Governor wants
to wait and see

Adverse impacts of gasoline price caps outlined by the Public Utilities Commission will not prompt Gov. Linda Lingle to suspend the law, her office said yesterday.

"The governor is concerned about the impact this is having on the distributors and retailers and the administration is going to continue to monitor the impact the gas cap is having," the governor's spokesman, Russell Pang, said.

In letters sent Friday to Lingle and the Legislature, the PUC said at least two small-volume Oahu retailers have been unable to obtain gasoline from their suppliers since the price caps took effect Sept. 1, and one terminal owner on Maui is rationing supplies. Chairman Carlito Caliboso described the cases as "significant trends and conditions that may adversely impact gasoline consumers" in Hawaii.

Under the law, Lingle has the power to suspend the caps, but the governor has said she would only do so if they are severely affecting the economy or public safety.

A maximum price on wholesale gas transactions is set each week by the PUC based on an average of spot prices in the Gulf Coast, New York and Los Angeles. Although price caps set to take effect tomorrow are 45 cents higher than current caps, the PUC said preliminary data show the next set of price caps could be lower.

The statewide average for regular unleaded was $3.22 a gallon yesterday, 30 cents higher than the average on Sept. 1, according to AAA's Fuel Gauge Report.

GAS CAP HELP How to contact the state about Hawaii's gas cap law: Public Utilities Commission www.hawaii.gov/budget/puc/gaspricecaps Commerce and Consumer Affairs www.gascap.hawaii.gov Hotlines for consumers: 586-2769, on Oahu; (800) 830-4295, toll-free, from neighbor islands. Business, Economic Development & Tourism www.hawaii.gov/dbedt/ert/gasoline/gasoline.html Hotline for owners and operators of gas stations: 586-2752 E-mail: gasoline@dbedt.hawaii.gov AAA Fuel Gauge Report: www.fuelgaugereport.com