During the second day of the Evidentiary Hearing on Young Brothers' 2025 Rate Case, the Public Utilities Commission of Hawaii focused on critical aspects of marine repair and maintenance budgets, alongside cargo handling operations. The discussions highlighted the importance of maintaining safety and efficiency in operations while managing costs effectively.
Key insights emerged regarding the budgeting process for marine and shore-side operations. The marine team collaborates closely with the shore-side terminal team to identify necessary repairs and maintenance, which are often regulated by agencies such as the Coast Guard and OSHA. Notably, some equipment used in cargo handling is over 19 years old, leading to increased maintenance costs. The team emphasized that older equipment requires more frequent repairs, which can strain budgets.
The hearing also addressed the management of overtime costs. Young Brothers has implemented a program called "Lead, Manage, and Contain" (LMC) aimed at optimizing barge operations and reducing overtime. This initiative focuses on improving cargo acceptance and gate times, ensuring that cargo is available to the community promptly while minimizing wait times for customers.
Additionally, the discussions touched on the challenges faced with booking and capacity management. Instances were noted where large customers were unable to secure space on barges due to booking discrepancies, leading to frustration. The company is actively working to address these issues and improve customer service.
Overall, the hearing underscored Young Brothers' commitment to maintaining operational efficiency and safety while navigating the complexities of budget management and customer expectations. As the company moves forward, these discussions will play a crucial role in shaping its strategies for the upcoming year and beyond.