No Rate Increase for Petroleum Dealers

NASSAU, BAHAMAS – An increase in the margin for petroleum dealers is off the table as petroleum dealers and government prepare to meet on Wednesday.

Jared Higgs tells us there has been a suggestion that petroleum dealers want to strike ahead of the Easter weekend, but one government official says there was nothing about that in a letter he got from The Bahamas Petroleum Dealers’ Association (BPDA).

Minister of Economic Affairs Michael Halkitis responding to claims by the association that only the government is benefiting from the increased cost of fuel.

BPDA Vice President Vasco Bastian has lamented the 54 cents per gallon that petroleum dealers take, compared to the $1.60 the government gets for every gallon of gas purchased. Bastian says that 54 cents is fixed, meaning if they spend $1 or $9 on fuel, they still get the same 54 cents.

Petroleum dealers have suggested switching from a fixed margin to a percentage-based margin.

As for the potential of a strike, Transport Minister Jobeth Coleby Davis says if that happens it would be like the aftermath of a disaster.

The petroleum dealers and government officials will meet on Wednesday afternoon.