Electricity consumers in St. Vincent and the Grenadines will see an increase of nine cents per kilowatt hour in July, despite almost three-quarters of a million dollars in subsidy by VINLEC.
“Following the application of a subsidy of EC$734,959 by VINLEC, the fuel surcharge rate for July 2026 is $0.8320 per kWh, up from $0.7378 per kWh in June 2026. This represents an increase of approximately 9 cents per kWh,” the state-owned electricity generator said on Thursday.
The company said the fuel surcharge is a pass-through charge that enables it to recover the cost of fuel used to generate electricity.
“VINLEC does not profit from this charge. The subsidy was applied to help reduce the impact of rising fuel costs on customers by lowering the fuel surcharge rate,” the company said.
VINLEC said the steady increase in the fuel surcharge in recent months is a direct consequence of rising global oil prices, driven by ongoing geopolitical tensions.
“VINLEC remains cautiously optimistic that oil prices will stabilise in the months ahead, based on current market trends,” the company said and thanked its customers for their continued patience and understanding as it navigates these global market conditions.
“Customers seeking further information or assistance are encouraged to contact the Customer Services Department by email at [email protected], by telephone at (784) 456-1701, extensions 237 or 238, or via Facebook.
In May, Prime Minister Godwin Friday announced a set of temporary tax waivers and mandatory discounts on fuel surcharges aimed to prevent steep increases in household and small-business electricity bills, as global oil prices and fuel costs surge.
In a national address on the country’s economic situation and cost-of-living pressures, the prime minister said rising fuel costs for electricity generation were already driving up the fuel surcharge on power bills, and warned that, without intervention, electricity could become “unbearable” for many Vincentians.