WILLEMSTAD – Motorists on Curaçao will face significantly higher fuel costs starting Tuesday, May 5, after the government announced sharp increases in both gasoline and diesel prices during a press conference.
The new pricing means gasoline will rise from 2.15 guilders to 2.49 guilders per liter, an increase of 34 cents.
Diesel will increase even slightly more, going from 2.22 guilders to 2.57 guilders per liter, a rise of 35 cents.
The increase marks one of the most significant fuel price adjustments in recent months and is expected to have a direct impact on transportation costs, consumer prices and household budgets.
According to Prime Minister Gilmar Pisas, the higher fuel prices are being driven by developments on the international oil market, particularly geopolitical tensions in the Middle East and tighter global oil supply.
Pisas said uncertainty remains high and it is not yet clear how long those international pressures will continue.
The government acknowledged that the increase will affect the cost of living on the island and said efforts are being made to soften the impact on vulnerable households.
As part of those measures, the government announced a monthly compensation package of between 40 and 50 guilders for low-income residents.
Authorities are also examining additional support funds for households with an annual income below 30,000 guilders.
Officials say the compensation is aimed at helping families cope with rising fuel and transportation expenses, which often translate into broader increases in food and essential goods.
To closely monitor the situation, the government has established a working group involving multiple stakeholders.
The group will be led by the Minister of Economic Development and will be tasked with analyzing fuel market developments and evaluating possible policy responses.
The government noted that gasoline prices still have some flexibility due to existing fuel inventories already on the island.
Diesel, however, is more immediately exposed to international price movements, which explains why its increase closely reflects global market conditions.
The fuel hike is expected to affect both private motorists and businesses, particularly transport companies, delivery services and sectors heavily dependent on fuel consumption.
Economists warn that sustained increases in fuel prices often create inflationary pressure, as higher transportation and logistics costs are passed on to consumers.
The government has not ruled out further adjustments if global oil market conditions worsen in the coming weeks.