Over 50 Hawaiʻi Companies Push for Affordable Energy with LNG

Coalition argues liquefied natural gas could lower electricity costs while supporting renewable transition

Published on Feb. 26, 2026

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More than 50 of Hawaiʻi's leading organizations, including Native Hawaiian leaders, healthcare providers, agricultural groups, tourism representatives, construction and retail associations, and cost-of-living nonprofits, have called for immediate action to lower energy costs by replacing petroleum with Liquefied Natural Gas (LNG). The Coalition for Hawaiʻi's Energy Future says LNG could reduce emissions by over 30% as a 'bridge' strategy while the state continues scaling renewable energy. However, environmental groups like the Sierra Club of Hawaiʻi and 350Hawaii have expressed sharp opposition, arguing LNG risks undermining the state's 100% renewable mandate.

Why it matters

Hawaiʻi consistently ranks among the most expensive states for electricity, with residential rates more than double the national average. These high energy costs ripple across the economy, affecting food production, housing, healthcare, nonprofits, and small businesses. The coalition argues LNG could provide immediate relief, while critics contend it would divert time and capital from renewable energy development.

The details

The coalition's proposal centers on LNG as a 'bridge' strategy to lower emissions compared to Hawaiʻi's continued reliance on imported petroleum. They stress LNG is not intended to replace renewables, but rather to stabilize the grid while solar, wind, geothermal and battery storage continue scaling. However, opponents argue new fossil fuel infrastructure risks undermining the state's 2045 renewable mandate, and that cost overruns could negate any financial benefits.

  • In 2015, the Hawaiʻi Public Utilities Commission's decision to not advance LNG may have cost residents $1.5 billion to $3.5 billion in potential fuel savings.

The players

Coalition for Hawaiʻi's Energy Future

A coalition of over 50 of Hawaiʻi's leading organizations, including Native Hawaiian leaders, healthcare providers, agricultural groups, tourism representatives, construction and retail associations, and cost-of-living nonprofits.

The Sierra Club of Hawaiʻi

An environmental group leading opposition to LNG expansion, arguing it risks undermining Hawaiʻi's 100% renewable energy mandate.

350Hawaii

An environmental group that has expressed sharp opposition to the idea of using LNG as a 'bridge' fuel in Hawaiʻi.

Paul Yonamine

Special adviser to Gov. Josh Green on energy matters, who has framed the debate in personal terms about the high cost of living in Hawaiʻi.

Wayne Tanaka

Chapter director of the Sierra Club of Hawaiʻi and a prominent advocate for environmental protection, native species and water resource preservation.

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What they’re saying

“There's no foreseeable end to the 'bridge', given economic, political and technological realities that are implicated by the proposal.”

— Wayne Tanaka, Chapter director, Sierra Club of Hawaiʻi (Hawaii Business Magazine)

“The cost-benefit analysis financial-wise is laughable. If you think that cost overruns won't completely eat up any benefits, I've got a rail to sell you.”

— Wayne Tanaka, Chapter director, Sierra Club of Hawaiʻi (Hawaii Business Magazine)

“I would love to have all three of my kids back in Hawaiʻi, but it's just that it's so expensive.”

— Paul Yonamine, Special adviser to Gov. Josh Green on energy matters (Hawaii Business Magazine)

What’s next

The coalition's proposal for using LNG as a 'bridge' fuel in Hawaiʻi will likely face continued scrutiny and debate, with environmental groups vowing to fight any new fossil fuel infrastructure.

The takeaway

The battle over Hawaiʻi's energy future highlights the complex tradeoffs between affordability, reliability, and the state's ambitious renewable energy goals. As the coalition and opponents make their case, the outcome could have significant implications for residents and businesses across the islands.