St Lucia News

The Government of Saint Lucia will introduce the Value Added Tax, commonly known as VAT, on September 01, 2012.

In doing so, the Government will fulfill undertakings given to international institutions by the former Government that VAT would be introduced during this financial year.

On page 13 of Our Blue Print for Growth, the Saint Lucia Labour Party’s Manifesto for the 2011 General Elections, the Labour Party had also indicated that Saint Lucia had no choice but to introduce VAT. However, consistent with its manifesto promises the Government will:

1. Maintain a basket of goods that will be zero rated, meaning that no VAT would be imposed on these goods; and
2. Delay the introduction of VAT on the payment of bills for electricity and water until the Government is satisfied that the public is reasonably protected from arbitrary increases by the companies that provide these services.

The VAT Implementation Unit is currently finalizing arrangements for the introduction of VAT.

While a considerable amount of work has been undertaken by the VAT Implementation Unit in engaging various stakeholders in consultations and educating the general public on the characteristics of a VAT, the work of the Unit will intensify in the coming weeks with a view to ensuring that the business community and the public in general are provided with all relevant information and are adequately prepared for the change in the tax regime.  The Government expects to complete consultations with key stakeholders in the weeks ahead.

Saint Lucia remains the only country in the Eastern Caribbean which has not introduced the VAT.

Further details on the implementation of the VAT will be announced in this year’s Budget Address.

Prime Minister Honourable Dr Kenny D Anthony has weighed in on a decision by The Hess Corporation to put up for sale the crude oil and refined products storage and transhipment terminal at Cul de Sac.

Hess has retained Goldman Sachs as financial advisor in connection with the potential sale of the facility which has been in operation here since 1981.

Speaking Tuesday March 20^th, 2012 the Prime Minister told the Parliament of Saint Lucia that he was informed of the decision to sell the facility by the General Manager of Hess Corporation recently. “If the sale does go through and one does not know, because in the discussion that followed the disclosure Hess Oil Corporation did indicate that if they do not get a sale in accordance with the terms they have every intention to remain here, so we shall see but they have indicated that they prefer to focus on oil exploration instead of the buying and selling or distribution of fuel”.

The Prime Minister says the time has come for Saint Lucia to consider a broader rationalisation of its energy needs and sector.

But there is good news on the horizon as Prime Minister Anthony has received authorisation from Parliament to US$2.8 million from the International Development Association for the establishment and operationalisation of the OECS Eastern Caribbean Energy Regulatory Authority project (ECERA).

“ECERA comes onboard just at the right time because very clearly as the experience of ECTEL shows not only do we need an independent regulatory regime but also we need to be pointed in the right direction where the use of alternative energy is concerned so in effect ECERA will better help us to deal with the issue of fairness in pricing and will also assist us to look at our energy sector and bring together experts and technocrats to offer advice across the region”.

The Prime Minister explained to the parliament that Saint Lucia would not be required to fully repay the IDA loan not until 2046.  This he says reinforces the very concessionary nature of the loan.

The Ministry of Infrastructure, Port Services and Transport is urging people engaged in acts of deforestation along the west coast to desist from doing so.

A drive along the west coast on any given day presents real life evidence of deforestation and the problems associated with such practices.

Permanent Secretary in the Ministry of Infrastructure, Port Services and Transport Alison Jean says officials have recognised an increase in deforestation along the West Coast to aid in the production of charcoal.    “We are collaborating with the Ministry of Agriculture, NEMO and also the reconstruction Unit in the Ministry of Finance so we are not acting alone, a lot of the deforestation activities is for economic benefit, we have seen evidence that people are cutting the forest area for charcoal and although there is some economic benefit it has the ripple effect of devastation on our infrastructure as it is one of the main causes of landslides”.

The Permanent Secretary says her Ministry intends to continue discussing with the Ministry of Agriculture, Fisheries and Food Production and other stakeholders to see how best the issue can be dealt with.

