Hawaii Gas to be Acquired by Argo Infrastructure Partners
Hawaii Gas, the state’s only franchised gas utility and largest propane distribution business, will be acquired by Argo Infrastructure Partners, LP (“Argo”), a investor in utility infrastructure with a longstanding track record of sustainable investing. The transaction is expected to close in the first half of 2022, subject to approval by the Hawaii Public Utilities Commission and other customary conditions.
“Argo seeks to invest in well-managed utilities that are moving us toward a sustainable future,” said Richard Klapow, managing director for the firm. “We fully support the State of Hawaii’s goal of carbon neutrality by 2045 and Hawaii Gas’ contributions to this goal, while continuing to provide safe and reliable energy services to residents and businesses. We are firmly committed to the environmental leadership of the state and Hawaii Gas.”
“We believe that the change of ownership will be seamless for our commercial and residential customers, since neither our regulated rates nor daily operations will be affected,” said Alicia Moy, president and CEO of Hawaii Gas. “I’m pleased that Argo has expressed strong support for the utility’s efforts to increase its renewable and zero carbon emission energy sources, such as hydrogen, and for its support of our clean energy plan.”
Hawaii Gas’ employee count, wages and union relationship will not be affected by the acquisition. The company’s headquarters location, management team, and Hawaii-based directors will also remain in place. Hawaii Gas’ other, smaller clean energy businesses, including the Waihonu Solar Farm, will also be acquired by Argo.
Argo will appoint a qualified resident of Hawaii to its board of directors so that the State’s views and culture are fully understood, considered and continued under Argo’s ownership.