[Isaac]

The state's Public Utilities Commission said Wednesday that, beginning Sept. 1, wholesalers in Honolulu may not charge more than $2.1578 a gallon for regular unleaded, or about $2.74 a gallon when taxes are included. The commission set the caps, which will fluctuate from week to week, at different levels for other islands.

The law does not establish a cap at the retail level. But if retailers keep their usual 12-cent-per-gallon markup, prices for regular unleaded in Honolulu could in theory rise to about $2.86 per gallon.

On Wednesday, the average retail price of regular unleaded in Honolulu was at a record $2.761, some 15 cents above the nationwide average. Statewide, prices average $2.84, the highest in the nation, according to AAA's Web site.

Prices on Maui have already topped $3 a gallon this week.

Full story here.