Hawaiian Electric Industries
Corporate brand
UnclaimedHawaiian holding company whose electric-utility subsidiaries supply most of Hawaii's population.
Last updated August 31, 2026
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Overview
Hawaiian Electric Industries, Inc. (HEI) is a publicly traded Hawaiian holding company centered on electric-utility operations. Through Hawaiian Electric Company (HECO), Hawaiʻi Electric Light Company (HELCO), and Maui Electric Company (MECO), it supplies electricity to customers on Oahu, Hawaii Island, Maui, Lanai, and Molokai. Kauai is outside the group's utility territory and is served by the consumer-owned Kauai Island Utility Cooperative. The group is headquartered in Honolulu and is the largest electricity supplier in the State of Hawaii, serving approximately 95% of the state's population through its operating utilities. HEI's corporate history rests on the much older history of Hawaiian Electric Company, which was incorporated in 1891 while Hawaii was still an independent kingdom. HECO expanded from an Oahu utility into a regional electricity business, reaching rural parts of the island, connecting military facilities during World War II, and completing the electrification of Oahu by the period of statehood in 1959. Its generating and transmission infrastructure grew substantially during the twentieth century, including the Kahe generating station on western Oahu, which became the state's largest power plant by total generating capacity. The operating footprint expanded through acquisitions. HECO purchased Maui Electric Company in 1968 and Hilo Electric Light Company in 1970; Hilo Electric was later renamed Hawaiʻi Electric Light Company. MECO subsequently added service on Lanai and Molokai through acquisitions in 1988 and 1989. HEI was formed in 1983 as the holding-company structure for the utilities and related operations. In 2019, the utilities announced that they would operate publicly under the unified Hawaiian Electric name, while retaining their underlying corporate and geographic functions. HEI operates in a challenging island power environment. The system historically relied substantially on imported oil, while limited interconnection between islands makes reliability, fuel logistics, distributed solar, storage, and renewable generation especially important. The company has pursued grid modernization, renewable-energy integration, electric-vehicle adoption, and performance-based regulation. In 2023, renewable resources accounted for 33.3% of the power handled by the company, with Hawaii Island reaching a reported peak of 92.3% renewable generation on April 25 of that year. Hawaiian Electric has stated a goal of supporting a transition in which most vehicles in Hawaii are electric by 2045. HEI became the subject of a proposed acquisition by NextEra Energy in 2014. The proposed transaction, valued at approximately $4.3 billion when announced, required approval from the Hawaii Public Utilities Commission. The commission rejected the deal in 2016, and the merger was abandoned. Plans associated with the proposed transaction, including converting oil-fired generation to natural gas, were also discontinued because they depended on the merger. The company faced severe legal, operational, and reputational scrutiny after the August 2023 Maui wildfires, particularly the Lahaina fire. Investigations and lawsuits examined whether energized or damaged utility lines, system-management decisions, and the absence of a comprehensive power shutoff procedure contributed to the disaster. Hawaiian Electric's share price fell sharply after the fires and related litigation. In July 2024, the company and other parties announced a tentative settlement framework reportedly exceeding $4 billion for claims by wildfire victims and plaintiffs; the ultimate financial and legal consequences depend on court and other required approvals. The Maui disaster remains a defining issue in HEI's current history, alongside its continuing efforts to improve resilience and decarbonize Hawaii's electricity system.
