Walwyn Proposes Fuel Stabilisation Fund for BVI
Sixth District Representative Myron Walwyn has proposed creating a fuel variation stabilisation fund to protect consumers from sudden electricity price spikes driven by volatile global fuel markets. He also urged increased support for renewable energy adoption, including interest-free ‘BVI green loans’ and solar grants.
Sixth District Representative Myron Walwyn has urged the Government to establish a fuel variation stabilisation fund to shield BVI residents from sudden increases in electricity costs driven by volatile global fuel prices. Walwyn made the suggestion as lawmakers debated recent adjustments to electricity charges affecting larger power consumers, moves the Government says are necessary because of rising fuel costs and broader geopolitical pressures that push up generation expenses for the BVI Electricity Corporation (BVIEC). "It might be time to look at a similar model and create a fuel variation stabilisation fund," Walwyn said, pointing to fuel stabilisation mechanisms used in other jurisdictions.
He proposed several potential funding sources, including adding a charge to the environmental levy, introducing a targeted “sin tax” on products such as alcohol, or providing initial seed capital from Government coffers with ongoing contributions over time. The aim would be to allow BVIEC to absorb sharp fuel price increases rather than passing the full burden directly to consumers.
Walwyn warned that fuel prices are cyclical: "The cost of fuel is gonna go down at some point. But then it will spike again." He said the fund could accumulate resources during lower-price periods so that money is available to smooth bills when international crises cause spikes. In addition to the stabilisation fund, Walwyn called for stronger measures to help ordinary households and small businesses transition to renewable energy sources.
He suggested the Development Bank could administer a “BVI green loan” programme offering qualifying residents long-term, interest-free financing for solar installations and other clean energy systems, with the Government potentially guaranteeing loans. Solar grants were offered as an alternative or complementary support. "We have to start to create ways that we can insulate our people from some of the challenges that they’re having," he said, adding that current support measures do not go far enough.
Any move to create a stabilisation fund would require clear rules on eligibility, governance, and transparency, and would involve trade-offs for public finances. For BVI residents, a well-designed fund could reduce bill volatility and protect vulnerable households during international fuel shocks, while parallel investments in distributed renewables could lower long-term reliance on imported fuels.
Lawmakers and stakeholders are expected to continue discussions as the territory seeks ways to balance fiscal responsibility, energy security, and consumer protection.
Primary source: BVI News