Barbadians need to be reminded again, as I did over a week ago, that it has been 365 days since fuel prices have changed. Yes, September 3, 2024, marks a full year without any change in the cost of gasoline and diesel.
Gauging from the public response to my analysis, this issue is extremely worrisome to Barbadians. Since September 2023, we have not benefitted from the global reduction in the price of a barrel of oil. The global cost is one of the main determining factors influencing our price fluctuations and what we must pay at the pump.
Previously, I referenced the reduction in oil prices globally when compared to September 2023 on the world market based on the widely used Brent Crude Oil Price.
If we turn our attention to the national level, we see adjustments downwards on the imported cost of Heavy Fuel Oil. The effect of this is seen when we examine the Fuel Clause Adjustment (FCA) from September 2023.
The monthly FCA calculation shown on the Barbados Light and Power’s website shows two things. Firstly, there were periodic adjustments post September 2023. Secondly, those adjustments in each month show a decline in value when compared to September 2023. A clear indication that the imported price has been lower.
The FCA monthly calculations from October 2023 to June 2024 were lower than that of September 2023 by as much as 26 % in one instance, 21% lower in another instance and 17% lower in another. On average, the FCA calculation over the last nine months was 18% below that of September 2023.
If this information is to be any indication of what one could expect with the price of gasoline and diesel, consumers should have seen declines at the pump a long time ago.
Consumers should benefit from the global reduction. Consumers must see a reduction at the pump. Consumers deserve better. We demand not only a response to this issue, but also concurrent action resulting in an ease at the pumps.
I am therefore calling on the Minister of Energy to give Barbadians an account on this pressing issue which is inflating an already high cost of living for every household in Barbados. This cost too has impacted on small to medium size businesses that depend heavily on fuel for their businesses to operate. A year is too long, the fuel prices are too high. This is a burden felt by all of us.
I end by reminding the Minister that as a policymaker her duty is to address matters of grave concern and to advocate policies that advance not cripple citizens or sectors. (PR)
