GOB to Deliberate on BBA Fuel Subsidy Demands

For many Belizeans, a missed bus can mean a missed day of work, school, or essential services. That reality loomed large last week as tensions grew between the government and the Belize Bus Association over rising fuel costs and the future of a fuel subsidy that operators say is critical to keeping their businesses afloat. While a planned service disruption has been put on hold, the issue remains far from resolved. Transport Minister Dr. Louis Zabaneh says government is actively reviewing proposals and consulting with stakeholders to reach a sustainable solution before commuters feel the impact. This morning, Dr. Zabaneh spoke with News Five about the negotiations and government’s next steps.

 

Dr. Louis Zabaneh, Minister of Transport

“When they sent the letter the first time, they were still getting subsidies. And they correctly pointed that out in their letter. So at that time, we said we will address this matter in due course at the right time. So that is when we asked them to actually kindly write it to the Prime Minister and we will take that to cabinet. So I did mention it in cabinet and the wisdom of cabinet was to bring a proper proposal to us, because recall that back when we gave the subsidy, we were experiencing a rising trend in world prices for fuel, and everybody was feeling the pinch around the world. And then there was the back and forth with them, whether or not it would be an increase in fares, remember the eighteen cents per mile versus whether it’s going to be a direct subsidy combined, perhaps with exemptions from other inputs like tires, duties on those things, until we finally came to the point where it was a subsidy plus a fair increase.  So that required quite a bit of analysis. And now that is what our team is doing to complete that presentation, that we will make the cabinet, that we will look at the trends of fuel prices compared to back then, because cabinet ministers need to have all the facts on the table so they can make a proper decision.”

 

Zabaneh says the government is pursuing a long-term approach through a public-private partnership and expects to provide an update on the partnership’s progress and improvements after the first six months, with a review scheduled for September fourth.

 

Attention readers: This online newscast is a direct transcript of our evening television broadcast. When speakers use Kriol, we have carefully rendered their words using a standard spelling system.

 

Watch the full newscast here: