Prime Minister Roosevelt Skerrit has announced that his government plans to review the fuel surcharge to cushion the impact on the cost of electricity for consumers in Dominica.
He made the announcement while speaking on Kairi FM’s Next Level Program on Tuesday.
“One of the concerns I have raised in recent times, [as] a matter of fact up to today, I was having a discussion with the Financial Secretary and I said to her that we need to start reviewing the fuel surcharge because I have a fundamental issue with the fuel surcharge in the high rates of the fuel surcharge,” he said.
Skerrit continued, “And we have directed them [DOMLEC] to look at reformulating this formula as to how we arrive at the fuel surcharge to ensure that we can cushion the impact on electricity cost on consumers in Dominica while we continue working on geothermal which we are fully committed to.”
He said if the fuel surcharge is addressed in the interim and geothermal comes on stream, the country will witness in the long run, a reduction in the cost of electricity to both the private businesses and domestic consumers.
“These are things that we are trying to do to see how we can reduce the cost and the impact of people like we have done with petroleum,” the Prime Minister stated.
Meanwhile, he pointed out that for the last 12 years there have been no taxes on kerosene and liquefied petroleum gas (LPG) in Dominica.
“No excise tax, no customs service charge , no VAT, no import duties on kerosene and LPG in Dominica,” he indicated. “People don’t seem to remember that. We removed this and then recently we have been subsidizing the price of the other petroleum products, diesel and gasoline.”
He said further that his government is subsidizing gasoline by 60 cents per gallon and diesel by 21 cents per gallon, plus the removal of the customs service charge of 3 percent in order to cushion the impact of the imported price of petroleum products in Dominica.
Prime Minister Skerrit announced in March this year that from April 1, 2022, the government and people of Dominica would own controlling interests in DOMLEC.