RAROTONGA (Pacnews) — There will be relief for consumers in the Cook Islands as fuel prices are cut, just three weeks after a hefty increase.
On Wednesday, Minister of Internal Affairs Peri Vaevae Pare said that although the Price Tribunal had set new prices on June 7, the government has decided to review the country’s pricing method and reduce the maximum fuel price.
A Fuel Pricing Review Committee was then established to do this.
Pare said in a media statement that the committee had worked together with Mobil and the Forum Secretariat petroleum advisor to examine the pricing structure.
“As a consequence, the committee had recommended that prices for an interim period should be based on the February price order plus or minus any changes in the landed cost of supplies since then but ignoring changes to return on investment or distribution costs,” Pare said.
The new price order reduces the maximum price for a liter of petrol to bulk users from $1.4222 to $1.2395.
For retail consumers the price has dropped 21 cents a liter. The Pricing Review Committee, with the assistance of the Forum Secretariat advisor, will hold further negotiations with fuel suppliers in mid-July.
