The Government is discussing possible relief measures with LUCELEC as high electricity bills continue to put pressure on households and businesses.
In a statement, the Government said Prime Minister Philip J. Pierre had continued dialogue with the electricity company on temporary measures that could ease the burden on customers, including possible payment plans, a halt to disconnections and other forms of assistance.
“The Consumer Affairs Department will take these discussions forward with LUCELEC to explore more sustainable measures to ease consumers’ financial pressure,” it said.
International geopolitical tensions, including the conflict in Iran, continue to put pressure on global fuel prices and, in turn, electricity costs in Saint Lucia, it noted.
However, the statement said, the Government is also continuing to take action, where possible, to limit the costs households and businesses would otherwise have to bear.
The Pierre administration is maintaining subsidies on gasoline, diesel and cooking gas to limit costs for consumers.
For the period October 26 to November 15, gasoline is being subsidised by $1.15 per imperial gallon and diesel by $2.50 per imperial gallon, keeping both prices at $17.25 per gallon. Without the subsidies, gasoline would cost $18.40 per gallon and diesel $19.75 per gallon, according to the Government.
The Government is also subsidising cooking gas, reducing the amount consumers have to pay for each refill.
A 20-pound cooking gas refill costs $76.25 before the subsidy. The Government pays $40.25 of that amount, leaving consumers to pay $36. A 22-pound refill costs $83.87 before the subsidy. The Government contributes $43.87, so consumers pay $40.
The Pierre administration acknowledged that absorbing these costs places pressure on public finances, underscoring the need for longer-term measures to reduce the country’s dependence on imported fuel.
Those efforts include exploring geothermal energy and removing VAT on qualifying solar photovoltaic equipment and installation services. The Government said these initiatives are intended to increase renewable energy use, reduce reliance on imported fossil fuels and help stabilise electricity costs over time.
