Clean Energy Fuels Corp., will provide liquefied natural gas (LNG) to Hawaii Gas, the State of Hawaii’s only franchised gas utility. The recently announced contract and agreement are consistent with the state’s intent to reduce its reliance on imported crude oil, using a cleaner and more economical fuel.

The utility issued its initial request for proposal for the renewable fuel in January of this year.

“Hawaii Gas has been serving the state for over a hundred years and is committed to providing our customers with quality and reliable gas service,” said Thomas Young, Hawaii Gas’s EVP and COO. “With Clean Energy LNG, we will be able to diversify our gas supply using a clean fuel improving our reliability and maintaining the quality of service our customers know us for.”

According to Hawaii Gas, the state pays the highest electricity and gasoline prices in the country. In addition, under the Hawai'i Clean Energy Initiative (HCEI), 40% of Hawai'i's electricity will come from renewable sources by 2030, which leaves 60% of the electricity to be generated from oil, as well as leaving virtually all the transportation fuels used in the State to be sourced from oil, according to the utility. LNG offers a clean, secure,  and affordable alternative to oil imports in both these important sectors.