2004News

Record prices for fuel

Saturday’s El Caribe brought the news that gasoline and diesel fuels were going through the roof. Premium gasoline was pegged at RD$81.70 pesos a gallon, regular at RD$73.29 a gallon and diesel will sell for RD$55.75 a gallon. Industry & Commerce Minister Sonia Guzman de Hernandez said that the rise in the exchange rate was the prime reason for the new, unheard-of prices for fuel. During 2003, the price of diesel fuel had increased nearly 80% and gasoline prices had doubled. With today’s augmentation, the price of diesel will have risen 185% since January 2003. As a result of the new fuel prices, El Caribe reports today that the various transport unions have requested that the government establish a new set of rates for public transportation. Both Fenatrano and Conatra said they felt a 40% rise in passenger fares would be adequate. Nevertheless, the CNTU (National Central of Unified Transport), which represents some 46 smaller syndicates and has a total of 5,000 vehicles in Santo Domingo and 35,000 across the country, told El Caribe reporter Mercedes Gonzalez that the government had to set the new tariffs and fare rates. The CNTU warned that if the government did not set the rates, they would set their own rates according to the new prices for fuel. News reports dispute the need for increased public transit fares, pointing out that 80% of public transport vehicles use neither gasoline nor diesel, but rather the government-subsidized propane gas, whose price has not been increased.