The Private Sector Commission (PSC) said it remains concerned that fuel prices in Guyana are not reflective of the global trends where prices are low, and fears that the competitiveness of local manufactures, farmers and service providers will be lost if urgent action is not taken.
In a media release issued this afternoon, the PSC said if these trends continue, imports will be cheaper on the local markets and certain local production will diminish whilst exports will be more expensive.
The organisation explained that with record lows in oil prices being translated into low prices at the pump in most countries, Guyanese consumers and manufacturers are still paying almost US$4.50 per gallon which is almost double the prices in some developed economies.
“The Private Sector Commission calls upon government to review the prices of fuel, in particular at the state owned Guyana Oil Company, and consider a reduction in electricity rates so that the benefit of the lower oil prices can provide relief to consumers who are suffering from reduced disposable income”, the statement added.
The PSC noted at this time when the economy is still reeling from the effects of the elections-induced slowdown in 2015, lowering the cost of fuel and electricity would provide a much needed stimulus to the recovery of the sluggish economy.