History
The institutional history behind Hawaiian Electric Industries begins with Hawaiian Electric Company, incorporated on October 13, 1891, during the existence of the Kingdom of Hawaii. The utility initially served Oahu and expanded rapidly enough to have approximately 2,500 customers within roughly sixteen years. By 1914, it had extended service toward Oahu's windward and rural areas and was also promoting household electrical appliances, including refrigerators and flat irons. A second power plant was begun in 1937, followed by a growing transmission network across the island. World War II accelerated the strategic importance of the utility. Hawaiian Electric's plants supplied installations connected with the United States military and generated more than one million kilowatt-hours per day for those wartime requirements. Oahu's electricity system continued to expand after the war. HECO opened a 116-megawatt plant in downtown Honolulu in 1954, and a reheat steam-turbine generator later entered service at Kahe on Oahu's western coast. Kahe eventually became Hawaii's largest generating station by aggregate capacity. By the time Hawaii achieved statehood in 1959, Oahu had been fully electrified. The company then developed from an Oahu utility into an island-group operator. HECO acquired Maui Electric Company in 1968 and Hilo Electric Light Company in 1970. The latter was later renamed Hawaiʻi Electric Light Company. Maui Electric expanded its territory by acquiring the Lanai City power plant in 1988 and Molokai Electric Company in 1989. Hawaiian Electric Industries was established in 1983 as the holding company for the collection of utilities and related activities. This structure allowed the operating companies to retain island-specific systems while being managed within a broader corporate group. In the twenty-first century, the group increasingly focused on grid reliability, renewable generation, and the technical challenges of operating separate island systems. In 2013, HECO began working with Siemens on a self-healing-grid initiative for eastern Oahu and Waikiki. The intended benefits included faster fault detection, improved restoration, and more reliable service in dense or strategically important areas. The company also supported electric-vehicle adoption through planning with state agencies and participation in the Hawaii Electric Vehicle Demonstration Project consortium. HEI's strategic direction was tested by a proposed takeover. NextEra Energy announced an offer in December 2014 valued at approximately $4.3 billion. The transaction required approval from the Hawaii Public Utilities Commission and included plans to convert oil-fired generation to natural gas, with liquefied natural gas proposed from a FortisBC-related supply source in British Columbia. The commission rejected the merger in July 2016, ending the transaction and the associated generation-conversion plans. In December 2019, the utility group announced a unified public identity under the Hawaiian Electric name for HECO, MECO, and HELCO. The reorganization of the public brand reflected the shared customer-facing role of the utilities while their island service territories remained distinct. The company also moved toward performance-based regulation beginning in 2021, replacing the traditional cost-of-service framework as part of Hawaii's broader effort to align utility incentives with reliability, affordability, renewable integration, and customer outcomes. The August 2023 Maui wildfires became the most consequential event in the company's modern history. Fires affected Lahaina and Upcountry Maui, causing at least 102 deaths according to the cited reference material and billions of dollars in estimated damage. Strong winds brought down Hawaiian Electric lines, and thousands of customers lost electricity. Lawsuits and investigations questioned whether the company should have de-energized lines during dangerous weather, whether it had adequate procedures for shutting down portions of the grid, and whether utility infrastructure or decisions contributed to the fires. HEI's market value fell sharply amid the claims. In July 2024, the company and multiple public and private parties announced a tentative settlement framework reportedly exceeding $4 billion. The event continues to shape the company's legal exposure, public standing, infrastructure priorities, and approach to wildfire resilience.
- 2023
Maui wildfires become a defining corporate crisis
[1]The August Maui fires lead to extensive loss of life, infrastructure damage, investigations, litigation, and a major decline in HEI's share price.
- 2021
Performance-based regulation transition begins
[1]The company begins transitioning away from a traditional cost-of-service regulatory model.
- 2019
Utilities adopt the Hawaiian Electric public name
[1]HECO, MECO, and HELCO begin operating publicly under the unified Hawaiian Electric name.
- 2016
Proposed NextEra merger is cancelled
[1]The Hawaii Public Utilities Commission rejects the proposed acquisition by NextEra Energy.
- 2013
Self-healing grid project begins
[1]HECO works with Siemens on a self-healing-grid initiative for eastern Oahu and Waikiki.
- 1989
Molokai service joins the group
[1]Maui Electric acquires Molokai Electric Company, extending the group's service territory.
- 1988
Lanai service joins the Maui Electric system
[1]Maui Electric acquires the Lanai City power plant.
- 1983
Hawaiian Electric Industries is formed
[1]HEI is created as a holding company for the island electric utilities.
- 1970
Hilo Electric Light Company is acquired
[1]HECO acquires the utility serving Hawaii Island, later known as Hawaiʻi Electric Light Company.
- 1968
Maui Electric is acquired
[1]HECO acquires Maui Electric Company, beginning the expansion of its utility operations beyond Oahu.
Products and positioning
Hawaii's principal investor-owned electric-utility group, combining island-specific utility operations with a statewide transition toward renewable generation and a more resilient grid.
Electric utility services · 2019
Hawaiian Electric
The unified public-facing utility identity used by Hawaiian Electric Company and its affiliated island utilities. It provides generation, transmission, distribution, customer service, and grid-planning functions for customers on Oahu, Maui, Lanai, Molokai, and Hawaii Island. The underlying systems remain geographically distinct because Hawaii's islands are not connected by a single transmission grid.
