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    HomePoliticsCabinet Criticizes Gas Station Closures as Unfortunate Amid Ongoing Negotiations

    Cabinet Criticizes Gas Station Closures as Unfortunate Amid Ongoing Negotiations

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    The Cabinet of Antigua and Barbuda has criticized Wednesday’s closure of several service stations, describing the action as unfortunate and questioning the decision by operators to suspend fuel sales while negotiations over increased profit margins remain ongoing.

    Director General of Communications Maurice Merchant, speaking during Thursday’s post-Cabinet media briefing, said the government was particularly concerned about the disruption caused to motorists and the wider public, given the essential nature of the services provided by gas stations.

    Merchant said Cabinet had engaged in lengthy discussions about the concerns raised by service station dealers, who have been demanding an increase in the profit margins they receive from petroleum sales.

    “Cabinet noted that several service station dealers closed their businesses on Wednesday under the guise of attending the meeting,” Merchant said.

    He added that Cabinet considered the action unfortunate, particularly because the government had already acknowledged the operators’ concerns and remained engaged in discussions aimed at resolving the dispute.

    Wednesday’s closures forced hundreds of motorists to seek gasoline at stations that remained operational, resulting in lengthy queues and widespread frustration.

    The latest disruption marked the second round of protest action by service station operators in recent weeks as they continued pressing the government for improved margins.

    Despite its criticism of the closures, Cabinet reaffirmed that the government accepts that service station operators deserve an increase in their profit margins.

    However, Merchant explained that the administration believes the current period of instability and rising international petroleum prices is not the appropriate time to introduce the adjustment.

    The government is concerned that an immediate increase could place additional financial pressure on consumers already facing higher fuel costs.

    “The government has already accepted the principle that the service station dealers deserve an increase in their margin. The issue is one of timing,” Merchant said.

    Cabinet anticipates that international petroleum prices could ease toward the end of the year, potentially creating a more suitable opportunity to implement the adjustment.

    To advance discussions, Cabinet has instructed the Financial Secretary to expedite a meeting with representatives of the service station operators and establish a clear path toward increasing their margins before the end of 2026.

    Merchant said the government expects operators to continue engaging constructively as both sides work toward an agreement that balances their financial interests with the need to protect consumers.

    Meanwhile, Cabinet has expressed concern about the concentration of the country’s fuel distribution market and the potential consequences when several service stations cease operations simultaneously.

    In response, the government has advised the West Indies Oil Company (WIOC) to pursue the establishment of three additional service stations at strategic locations across Antigua and Barbuda.

    The proposed expansion is intended to strengthen the country’s fuel distribution network, improve access to gasoline and provide consumers with more alternatives during future disruptions.

    Cabinet maintains that reliable access to fuel is essential to the functioning of the national economy and the daily lives of residents, and that negotiations should continue without further disruption to the public.

    This article was originally published by Antigua News Room. Read the original article here: Cabinet Criticizes Gas Station Closures as Unfortunate Amid Ongoing Negotiations.

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