News

TWENTYTWO DOLLARS a gallon, or $5.50 per litre.

That’s what Barbadian motorists would be paying for gas at the pump today had the Barbados Labour Party (BLP) administration not taken a decision to absorb a significant portion of increases in international oil prices.

Only last week, the cost of a barrel of crude oil shot to an all time high in excess of US $100, but the Barbados Labour Party Government continues to protect residents from the phenomenal increases in prices on the world market.

Minister of Energy and the Environment, Liz Thompson stresses: “We cut the tax on gasoline from 89 cents per litre in 1993 to 60 cents a today, and have not passed on a single increase so far this year, even though the world price has almost doubled.

“In 2003, a barrel of oil on the international market cost US$29, today it reaches up to US $100 and more. However, by cushioning the impact of these higher energy prices, Government subsidies currently save consumers an estimated 30 cents per litre, the equivalent of $1.20 per gallon, on gas.”

Thompson added: “Our energy policy has responded to the world crisis by subsidising energy efficiencies and pursuing the exploration of oil and gas offshore. We have also reduced taxes on energy efficient cars.

“These policies have succeeded in unleashing economic growth, preserving stability, safety and lowering the unemployment rate in Barbados to a record low of 7.1 per cent today from almost 25 per cent in 1994.”