Electricity generation and distribution · 1891
Oahu electric service
Service historically operated by Hawaiian Electric Company for Oahu, Hawaii's largest population center. The business includes power generation, purchased power, transmission, distribution, reliability management, and integration of rooftop solar and other distributed resources. Major infrastructure includes the Kahe generating station and transmission networks serving urban Honolulu, Waikiki, and other Oahu communities.
Electricity generation and distribution · 1970
Hawaii Island electric service
Service operated through Hawaiʻi Electric Light Company, formerly Hilo Electric Light Company. It supplies Hawaii Island and has achieved comparatively high renewable-generation levels within the HEI system, reflecting the island's geothermal, wind, solar, and other renewable resources alongside conventional generation and purchased power.
Electricity generation and distribution · 1968
Maui, Lanai, and Molokai electric service
Service operated through Maui Electric Company across Maui, Lanai, and Molokai. The portfolio combines island-specific generating assets, purchased power, distribution networks, and renewable resources. Its operating environment requires separate local planning because these islands are not connected to Oahu or Hawaii Island by an integrated transmission system.
Energy infrastructure · 2013
Grid modernization and renewable integration
HEI's infrastructure and planning activities include self-healing-grid technology, distributed solar integration, renewable procurement, system resilience, and support for energy storage and electric-vehicle adoption. These initiatives address the reliability and fuel-supply constraints of isolated island grids while advancing Hawaii's statutory renewable-energy objectives.
Controversies
2023
Maui wildfire litigation and scrutiny
Following the August 2023 Maui wildfires, investigations and lawsuits examined whether Hawaiian Electric infrastructure and operating decisions, including the handling of energized lines during high winds, contributed to the Lahaina disaster. The company also faced criticism over reported limitations in procedures for shutting down parts of its grid. The event caused extensive deaths and destruction and produced substantial legal and reputational exposure.
Marketing campaigns
- 2018Electric-vehicle adoption roadmap
Hawaii · United States
Hawaiian Electric supported a roadmap for transportation electrification and stated an aspiration that most vehicles in Hawaii would be electric by 2045.
Outcome. The roadmap positioned transportation electrification as part of the utility's wider renewable-energy and grid-planning agenda.
- 2017Hawaii Electric Vehicle Demonstration Project
Hawaii · United States
HEI and Hawaiian Electric participated with the State of Hawaii's High Technology Development Corporation and other organizations in a consortium intended to encourage electric-vehicle deployment and help develop an electric-vehicle industry in Hawaii.
Outcome. The initiative contributed to statewide EV planning and demonstration activity; the cited material does not establish a separate commercial product outcome.
Brand decisions
2021
Transition toward performance-based regulationStrategyBackground
Hawaii sought to align utility regulation more closely with reliability, customer outcomes, renewable integration, and system performance.
Action taken
Hawaiian Electric began moving away from the traditional cost-of-service model toward performance-based regulation.
Aftermath
The change made performance metrics and regulatory outcomes more central to the utility's operating framework.
2019
Unify utility public brandingStrategyBackground
HECO, MECO, and HELCO served related roles across separate island territories but operated under different legacy names.
Action taken
The companies announced that they would operate publicly under the single Hawaiian Electric name.
Aftermath
The unified name strengthened the group's statewide customer-facing identity while the island utilities continued serving distinct geographic systems.
2014
Accept proposed NextEra Energy acquisitionM&ABackground
NextEra Energy offered to acquire HEI in a transaction announced at approximately $4.3 billion. Regulatory approval by the Hawaii Public Utilities Commission was required.
Action taken
HEI pursued the proposed merger, which included plans to change some oil-fired generation to natural gas.
Aftermath
The Hawaii Public Utilities Commission rejected the transaction in 2016. The merger and dependent generation-conversion plans were cancelled.
Proposed transaction value. (2014 announcement)
Recent events
Reported
HEI enters agreement with ValueAct Capital[3]
Hawaiian Electric Industries entered into an agreement with ValueAct Capital that included ValueAct’s commitment to vote in favor of HEI board nominees at the 2020 annual meeting.
Reported
HEI appoints Eva Zlotnicka to its board[3]
Hawaiian Electric Industries announced that Eva Zlotnicka was appointed to its board, effective immediately, and added to the board’s Compensation Committee.
Reported
HEI reports third-quarter 2019 earnings[4]
Hawaiian Electric Industries reported third-quarter 2019 consolidated net income for common stock of $63.4 million and diluted earnings per share of $0.58.
Sources4 sources
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