CONSUMERS have been spared the burden of any increased cost of electricity, owing to the government’s proactive efforts to absorb rising fuel prices.

The People’s Progressive Party/Civic (PPP/C)’s most recent initiative includes the supplementary allocation of $6.6 billion for the Guyana Power and Light Incorporated (GPL) to offset costs incurred because of the global rise in fuel prices.

Senior Minister in the Office of the President with responsibility for Finance, Dr. Ashni Singh, had said: “… GPL is carrying the cost of imported fuel that is dramatically more expensive than 12 months ago and we have taken a position as a government that we will not pass onto consumers the increased fuel cost that is being borne by GPL.”

There were similar provisions for regional electricity companies, which included $927.527 million for Linden, Region 10 (Upper Demerara- Berbice); $110.707 million for Lethem, Region Nine (Upper Takutu-Upper Essequibo); $106.016 million for Mabaruma, Region One (Barima-Waini); $103.238 million for Kwakwani, Region 10; $76.809 million for Port Kaituma, Region One; $49.020 million for Mahdia, Region Eight (Potaro-Siparuni); and $20 million for Matthew’s Ridge, Region One.

Dr. Singh had said: “These supplementary provisions represent an important part of our government’s strong commitment to continue to improve the lives of all Guyanese people, through our various sectoral interventions, whether it be roads, other infrastructure, electricity, or any other sector development.”

Specific to electricity and the recent interventions to subsidise costs, he said: “… we are seeking to cushion the impact on private consumers by not passing on the increased fuel prices through increased electricity tariff[s].

“We’ve given that commitment to the people of Guyana. So, GPL has come under severe liquidity pressure, so we’re providing an additional allocation to GPL. In none of those communities have the electricity companies passed on increased fuel prices to their customer base. So, this support is also needed to ensure that citizens can continue to receive the benefit of electricity without having to bear the additional cost as a result of escalating fuel prices worldwide.”

Since assuming office in August 2020, the PPP/C government has implemented a suite of measures to ease cost-of-living pressures induced by a global rise in commodity prices, and to improve disposable income.

Aside from sector-specific measures, the government, since being elected to office in 2020, has introduced several measures to put more disposable income into the pockets of Guyanese. From the outset, Value Added Tax (VAT) was removed from water and electricity, a burdensome measure placed on the backs of Guyanese by the former coalition administration.

There has also been the constant increase in old-age pension and public assistance which, as it is, in one year put $2.3 billion and $432 million into the pockets of Guyanese.

Additionally, the PPP/C government reinstated the “Because We Care” cash grant and school uniform cash grant which stand at $30,000 per child in both public and private schools.

Every household in the hinterland will receive a $25,000 one-off cash grant; fisherfolk have started receiving a one-off $150,000 grant; farmers will receive $1 billion in fertiliser support, and there were and are many other initiatives geared at addressing the rising cost of living induced by the COVID-19 pandemic and the war in Ukraine.

The International Monetary Fund (IMF) recently commended the Government of Guyana for implementing effective policies to cushion the burden of high global commodity prices.