18/07/2024
Members, please note the release below from the Government. You are welcome to forward this message if you wish.
*Government announces significant reduction in energy taxes to offset recent electricity rate increases*
~ Swift action taken by Government to support Bermudians ~
In response to the recent electricity rate increases approved by the Regulatory Authority (RA), the Government of Bermuda today announced a significant reduction in energy taxes. This decisive action is aimed at providing much-needed relief and support to Bermudians who are already grappling with the high cost of living.
The Government will implement a substantial cut in energy taxes, which will reduce the electricity rate increases recently granted to the Bermuda Electric Light Company (BELCO). This measure is designed to alleviate the financial burden on households and businesses across the island.
In signaling today’s announcement, the Premier and Minister of Finance, the Hon. David Burt, JP, MP, emphasised the Government’s “commitment to supporting the well-being of all Bermudians.”
The Premier said, “An increase in electricity costs at this time is simply too high of an added burden on the backs of Bermudian families. An increase in our BELCO bill doesn’t just drive up household bills. It further leads to increases by businesses, landlords and other entities having to adjust to this unexpected burden. By reducing energy taxes, we are taking concrete steps to ensure that the increase in electricity rates does not disproportionately impact our community. Our priority is to safeguard the financial stability of Bermudian families and the vitality of our local economy.”
The Premier further detailed the specifics of the tax reduction, adding, “The country’s improved economic performance has given the Government the ability to reduce taxes further. The Government will reduce energy taxes by at least 50% and will continue to monitor the situation closely and take further action if necessary to protect Bermudians from undue financial strain.
“The Cabinet approved the reduction yesterday (July 16), and we are working to have it tabled in the House of Assembly on Friday (July 19), so that the tax cut can go into place with immediate effect. This Government remains steadfast and committed to fostering a sustainable and prosperous future for all Bermudians. By taking swift action to reduce energy taxes, we aim to provide immediate relief and demonstrate our unwavering dedication to the well-being of our people.”
