Young Brothers Seeking Rate Increase
The cost of living on the islands continues to rise as Young Brothers, Ltd. (YB) seeks to increase their shipping rates. During a visit to Molokai last week, YB’s Vice President of Strategic Planning and Government Affairs Roy Catalani explained that dropping volumes of cargo are forcing the company to apply to the Public Utilities Commission (PUC) for a rate increase of about 24 percent. Their last rate increase was in August 2009.
Along with lower cargo volume, a second shipping company, Pasha Hawaii Transport Lines, has entered the Hawaii market. They are “cherry-picking” service to larger harbors but not serving smaller ports like Molokai, according to Catalani. Pasha began service in February; their presence could also affect YB’s rising costs of operations.