WILLEMSTAD – According to the Minister of Finance Javier Silvania, the temporary mitigation of fuel prices will not be extended again. This means that from 12 February the price of petrol will rise again by 24 cents.
Up to three times, there was a 'Temporary Mitigation Fuel Prices' notice, the first on May 13, 2022, the second time an extension on August 13, and the third time another extension until February 12 this year. The aim of the regulation was to relieve the population, which is already dealing with massive inflation.
With the notice and subsequently published 'Temporary national ordinance to mitigate fuel prices', the tax components excise and sales tax (ob) in the price structure of fuel products were 'compensated', so that the consumer was met with a temporary reduction of 24 cents per liter.
Silvania does point out that via the Minister of Economic Development, Ruisandro Cijntje, other options have been suggested that could also help keep fuel prices low.
Last year, Silvania was able to justify the price reduction by stating that although the government is missing out on 27 million guilders in revenue from sales tax (ob) and excise duties, this loss will be covered by the 59 million guilder extra sales tax income that was expected.
“Unfortunately, the arrangement can no longer be extended. The expected income is included in the 2023 budget. In accordance with the agreement with the Netherlands, Curaçao cannot have a budget deficit this year, otherwise, we risk a financial instruction.”