The Government of Anguilla introduced a coordinated package of temporary relief measures aimed at easing the impact of rising global fuel prices on households and businesses (see Wednesday newspaper). The Executive Council approved the temporary suspension of import duty and the customs service fee on gasoline and diesel imports for an initial period of three months.
Without intervention, the electricity fuel surcharge was projected to more than double from approximately EC $0.42 to about EC$0.88 per kilowatt-hour, which could have pushed a typical EC$400 bill to roughly EC$600 or more, depending on usage.
For an initial two-month period, the fuel surcharge is being kept at EC$0.42 for households and most other clients, while the accommodation sector, including hotels, villas and guesthouses, will be capped at EC$0.65 per kWh. This is expected to cost approximately EC$6.4 million over April and May.
While much has been said in St. Maarten about fast-increasing energy and transport expenses with detrimental socioeconomic effects, little concrete action has been taken so far. Meetings were held and plans made, but the public is yet to hear of any specific steps to keep living costs down.
Minister of Tourism, Economic Affairs, Transport and Telecommunication (TEATT) Grisha Heyliger-Marten had earlier mentioned looking at an excise tax adjustment. That would, of course, mean missing out on revenue for government.
The country already collected 12 million Caribbean guilders less than budgeted last year, which was only offset by underspending to the tune of Cg. 33 million, according to Central Bank of Curaçao and St. Maarten (CBCS) in Tuesday’s edition.
Nevertheless, the impact could become so severe that the interest of immediate mitigation outweighs that of prudent financial management. Exactly how Anguilla will cover the deficit resulting from its decision to protect consumers and -to a lesser extent- tourism accommodations on the island was not explained, but their priority now appears to be helping people.
The time for just words has passed. Talk is cheap.
