Premier and Minister of Finance Dr the Hon Natalio D. Wheatley (R7), has announced a multi-step measure for the Virgin Islands (VI) in response to increasing prices due to recent global events. Photo: Facebook

The government of the Virgin Islands will be subsidisng customers of the BVI Electricity Corporation by $1 million per month for a three-month period, starting immediately. Photo: BVIEC

Steps are underway to remove duties, beginning in May, from insurance and freight, shifting duty calculations from cost insurance and freight, or CIF, to free on-board or freight on-board, FOB, value for the next three months. Photo: Internet Source

Legislative amendments will be introduced to the Consumer Protection Act as part of relief measures for the people of the Virgin Islands. Photo: Internet Source

During an address to the nation this morning, April 16, 2026, Premier Wheatley said the VI is now facing higher fuel prices, increased freight costs and rising expenses for essential goods due to the current global events, especially the ongoing conflict in the Middle East and its effects on vital shipping routes have caused major disruptions to worldwide  energy markets and trade. 

His government, he said, understands the impact of rising prices on hardworking families and the most vulnerable in society and that the hardship that these circumstances create cannot be underestimated or overlooked. 

“Although we cannot control these external shocks, the repercussions are felt by every household and business in our territory. Despite the volatility that we are confronted with, we must act decisively.”

$3M BVIEC subsidy 

Premier Wheatley revealed that the BVI Electricity Corporation (BVIEC) informed that without government intervention, customers would see increases on their electricity bills as high as 50% on average.

Therefore to address this steep increase, the government will be subsidisng customers by $1 million per month for a three-month period, starting immediately. 

“This step is designed to lower electricity costs for both households and businesses right  away, helping families manage expenses and reducing businesses' operational costs.”

He also encouraged households to conserve as much energy as possible and to take advantage of the Solar Technology Energy Programme (STEP). 

Removal of insurance & freight duties

Dr Wheatley informed that steps are underway to remove duties, beginning in May, from insurance and freight, shifting duty calculations from cost insurance and freight, or CIF, to free on-board or freight on-board, FOB, value for the next three months.

Also for-the next three months, the wharfage fee on incoming cargo will be reduced from 2% to 1% and the container charge will be cut from $300 to $150.

“Combined with the removal of duties on freight and insurance, these actions will lessen financial strain on businesses, support price stabilization, and limit price increases for consumers.”

Beginning in May, for three months, government will implement a protected basket of goods, with further duty reductions to the items essential for maintaining our basic needs.

Legislative amendments

Committing to ensuring relief measures directly benefit everyday households, Dr Wheatley revealed legislative amendments will be introduced to the Consumer Protection Act and regulations will be approved to regulate prices on a basket of goods.

“These amendments will allow the Consumer Protection Act to come into force, providing a comprehensive framework to protect consumers from price gouging and other anti-consumer practices.”

In addition to these measures, Premier Wheatley said the government will continue with its social assistance programmes.