Fuel price rise sets off street protests

PORT-AU-PRINCE (AP):

Haiti announced steep increases in fuel prices on Wednesday despite fears that the move would crush an already frail economy, push even more people to flee the country and unleash the sort of protests that have often paralysed the capital.

The government-set price of a gallon of gasolene is to increase from 250 gourdes (US$2) to 570 gourdes (US$4.78), while diesel will go from 353 gourdes (US$3) to 670 gourdes (US$5.60) and kerosene from 352 gourdes (US$3) to 665 gourdes (US$5.57).

The government said prices are rising because it can no longer afford to heavily subsidise fuel like it once did. Previously, Haiti received all its petroleum under Venezuela’s Petrocaribe programme, which ended several years ago. Since then, the government authorised local distributors to import fuel and has subsidised their purchases.

Protesters against the price hike blocked roads throughout Port-au-Prince on Wednesday with rocks, burning tyres, metal gates and even a bed frame, leaving the normally bustling capital void of traffic. Schools and businesses, including banks, also shut down as columns of black smoke rose across the city.

CROSSING THE BORDER

Marc André, a 28-year-old moto-taxi driver, said he might sell his bike and cross the border into the neighbouring Dominican Republic to look for a construction job.

“The price I’m going to charge, most people won’t be able to afford it,” he said. “It’s best for me to leave the country.”

The government did not say when the new fuel prices would go into effect, but tweeted that “prices in Haiti are significantly lower than those on the international market”.

Prime Minister Ariel Henry had warned in a national address early on Monday that fuel prices would increase, although his administration did not release details until Wednesday.

A couple thousand Haitians protested the looming increases on Tuesday while also demanding a crackdown on soaring violence and a reduction in the price of basic supplies amid a 30 per cent inflation rate.