Reduction of import duty of diesel and petrol consumer fuel price support
REPUBLIC OF NAURU
Government Information Office
MEDIA RELEASE
For Immediate Release
Monday, 13 June, 2022
Reduction of import duty of
diesel and petrol consumer fuel price support
In a proactive move at last week's
Cabinet meeting, the Cabinet reduced the import duty of petrol and
diesel to assist the increasing cost of goods burden to the
citizens of Nauru.
The conflict in Ukraine with
boycotts of Russian fuel supply continues to negatively affect the
global oil and gas supply. This is resulting in higher prices
in Nauru not only for fuel directly but all goods due to pressure
on shipping and production costs. OPEC members decided
to increase output (2 June) for July-August however constraints in
global refining capacity are likely driving current prices.
Without this action the prices
would have increased at the bowser for petrol by 14 cents a litre
and diesel by 17 cents a litre. The duty was reduced by 20
cents a litre and the dutiable prices will reduce accordingly which
will result in a decrease in prices from the current supply
shipment by petrol of six cents and diesel by three cents per
litre.
Australia, New Zealand, Solomon
Islands, and Fiji have all taken this path to reduce the economic
pressure on their consumer price index and directly assist their
citizens in this conflict induced inflationary period.
In Nauru, ongoing support will
continue to the critical service SOE's with the current community
service obligation (CSO) subsidies in place. The Government
of Nauru through the Department for Finance will continue to
monitor this issue.