BY NED GAGAHE
A significant increase in fuel prices is expected in the Solomon Islands by the end of May, according to Secretary to the Prime Minister for Special Duties, Sir Dr Jimmie Rodgers.
Mr Rodgers revealed this during the Prime Minister’s fortnightly press conference on Sunday, saying the anticipated rise is due to a sharp increase in global fuel prices.
He said importers have already begun purchasing fuel at higher costs, with prices from the Singapore refinery rising by nearly 60 percent.
“Once the Price Advisory Committee reviews and adjusts the current pricing, we will expect a jump,” Rodgers said.
He added that current fuel prices are unlikely to change until the end of April or early May, as prices are reviewed every two months.
Despite the looming increase, Rodgers assures the public that the government is working on measures to cushion the impact.
He said possible interventions include removing taxes on fuel imports or subsidising importers to ease the burden on consumers.
A fuel security working group—led by the Central Bank, Ministry of Finance, and Ministry of Mines and Energy—is currently assessing options to soften the expected price hike.
Rodgers said discussions are ongoing with the country’s two main fuel importers, South Pacific Oil (SPOL) and Markwarth Oil, to strengthen supply capacity and stability.
He confirmed that the country’s current fuel stock remains secure, with supply levels sufficient for up to 60 days for diesel and aviation fuel, and 30 to 40 days for liquefied petroleum gas (LPG).
“Our fuel supply chain remains stable at this time,” he said.
Rodgers also said that Solomon Islands has a relatively shorter supply route of about 31 days compared to other Pacific nations, which average between 45 to 52 days.
He said the only potential risk would be a disruption at the Singapore refinery, although recent information indicates it has sufficient supply for up to six months.
Meanwhile, the government is also exploring ways to increase national fuel storage capacity, which could extend supply coverage to between four and five months if fully utilised.
Rodgers said while an increase in fuel prices is inevitable, the government is focused on ensuring it is not as severe as projected.
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