HORNEOPPOSITION SENATOR Norman Horne wants the two per cent cess on imported petroleum products removed to ease the burden on consumers and producers until stability returns to the world oil market.
Senator Horne on Thursday tabled a resolution in the Upper House calling on the Government to remove the cess/user fee. He noted that the increasing oil costs will have serious fiscal implications such as inflation as well as social and economic hardship "due to increase in consumer prices and production costs."
The Opposition Senator's suggestion that the cess be removed came in the context of the Government's lack of control over world market prices, and its control over its taxation package.
"The most widely consumed petroleum products, diesel and unleaded 87 and 90 (gasolene) attract a Special Consumption Tax of approximately $7 per litre as well as a two per cent cess," Senator Horne argued.
With world oil prices ballooning, Jamaicans have over recent weeks been faced with steep increases in fuel cost at the pump.
STEEP INCREASES
The developing crisis has notably led to steep increases in fuel costs for Air Jamaica and the Jamaica Public Service Company (JPS) Ltd.
The JPS, as a result, requested that the Office of Utilities Regulations (OUR) approve a rate increase, and warned consumers that they would see increases in electricity bills as of June 1.
The OUR this week approved an average five per cent rate increase for the JPS, well below the rate the light and power company was reportedly seeking.
