Anguilla News covers Anguilla and the wider
Caribbean.
x
Nevis
Island Authority Announces Domestic Gas Increase; Will
Continue to Subsidise Cost to consumers
Date Posted: June 03, 2008.
Charlestown -- Despite the Nevis Island
Administration's (NIA) continued subsidisation of domestic
gas (cooking gas), it was forced to sanction an increase in
the commodity with effect from June 01, 2008. Word came from
Minister of Trade on Nevis Hon. Hensley Daniel, in a
televised address on NTV Channel 8 on May 30, 2008, to
announce the increase.
"After careful consideration and mindful of the need to
protect the consumer, particular those in the low income
bracket of these run away oil prices, the Nevis Island
Administration has decided on the following increases. As of
June 1st 2008 a 100 pound cylinder will move from $140 to
$160 and the 20 pound cylinder will move from $30 to $35.
"It is absolutely important to note that the Nevis Island
Administration will continue to subsidise each 100 pound
cylinder by at least $80 and the 20 pound cylinder by at
least $16," he said.
Mr. Daniel compared prices of domestic gas throughout the
OECS and concluded that most of the countries paid more than
Nevis.
"A comparison of cooking gas prices in the OECS is useful so
that consumers can understand the rational behind the
increase. In Anguilla the 100 pound cylinder goes for $220.
In Antigua $108, in Dominica $215, in Grenada $216.55, in
Montserrat $145 in St, Kitts and Nevis $140, St. Lucia $210,
St. Vincent and the Grenadines $ 173.50 there suggest to us
that the only other OECS country that sells a 100 pound
cylinder of LPG or cooking gas for less than St. Kitts and
Nevis is Antigua where it is retailed at $108."
"The 20 pound Cylinder in Anguilla sells for $59, in Antigua
$ 20.95 in Dominica $44.10, in Grenada $43.81, in Montserrat
$ 29 in St. Kitts and Nevis $30 in St. St Lucia $33 and in
St. Vincent and the Grenadines $37. Again it shows that most
of these countries pay more for the 20 pound cylinder than
the consumers in St., Kitts and Nevis," he said.
The Minister called for the support and understanding of the
public, given the inability to hold down the price of oil on
the world market.
"I crave the support and the indulgence of the public given
the inability of the NIA to hold down the price of oil in
the international market& I look forward to the support of
the public and the understanding of the public in this
matter," he said.
Mr. Daniel explained that the former NIA had granted an
increase in domestic gas in February 2005 and that increase
resulted in the sale of 100 pound cylinder for $140 and a 20
pound cylinder for $30.
He said since that increase the price of oil had moved from
US$51.57 per barrel to US$133 per barrel and as of May 2008
it increased by 157 percent but despite these heavy
increases, the NIA had maintained the price at $140 for the
100 pound cylinder and $30 for the 20 pound cylinder.
Nonetheless, the Trade Minister explained that the
Administration had over time introduced a number of measures
to ease the cost of living on Nevis among them the removal
of consumption tax on basic food items; payment of 50
percent of the fuel surcharge for electricity consumers;
reduction in the price of land for first time owners;
stimulation of agricultural production to reduce imports of
meat and vegetables; waver payment of import duties for
small businesses and the provision of tax concessions for
persons wishing to invest in the tourism sector.
He said the Administration had also provided free text books
for primary and secondary school students and also lunches
for two additional primary schools and that over 107
students were receiving scholarship assistance at tertiary
institutions across the United States and the Caribbean.
