In that case, the utilities would charge a standby fee for keeping their multi-billion dollar infrastructure in place (it's called a "demand charge" in the utility industry). Then, when you use the electrons during the cloudy period, you'd pay an astronomical "consumption charge", beyond $100/KWh because everyone in the city wants/needs those electrons. The utility share-holders would be fine.
But the people of Hawaii would have the cost of the solar installation PLUS the cost of the traditional grid. The calculation in the article misses this point and only shows the $/KWh consumption costs on the utility side.
So, yes, a huge amount of solar can figuratively blow up the electrical grid.