Hawaii Gives Up on Gas Price Controls

[jpak]

http://www.lasvegassun.com/sunbin/stories/nat-gen/2006/may/08/050809846.html

HONOLULU (AP) - Hawaii's gasoline price controls have sputtered to a stop.

The island state whose drivers pay the highest pump prices in the nation has given up on price caps after an eight-month, first-in-the-nation experiment. Some complained that the restrictions actually led to higher prices, because oil companies knew they could charge up to the maximum allowed.

"In a lot of people's minds, they thought the gas cap wasn't working," said Republican state Sen. Paul Whalen, a strong supporter of the price controls. "It was hard to generate lots of support for it because we're paying more than we ever were before."

Gas is particularly expensive in Hawaii because of high state taxes and because of the costs of transporting oil across the Pacific. Last fall, Hawaii became the only state to cap the cost of fuel to try to give some relief to motorists.

<more>

[Javaman]

1. Rather than put price caps on gas, Hawaii should...

be the first state to eliminate cars and use only public transportation.

Ban all new car sales after 2010, during this time, boost alterative fuel buses.

But what do I know...

[dcfirefighter]

2. Oahu is only 44 miles long

well within the range of electric vehicles.

Furthermore, Honolulu real estate is incredibly expensive, and, if it's like other American cities, 50% of it's area is dedicated to the car.

Oahu/Honolulu could recapture that 'wasted' land and put it to productive use, as parks, homes, businesses, etc., if they went to a 100% tram/subway system. Ideally, the operation of such a system would be paid for with local ground taxes, similar to how leasees in a highrise get 'free' use of the elevators.