The Cabinet of Antigua and Barbuda has directed the West Indies Oil Company (WIOC) to pursue the establishment of three additional gas stations across the country following Wednesday’s protest by service station operators, which disrupted fuel supplies and left motorists scrambling to fill their tanks.
Director General of Communications Maurice Merchant announced the decision Thursday during the weekly post-Cabinet media briefing, saying the government was concerned about the impact of simultaneous closures by several privately operated gas stations.
Merchant said Cabinet had examined the level of concentration within the country’s fuel distribution market and the potential consequences for consumers when a significant number of service stations cease operations at the same time.
In response, Cabinet advised WIOC, in which the government holds shares, to pursue the establishment of three additional service stations at strategic locations throughout Antigua and Barbuda.
The proposed expansion is intended to increase competition, provide motorists with more options and strengthen the reliability of the national fuel distribution network.
The announcement follows Wednesday’s closure of several privately operated gas stations as dealers intensified their demands for an increase in the profit margins they receive from petroleum sales.
The closures resulted in lengthy lines at operating stations, with motorists forced to seek alternative locations to purchase gasoline.
Merchant said Cabinet recognized that reliable access to fuel was essential to the functioning of the national economy and the daily activities of residents.
He explained that any expansion of the service station network would need to consider geographic coverage, competition and the continuity of fuel supplies.
The government is seeking to ensure that consumers have adequate alternatives when individual operators suspend operations, reducing the likelihood of widespread disruptions similar to those experienced Wednesday.
Meanwhile, Cabinet reaffirmed its position that service station operators deserve an increase in their profit margins but maintained that the current instability in international petroleum prices makes an immediate adjustment inappropriate.
The government expects that petroleum prices could ease toward the end of the year, creating a more suitable opportunity to implement the increase without placing additional financial pressure on consumers.
Cabinet has instructed the Financial Secretary to expedite discussions with representatives of the service station operators to establish a clear path toward implementing the adjustment before the end of 2026.
Merchant emphasized that the government’s position should not be interpreted as a rejection of the dealers’ demands, explaining that the disagreement concerns the timing of the increase rather than whether operators should receive one.
The government has not announced the proposed locations, construction costs or a timetable for establishing the three additional WIOC stations.
The expansion would represent a significant change to the country’s fuel distribution network as the government seeks to improve supply security and reduce the impact of future service station closures.
This article was originally published by Antigua News Room. Read the original article here: Cabinet Directs WIOC to Establish Three Additional Gas Stations Across Antigua and Barbuda.