Guyana removes excise tax on fuel

By Rumi Samuel Published on March 24, 2022
Guyana removes excise tax on fuel

Guyanese will be paying less for fuel at retail outlets as the government announced it would remove excise tax from gasoline and diesel.

“In response to the continuous increase in fuel prices on the world market, we have now reduced the excise tax on gasoline and diesel from 50 per cent to zero,” President Dr Mohammed Irfaan Ali announced on Facebook this afternoon.

On March 8, Guyana’s three fuel retailers sold super gasoline between GYD$203 and GYD$249 per litre.
Diesel was sold for as low as GYD$198 per litre.

Guyanese took to social media to welcome the government’s announcement.

“This is a good move by the government because the food price has increased a lot over the last few weeks. I hope this savings by supermarkets will be passed on to customers,” one woman commented.

Another Guyanese commented: “The rise in fuel globally should indicate to the government that we need to start refining our oil in Guyana. That, in my view, will help cushion Guyanese from these global shocks.”

Fuel prices have increased across the region due to sanctions on Russia following its invasion of Ukraine in late February.

Antiguans are now paying EC$15.70 per litre for gasoline and EC$15.50 per litre for diesel.
The price at the pump is expected to increase again when a new shipment of fuel is released to retailers.
Prime Minister Gaston Browne said Antigua and Barbuda could not afford the over US$2 million needed to subsidise fuel.

Barbados has capped gasoline prices at $3.99 for gas and $3.32 for diesel.
The cap, which will run for six months, was announced by Prime Minister Mia Mottley in her budget address on March 14.

Grenada also capped fuel at EC$15 per litre.

In an address on March 17, Prime Minister Keith Mitchell said: “We made a commitment to cap the gas price to local consumers at $15 a gallon, and that remains in place for now. It means, however, that Government will have to sacrifice more in providing this subsidy, thereby limiting our ability to spend elsewhere.”

“The Ministry of Finance is currently undertaking an extensive review of the country’s fiscal situation. In the coming weeks, as the true impact of the situation becomes much clearer, we will make further announcements with respect to fuel prices.”

Rumi Samuel

Rumi Samuel

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