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What Are Your Thoughts On The Government Fuel Policy That Was Proposed During The 2015 National Budget?

What Are Your Thoughts On The Government Fuel Policy That Was Proposed During The 2015 National Budget?
From left: Naseer Khan, Dan LobendahnDoreen Singh and John Philp.
July 04
11:00 2015

One of the major announcements of the 2015 National Budget was that Government is preparing the process to import fuel into the country itself.

The importation of fuels such as petroleum and gas is intended to stabilise fuel pricing in Fiji and ultimately lower the cost of doing business and cost of living.

Government is expected to call for international tenders for supply of fuel, $250,000 has been allocated from the 2015 Budget to finalise this.

The model announced is based on the Mauritus one.

It is expected to enable our Government to negotiate lower fuel prices.

The ultimate result would be to pass savings to consumers when oil companies procure fuel from the Government locally.

During the Fiji Fuel Retailers Association (FFRA) annual general meeting and conference this week, Sun Business interviewed some key operators getting their reactions.


John Philp, Fuel retailer and Fiji Fuel Retailers Association Secretary

In terms of the Government’s proposal to import fuel; it is the same line as we always take. Whoever will be importer of fuel is fine as long as we make an adequate return and as a business for us to keep our staff employed and reinvest and to be part of the wider economy of Fiji.


Doreen Singh, Director Sahira Investments Trading as Brij Bhan Singh

I think when Government puts this policy into place; it might put the margin a bit up according to what we are paying right now. This will the help the operators gain their profit and cover the cost of operations and eventually help the economy.


Dan Lobendahn, Pacific Energy Service Station Operator

It is going to be a pretty expensive exercise really for Government to be committed to. It costs $1.2 billion to import the fuel and that’s going to take quite a bit out of the budget.

I think the approach is to go from slow by slow and get there. But I think that the Government initiative will really help the operators.


Naseer Khan, Fiji Fuel Retailers Association President

We will not be involved in that policy as we are retailers. Even if the Government supplies the fuel or the oil company supplies the fuel, we retailers only sell these things.

So the position that Government has taken or will take to import the fuel does not matter as somebody will have to give it to us whether it is the oil companies, Government. We just have to sell them.




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