McTaggart calls for suspension of fuel import duty

Opposition Leader Roy McTaggart has called for a complete suspension of the import duty on fuel, at least until the end of the year, to help drive consumer costs down at the pump.

McTaggart, speaking at a media briefing Tuesday morning via Zoom, urged the PACT government to take the “bold step” and suspend the 75 cents per gallon import duty on motor gasoline fuel to reduce rising fuel prices.

“We are hoping that the government will take time to consider government finances are still in good shape,” he said. “With the increased cost of living, government is making even more revenue as more import duty is collected on those increased prices of imports. Government should not benefit from rising prices to the detriment of our people.”

Though he knows lifting import duties will impact the government coffers, the former finance minister said, without access to the current data, he could not say how much of an impact that would be.

However, he welcomed government’s decision to draw down on a line of credit set up by the Alden McLaughlin-led administration, since it would be useful in the current economic climate continues.

Lifting duty impacts all sectors

McTaggart, who wrote to Premier Wayne Panton on the issue of the rising cost of living last week, said he has yet to receive a response.

While he said the opposition is cautious about the creation of a welfare state, it feels that something must be done to render assistance to those in need.

Deputy opposition leader Joey Hew, also speaking at the briefing, stated, “We have to make sure that [the provision of relief] is fair and equitable across the board. Immediately, one of the best ways to do that is to address the duty on fuel because that affects everyone, that affects businesses in their delivery vehicles, that affects households and that will certainly have an impact on utility bills.”

He said people may find themselves in the unfortunate position of having to choose between paying their electricity and internet bills or paying their mortgages.

As the Caribbean Utilities Company advised consumers to brace for increased bills this summer in a tweet on Twitter that has drawn criticism in the community, McTaggart urged local utilities companies to hold off on any price increases.

This tweet has been making the rounds on social media.

— C.U.C. Ltd (@CUCSparky) June 18, 2022

‘Not a time for blame’

Hew, in response to a media question on the Progressives’ role in allowing inflation to get to the point it is, defended the party.

He said, during the Progressives-led administration, the government had reduced stamp duties and cut fuel import duty for CUC, and had taken steps relieve the financial strain of COVID restrictions on consumers, like suspending utility disconnections and suspending mortgages payments.

He said the opposition was not picking on the government of the day for the cost of living situation, but was offering options to consider, and suggested starting with relief for seniors and indigents.

With economists predicting a recession is on the way, Hew said now is the time to act.

He acknowledged that the current government is facing a very different set of circumstances than those the Progressives had while they were in power, especially as the world is now dealing with supply-chain challenges and fuel issues linked to the war in Ukraine.

“We’re not blaming anyone and if you want to put the blame on us, then fine, but we were not faced with this situation,” Hew said. “What we are doing now is trying to assist the government and we are saying is, ‘Please, act,’ and here’s how we think… here’s some of the suggestions that we have and, like I said, they may come up with better ones but these are the ones that we’re making.”

McTaggart said the opposition is willing to meet with local utility companies and plead on behalf of the community for leniency as the inflation pressure continues.

Both Hew and McTaggart also agreed that it is time to lift the mask mandate and take steps to encourage the return of tourism to help put more cash in workers’ hands.

Hew said the opposition has not been apprised of the COVID situation from the medical professionals, so he would stop short of calling for more changes to the regulations without the scientific data.

However, he said, for the sake of students and the trauma they endure having to wear masks all the time, he would strongly recommend lifting the mask mandate.

Government is expected to announce changes to the current COVID regulations this week.