The Government is increasing fuel and cooking gas subsidies to cushion consumers and businesses from higher import costs, keeping prices unchanged for gasoline, diesel, kerosene and the 20-lb and 22-lb cooking gas cylinders.
The prices took effect on October 5 and will remain in place until October 25, under the Government’s three-week fuel pricing cycle.
What consumers will pay
The price of gasoline remains $17.25 per gallon, or $3.79 per litre, while diesel remains at the same price.
Kerosene also remains unchanged at $10.41 per gallon, or $2.29 per litre.
The 20-lb LPG cylinder remains $36, while the 22-lb cylinder remains $40.
However, larger quantities of cooking gas have become more expensive.
The price of a 100-lb LPG cylinder has increased from $314.88 to $324.88, while bulk LPG has risen from $3.02 to $3.12 per pound.
Why prices are being subsidised
The Government said higher international oil prices and increased import costs prompted the additional support.
During the September 7–27 reference period, the Government said renewed military conflict involving the United States and Iran, disruption to oil shipments through the Strait of Hormuz and other pressures on global supply contributed to higher international oil prices.
The average price of West Texas Intermediate crude rose 13.3 per cent to US$97.50 per barrel.
Saint Lucia’s import costs for gasoline, diesel and LPG also increased.
The Government said the additional subsidies are intended to reduce the extent to which those higher costs are passed on to households and businesses.
How much Government is covering
For the current pricing period, the Government is providing subsidies of:
$0.16 per gallon of gasoline
$2.40 per gallon of diesel
$5.22 per gallon of kerosene
The subsidy on the 20-lb LPG cylinder has increased to $40.47, while the subsidy on the 22-lb cylinder has increased to $44.11.
Without those subsidies, the Government says the 20-lb cylinder would cost $76.47 and the 22-lb cylinder $84.11, instead of their current retail prices of $36 and $40.
The 100-lb cylinder is receiving an increased subsidy of $57.45, while the bulk LPG subsidy has increased to $0.57 per pound.
Without that support, the 100-lb cylinder would cost $382.33, while bulk LPG would cost $3.69 per pound.
The next fuel price adjustment is expected on October 26.
