Persad-Bissessar: Closure of refinery led to hike in gas prices

Opposition Leader Kamla Persad-Bissessar has said the closure of the Pointe-a-Pierre refinery is what led to the government’s announcement of higher gas prices to come.

Last Tuesday the Prime Minister warned the nation to brace for an increase in gas prices, saying the population cannot be insulated from the effects of changes in the price of oil.

Rowley said the cost to maintain the fuel subsidy has become prohibitive and the current high prices of oil on the world market would not insulate Trinidad and Tobago, as the country has been importing crude oil to refine it for export.

He said with the subsidy removed, premium gasoline would go from $5.75 per litre to $7.58, super from $4.97 to $7.46 per litre, and diesel from $3.71 to $6.58 per litre.

During the UNCs Virtual Report on Monday night, Persad-Bissessar said, "Given the scandalous closure of the Pointe-a-Pierre refinery by this government, I warned you on Monday that (you) should expect higher prices at the pump.

“The next day, last Tuesday, the Prime Minister proved me right. This is when he stated that despite TT being an oil-producing nation, because we have to import all our fuel due to his closure of Petrotrin, fuel prices will rise.”

She said the price rise will affect every one, no matter what kind of car they drive.

“A diesel van that spent $200 will now spend $375. If you are filling your tank every week you will increase your spending from $800 per month up to $1,500 per month.

"Where will these drivers find this money? Many people bought these vehicles because the diesel prices were seen as a more affordable alternative.”

She said the increases will have a severe effect on the quality of life.

“We can recall when the Minister of Finance (Colm Imbert) laughed at the population, stating he raised the price of gas three times and 'They have not rioted yet.' Now he is coming to raise the price once more.”

She said the increase will also affect the cost of goods and services.

“Other countries are staggering the way in which they do it. So, Prime Minister, you cannot, should not, must not remove the fuel subsidy in one go…The country will suffer too much.”

Persad-Bissessar also questioned if the government was implementing the International Monetary Fund (IMF) recommendations – including cuts to the Water and Sewerage Authority (WASA), the TT Electricity Commission (T&TEC) and the Telecommunications Services of TT (TSTT) and the public service – without notifying the public.

“Come clean and tell the country if these harsh financial measures are really the recommendations from the IMF.”

In November, Imbert said the government was prepared to heed the IMF's recommendations to revitalise the economy and outlined the government’s efforts to sustain the country during the covid19 pandemic, saying it now has a very positive outlook for economic recovery this year.