High gas prices, changing driving habits and a decline in tourism contributed to an 8.3 percent drop in gasoline consumption in Hawai'i over the first 10 months of 2008.

Although consumers have been celebrating lower gasoline prices in recent months, the Monthly Energy Trends report released this week by the state Department of Business, Economic Development and Tourism pegs the statewide average price for regular gasoline in 2008 at $3.759 per gallon, up almost 18 percent from 2007.

The price rise earlier this year was enough to get some drivers to switch their habits, and they seem to be slow to return to their old ways, said Eugene Tian, DBEDT research and statistics officer.

"When prices decrease, it takes some time to adjust. We did see gas prices start to decrease from July, but consumption still decreased," he said.

Since the energy report shows roughly the same number of registered vehicles on the road — about 938,000 — the drop in gasoline consumption from 2007 to 2008 is largely due to motorists spending less time behind the wheel to reduce fuel expenses, Tian said.

"When gas prices increase, people change their driving habits and drive less," he said.

Those changes include opting for carpooling and mass transit, according to Elaine Beno, spokeswoman for AAA Hawai'i.

"When gas prices went up so high, everywhere in the country motorists were looking into and exercising alternatives and driving less, taking transit such as buses and trains," she said. "People also are cutting their discretionary trips and carpooling."

One byproduct of the lower gasoline consumption in Hawai'i is a drop in tax collections. State and county gasoline tax revenues from the first 10 months of 2008 are down a combined $7.5 million from the same period in 2007.

On the positive side, TheBus appears to be benefiting from consumer worries about fuel prices. Average weekday passenger boardings in November were up 3.3 percent from the same month last year, said James Burke, chief of the city's Public Transit Division.

"We like to think it's because we're doing a really good job, but it's probably both," he said.

Officials said another reason for lower gas consumption is the 10 percent drop in the state's visitor count through November. With fewer tourists, there are fewer rental cars and tour vans pulling up at local gas pumps.

DECLINE ON ALL ISLANDS

Kaua'i had the largest year-to-date drop in gas consumption, with a 25.5 percent decline through October, while O'ahu had the lowest, with a decrease of 5.5 percent.

Gas consumption on Maui was down 9.3 percent and on the Big Island, 10.2 percent.

Over the first 10 months of 2008, O'ahu motorists consumed an average of 23.5 million gallons of gasoline per month.

Motorists on the Big Island used an average of 6.1 million gallons per month; on Maui, 5 million gallons; and on Kaua'i, 2.3 million gallons.

The DBEDT began collecting data for the Monthly Energy Trends report in July, so there isn't much of a historical record to judge the highs and lows in gasoline consumption. Researchers did retrieve information from 2006 and 2007 to provide some short-term perspective.

Tian noted that gas consumption in 2007 dropped almost 2 percent from the previous year, so the 8.3 percent for the first 10 months of 2008 does show a larger decline.

Consumption of gasoline in October decreased a substantial 25.3 percent from the same month in 2007, but officials said monthly figures do not provide a legitimate basis for comparison because they can vary widely, depending on special events that take place during the month, seasonal activities, cruise ship visits, weather and other factors that aren't always evident.

OLD HABITS RETURNING?

The Monthly Energy Trends report also indicates the state-wide average price for regular gasoline in December was $2.452, down 29 percent from the same month in 2007, but still 46 percent higher than the national average price of $1.68 per gallon.

Beno said there's already anecdotal evidence that with gas prices dropping, "there's a little more traffic on the road and motorists are driving a little faster again. How fast you drive is the biggest factor in fuel consumption."

The consumption of diesel fuel for highway use was 2.9 percent lower through October than for the same period in 2007, according to the energy report.

The average price for diesel in 2008 was $4.633, up 29 percent from 2007. That compares with the average national price of $3.90 per gallon.

In December, the price of diesel was $4.077 per gallon, an increase of nearly 5 percent from the same month last year.

There also was a 12.7 percent decline in foreign crude oil imports to Hawai'i in the first 10 months of 2008 as demand fell.