BY JOHN HOUANIHAU
THE high cost of fuel price coupled with high cost of living in the Solomon Islands has again taking many locals by surprise and putting pressure on their savings to support their family.
Despite the high increase in fuel prices in the country, a local fisherman and vendor from Malaita province said the situation will stop him from travelling out daily to fish and to sell his fresh catches to support his son’s school fees especially as schools have now re-opened their doors for the new academic year.
Sade, 32, told Environment Media that his major worry is how he can afford his son’s school fees in this challenging times ahead.
“Although the price of fuel has increased, my motivation is to go out fishing and to earn money to support my son who will be doing his grade one this year.
“Fuel has now gone up and currently – the cost of one gallon of petrol is SBD $65.00 compared to previous petrol price which was SBD $48 per gallon,” he said.
The average petrol prices in Honiara refuelling stations is from SBD $9 per litre to SBD $12. 36 per litre, while diesel is SBD $13.50 per litre.
For now, Sade often spends his night-out fishing near Ngella and Savo in the Central Islands province and returns every morning with his catches to the Honiara Central Market.
“If I catch enough I would then return in the morning and if I noticed that I need to catch more I would spend additional night before returning the next day.
“I normally travelled the seas to fish using six gallons of petrol with a hired 15 horse powered Suzuki Outboard Motor (OBM).
“The OBM is owned by one of my relative and the hiring cost is $600 per fishing trip.
“Nowadays, it’s too hard to catch, and I have to travel far distances in order to catch good sizes of fish,’’ he said.
Sade who has been involving in the fishing industry for the past years said he earns around SBD $4000 to $5000 per week on his sales, however, before the Covid-19 pandemic, he usually earns $6000 to $7000 per week.
Meanwhile, the steep price increases were seen in ‘Tapis oil’ price, the main imported fuel for Solomon Islands, according to an analysis of the increase of fuel price by the Central Bank of Solomon Islands (CBSI).
The analysis has it that, the average monthly retail fuel price in Honiara has increased from SBD$9.66 per litre in January 2022, to SBD$10.94 per litre in March and climbing to SBD$12.30 per litre in April, an increase of SBD$2.64 within a span of only three months, the highest increase the country has ever experienced.
In terms of Tax, fuel excise in Solomon Islands is 15% GST on every litre of fuel purchased.
In addition to 15% GST, the Fuel Wholesalers in Solomon Islands pay taxes for Sales of 10cents per Litre (used to be a levy for road users charged at service stations, now shifted to fuel wholesalers, paid for by everyone), Duty of 50 cents, Pipeline levy of $0.0275 per Litre (charged by SIPA) contributing to the current fuel increase price at Service Station Operators, that is being experienced in this month of April 2022.
