PRIME MINISTER Patrick Manning, of oil-rich Trini-dad and Tobago, has pro-mised to assist Caribbean Community (CARICOM) countries reeling from mounting oil prices on the world market.Meanwhile, a Jamaican delegation is scheduled to arrive in Trinidad and Tobago next week to resume negotiations on an alternative Liquefied Natural Gas (LNG) deal, as the rising cost of oil-based fuels continues to take its toll.
Yesterday the Jamaica Public Service Company (JPSCo) Ltd. warned that, facing increased production costs, it could be forced to slap customers with a 'dramatic' increase on electricity bills next month.
"I do expect that there will be a significant increase in the fuel rate," Winsome Callum, JPSCo's corporate communications manager, said yesterday on the Power 106 current affairs programme, Nationwide. The JPSCo's revelation followed close on the heels of Air Jamaica's announcement Thursday that its fuel bill has been forced over budget.
On Thursday, the T&T Prime Minister indicated that the twin-island republic was committed to helping regional nations reduce their high energy bills, even while basking in the unexpected windfall from the highest oil prices on the international market in 13 years.
"We are committed to minimising as far as possible, the price of energy in the islands," Mr. Manning told a news conference following a regular Cabinet meeting on Thursday.
He said that his administration had always linked the development of Trinidad and Tobago to that of the region, reminding journalists that any crisis in the Caribbean would inevitably affect Port-of-Spain.
He said that an energy-sub- committee of his Cabinet had been mandated to develop proposals on how Trinidad and Tobago could, in the interim, assist regional governments to meet their energy bills.
"We have been working on an arrangement to minimise the cost of petroleum products to the region. Now that prices have gone up again, a mandate was given to the Ministry of Energy to conclude the arrangement for a decision within two weeks."
ASSISTANCE
"We are committed to some kind of assistance, the full extent of which we will have to determine based on the figures and facts," Manning added.
Earlier this week, oil prices reached a 13-year high, selling at US$39.89 per barrel, well above the OPEC designated price band of US$22 to US$28 per barrel.
The Trinidad and Tobago Government had based its 2004/2005 national budget on an oil price of US$25 per barrel.
On Wednesday Phillip Paul-well, Minister of Commerce, Science and Technology, told the House of Representatives that state-operated oil refinery Petrojam had paid US$43 per barrel, resulting in a near $2 jump in gasolene prices at the pump.
The cost of petrol subsequently spiked to about $37 per litre, a more than $10 increase since the start of the year.
The soaring cost of energy has become a major concern of the Jamaican Government, with Finance Minister Dr. Omar Davies warning that the oil bill could surpass $1 billion this year. Minister Paulwell highlighted, during the Sectoral Debate this past week, a host of Government initiatives for cutting the cost of energy.
Petrojam announced that it had purchased oil at US$43
per barrel on Wednesday.
Approximately $2 increase in gasolene prices at the pump Thursday.
World oil prices soar to 13-year high of more than US$40
per barrel.
Air Jamaica announces fuel budget overrun
JPSCo warns of increased electricity bills next month
Trinidad and Tobago announces unexpected windfall from
high oil prices
Trinidadian Prime Minister commits to helping CARICOM
nations reduce high oil bill
Jamaican delegation to arrive in T&T for LNG talks on Monday
