National

YEAR IN REVIEW – Gas Margin Increases After Decade-Long Push by Retailers

NASSAU, BAHAMAS – Gas retailers finally got their margin increase this year, but it certainly didn’t happen overnight.

Published

1 year ago

December 29, 2024

Marlena Leonard

NASSAU, BAHAMAS – Gas retailers finally got their margin increase this year, but it certainly didn’t happen overnight.

Retailers hadn’t seen an increase since the Ingraham administration some 13 years ago in 2011, and were almost three years deep into talks with the Davis administration.

But even with the reduction of the association’s request from 30 cents down to 25 cents for their margin increase, the wait continued.

Well those, couple of weeks went by with no resolution in sight, and when petroleum retailers saw no mention of a gas margin increase in the 2024/2025 Budget Debate, they threatened a complete shutdown.

After another few months without progress, by September gas retailers again raised the alarm- even suggesting many were at the risk of going out of business.

The retailers were also threatening a protest outside of the House of Assembly for the following week but called off their plans after Prime Minister Philip Davis announced government had agreed to the increase.

That increase officially came into effect on October 1st.

Retail margins for gasoline and diesel went up by 25 cents and 16 cents respectively under the Price Control Act and Gasoline and Diesel Oil Amendment Regulations 2024.

It pushed gas margins to 79 Cents and 50 cents for diesel.

Minister of Economic Affairs Michael Halkitis shared the timing coincided with lowering inflation.

“Inflation generally, has abated, has come down in the country and as well the cost of fuel gasoline on the international market has come down,” he said.

“And so we thought the time was right and we continue to monitor the price of fuel.”