just so impressed with his character, but also his tenacity and the effort he played with. Just how he impacted winning,” Lloyd said. “So obviously, when we saw his name on the transfer portal, it piqued my interest right away.”
Lloyd said he considered Mandaquit out of high school, but the Wildcats were also pursuing Brayden Burries and had Jaden Bradley projected to stay through last season. Lloyd said he also took a cautious recruiting approach in 2025 because “you just didn’t know” how rev-share and NIL were going to work out, since 2025-26 was the first year schools could pay players.
So Mandaquit chose the Huskies over USC and Creighton. He started the Huskies’ first five games but wound up playing off the bench for most of his 22 appearances, averaging 5.2 points and 2.1 rebounds while shooting 28.2% from 3-point range.
Mandaquit struggled with a foot issue in the preseason and eventually missed the Huskies’ last 11 games because of it, though he has since had corrective surgery and returned to the court at Arizona.
“It was a great learning experience,” Mandaquit said of Washington. “I didn’t have the year that I wanted to have, but just going through that experience is gonna be huge for me and my future. I’ve got one year of college basketball under my belt, and the Big Ten was awesome last year.”
After he left Seattle, SI’s Huskies website wrote that UW coach Danny Sprinkle “has to be reeling by Mandaquit’s departure,” saying Mandaquit’s playing style “seemed to match Sprinkle’s hard-nosed personality.”
Instead, Mandaquit will be playing for the same coach he said he loved playing under last summer in Switzerland. Mandaquit joined a team that included former UA forward Koa Peat, incoming UA freshman Caleb Holt and No. 1 NBA Draft pick A.J. Dybantsa, among others.
They were all stars, forced together to play team ball during the world’s highest-profile junior tournament.
Gold was the expectation.
“What he was able to do with our group in such a short amount of time, I just loved,” Mandaquit said of Lloyd. It was “just the culture that he was able to build. Obviously, it’s not the easiest job as a coach to be able to manage all of the star players and egos that we had. It was just the way that he was able to get everyone to just buy in and focus on a common goal, and ultimately go and reach that goal.
“It was amazing. It was the most fun I ever had playing basketball.”
Despite their bond, Mandaquit said he couldn’t have a recruiting conversation with Lloyd until after he entered the portal this spring. But that might have been a formality anyway.
Both Lloyd and Mandaquit knew plenty about each other at that point.
“This time it was fast,” Lloyd said. “We both knew what we wanted on both sides.”
Lloyd needed a true point guard to join North Carolina transfer Derek Dixon and Holt in a reloaded backcourt that lost NBA Draft picks in Burries and Bradley.
Mandaquit wanted to be under Lloyd for more than a few weeks.
Official elapsed time between Mandaquit’s early April entry into the transfer portal and his commitment to Arizona: Ten days.
“When this opportunity came back around, I couldn’t pass it up,” Mandaquit said. “I knew this is the place that I wanted to be, and I knew I wanted to be coached by Tommy.”
During an interview at McKale Center last month, Mandaquit said he’s since arrived at Arizona to find high-character guys around him, and that coaches are pushing him the way he wants to be pushed.
“I’m loving it so far,” Mandaquit said.
As a bonus, Mandaquit’s first season with the Wildcats will also take him nearly full circle. Not to Hilo and the Big Island, but to the Maui Invitational, the prestigious early-season event that Mandaquit said he routinely watched on television even if the inter-island hop and high ticket prices kept him out of the Lahaina Civic Center to watch in person.
This time, he’ll be in the building — and soaking up the atmosphere outside it. His parents, now living back in Hilo, can make the easy flight over to watch, too.
It probably won’t rain much, if at all, Lahaina being on the leeward side of Maui and all.
But, for Mandaquit, it’s still home.
“Hawaii means everything to me,” Mandaquit said. “I try to get back there as much as possible, and I feel the support of the state behind me. I feel their love, so it pushes me to work harder.”
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