GovernmentPress Release

Government Increases Subsidy on Petroleum Products

The Government of Dominica continues to implement measures to keep fuel prices under control as the global price of oil continues to rise.

Given the present global market prices and this new price cycle, the Government has decided to further subsidize the cost of petroleum to reduce the impact on residents and to allow for sustainable economic activities.

The Ministry of Trade and Commerce’s price analysis, for petroleum products, projected the following prices for the upcoming adjustment cycle:

Petroleum ProductsCurrent PricesNew PricesChange (+)
Gasoline$16.47 per gallon$18.66 per gallon$2.19 per gallon
Diesel$16.58 per gallon$17.13 per gallon$0.55 per gallon
Kerosene$16.57 per gallon$16.67 per gallon$0.10 per gallon

The government will continue applying a waiver of the Customs Service Charge on gasoline and diesel and the granting of the subsidy of EC $0.21 cents per gallon on diesel. Further, due to a greater increase in the global price for gasoline, the Cabinet approved an increase in the subsidy on this product from EC$0.60 cents per gallon to EC$0.85 cents per gallon with immediate effect until the retail price of each product returns to below EC $15.00 per gallon.

As a result, the retail prices for the products, with immediate effect, are as follows:

Without the Government’s intervention by way of waivers and subsidies, the retail price of gasoline would be $20.43 and Diesel $18.14. The implementation of the measures will result in continued revenue loss to the state. However, the Government of Dominica remains committed to actions to cushion the impact of escalating world fuel prices and the current inflationary increases affecting basic household items.

The government will continue applying a waiver of the Customs Service Charge on gasoline and diesel and the granting of the subsidy of EC $0.21 cents per gallon on diesel. Further, due to a greater increase in the global price for gasoline, the Cabinet approved an increase in the subsidy on this product from EC$0.60 cents per gallon to EC$0.85 cents per gallon with immediate effect until the retail price of each product returns to below EC $15.00 per gallon.

Without the Government’s intervention by way of waivers and subsidies, the retail price of gasoline would be $20.43 and Diesel $18.14. The implementation of the measures will result in continued revenue loss to the state. However, the Government of Dominica remains committed to actions to cushion the impact of escalating world fuel prices and the current inflationary increases affecting basic household items.

This article is copyright © 2022 DOM767

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Ministry of Trade

The Ministry of Trade, Commerce, Entrepreneurship, Innovation, Business and Export Development has responsibility for formulating and implementing Dominica's domestic and external trade policies. This includes export development and promotion, regional integration in CARICOM and the OECS, external trade negotiations, industry development, investment promotion, consumer protection, standards management and meteorology and Diaspora relations.

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