A set of measures aimed at cutting the rising cost of living in Anguilla amid ongoing geopolitical tensions is set to cost the government nearly EC$10 million.
Premier Cora Richardson Hodge announced the estimated price tag for the relief package during a government press conference on 13 April.
She said she wanted to set it out in detail so people could “understand and appreciate” the extent of what is being offered.
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The first item is the suspension of import duty and the customs service fee on fuel for an initial period of three months. This is expected to cost EC$1.5 million, the premier said.
She explained that the legislation necessary to amend the Customs Act for the relief measure was taken to the Anguilla House of Assembly on 7 April and passed.
Next the government is capping the fuel surcharge for an initial two months at $0.42 per kilowatt hour for homes and businesses, and $0.65 per kWh for the accommodation sector.
“This is a total cost the Government of Anguilla of $6 million,” Richardson Hodge said.
The third measure is the removal of freight and insurance costs from customs duty calculations for a three-month period, at a cost of about $2.4 million.
The measures have already taken effect and the premier indicated that further adjustments may be considered depending on global conditions.
“We’re not suggesting that at the three months everything comes to an end. The reason why we use three months is because, as you know, the situation is volatile,” she said.
“We wanted to continue to pay keen attention to what’s happening, so that at the three month mark we’ll be revisiting and seeing, have the conditions improved? Have they gotten worse? And then assess from there.”
She added that it is important for the government to be fiscally responsible and that the measures both cater for the people and are financially prudent.
