WILLEMSTAD – Consumers in Curaçao will pay less for gasoline, diesel and water in the coming weeks, while electricity tariffs will increase, according to the latest monthly tariff announcement by the Regulatory Authority of Curaçao (RAC).
The new regulated prices for gasoline and diesel will take effect on Tuesday, July 28, 2026. The updated water tariff will apply from Saturday, August 1, 2026. The RAC, which supervises price developments for fuel products and utility services, announced the changes following its monthly tariff review.
The decrease in fuel prices is mainly the result of lower international purchase prices.
The end-user price for Mogas 95 gasoline will decline compared with the previous month due to the reduction in international fuel costs. The regulated price for Gasoil (Ultra Low Sulfur Diesel) will also decrease, although the reduction will be partially limited by a less negative correction factor compared with the previous month.
Fuel tariffs are calculated based on several components, including the purchase price, import duties, fuel supply security costs, Curoil's margin, excise taxes, recovery of previous surpluses or deficits, cross-subsidies, wholesale taxes, dealer margins and retail taxes.
The purchase price used for the monthly calculation is determined based on available fuel stocks at the end of the previous month. For August 2026, the calculation is primarily based on fuel inventory data available at the end of June 2026. If the information provided by Curoil is insufficient, the RAC uses recent international market prices as a reference.
Differences between regulated purchase prices and actual purchasing costs are later corrected through the "surplus/deficit recovery" mechanism.
While fuel and water prices will decline, electricity tariffs will increase.
According to the RAC, the electricity increase is the result of a combination of factors. Although average fuel costs for electricity production have decreased slightly, this benefit is outweighed by an increase in the correction factor related to previous production costs.
Electricity tariffs consist of a basic tariff and a fuel clause. The fuel clause includes both the cost of electricity purchased from third parties, such as renewable energy producers, and the fuel costs associated with electricity generated by Aqualectra itself.
The RAC determines the monthly fuel clause based on Aqualectra's projected production mix, which reflects the expected contribution from different energy sources during the month. If the actual costs later differ from the forecast, adjustments are made through correction factors.
The water tariff, however, will decrease. The RAC explained that this is mainly due to lower electricity costs associated with water production, combined with adjustments in the correction factor for June 2026.
Like electricity, water tariffs consist of a basic tariff and a fuel-related component. The fuel component includes costs related to water purchased from third parties and the electricity required by Aqualectra for its own water production.
The basic tariff for both electricity and water is established once a year by the RAC and covers fixed costs such as personnel, maintenance, depreciation, production, distribution and delivery expenses.
The RAC advises the Council of Ministers on the proposed tariffs. After approval by the Council, the Minister of Economic Development, who is responsible for energy affairs, formally establishes the maximum tariffs that may be charged for one month.
The regulator said the tariff system is designed to take both international market developments and local operating costs into account, ensuring transparent and fair pricing while protecting the continuity of fuel, water and electricity supply for Curaçao's population.