However, she says the necessary interventions will be guided by the results of a Land Risk Assessment to be undertaken soon. “One of the interventions we have already made is to commission a Land Risk Assessment along our primary road network that will be funded by the Caribbean Development Bank.   We are in the process of awarding a contract for that study which should be done in a month or so.  That land risk assessment is expected to make recommendation on the type of interventions which are necessary to mitigate against any further landslides but of course we have to let the public know that deforestation is one of our major concerns and we would like to ask them to desist from doing so.

The Permanent Secretary says she is hoping for the cooperation of all citizens to curb this problem as the effects of deforestation can be devastating.

On the occasion of World Consumer Rights Day, government has pledged to give the Consumer Protection Bill the attention that it deserves.

Senator the Honourable Ubaldus Raymond, Parliamentary Secretary in the Ministry of Consumer Affairs echoed that sentiment in an address to the nation delivered to mark the important day in the consumer rights movement.

Senator Raymond says government will make every effort to cut down on the red tape surrounding the development and implementation of Consumer Legislation and Consumer Policy.

“The Government of Saint Lucia, as consumers themselves, is aware of the concerns consumers are faced with and will make every effort to ensure that policies are implemented to facilitate fair trade in the marketplace. The Ministry of Commerce, Business Development, Investment and Consumer Affairs is in the process of finalizing the draft consumer protection bill so that it can be taken to the other two stages, firstly to Cabinet for approval, and then to Parliament for enactment.”

The draft bill, Senator Raymond says, contains provisions to address the concerns expressed by consumers in dealing with the financial services and other critical sectors.

“There are provisions in the Bill dealing with Terms of Consumer Agreements with a view to addressing unfair contract terms. Provisions have also been made to address unfair practices particularly matters relating to false, misleading, or deceptive representation; matters geared towards misleading the public about goods and services, unreasonable transactions; and unconscionable representation.”

Government, Senator Raymond says, has also undergone consultations on the bill at the CARICOM level.

Their Royal Highnesses Prince and Princess Edward, Earl and Countess of Wessex, ended their official visit to Saint Lucia on Wednesday evening with an assurance of Britain`s commitment to its special relationship with Saint Lucia.

Speaking at a special reception hosted at the Official residence of the Prime Minister, His Royal Highness (HRH) conveyed the queens best wishes to the Government and people of Saint Lucia on thirty three years of Independence.

Prince Edward says Her Majesty Queen Elizabeth II cherishes Saint Lucia.   “I know that she regards her role as your head of state and your Queen as being an enormous privilege as you have developed as a nation the fact that you wanted to remain as a realm and wanted the Queen to remain as your Queen,  is something that has always meant a great deal to her and she has always taken a particular interest in all of her realms and she follows your fortunes here in Saint Lucia with great interest”.

In extending warmest greeting`s to Their Royal Highnesses,  Saint Lucia`s Prime Minister Honourable Dr Kenny D. Anthony lauded the long and colourful history between Saint Lucia and Great Britain, one he says has sustained and guided Saint Lucia through many trials, as a small developing country.

Prime Minister Anthony expressed Saint Lucia`s support for Her Majesty Queen Elizabeth II noting that in the toughest times Saint Lucia has never been alone.

“We would like to think that this relationship, this shared and sometimes imperfect history has set the stage for our substantial progress in charting our own economic and political destiny.   We would like to think that our past sits, both as a foil and a foundation, on top of which we have accumulated such incontrovertible evidence of our own resilience, our devotion to democratic principles, our closely held values as a society, and our enduring traditions as a brave vibrant people. Indeed, our shared history is the context from which springs our remarkable record of national achievement and our unflagging determination to make a mark on the world, as your island has also done, well beyond any expectation which may arise from casual observation of our size”.

The visit by Their Royal Highnesses marked the first stop for the royal couple  who will be visiting Barbados, St Vincent and the Grenadines, Grenada, Trinidad & Tobago, Montserrat, St Kitts, Anguilla and Antigua as part of the celebrations to mark the Diamond Jubilee of Her Majesty Queen Elizabeth II.

Whilst in Saint Lucia, Prince Edward and his wife Sophie attended the Independence Day Parade, and a cultural dance performance by the Saint Lucia School of Ballet.    They also visited the St Lucia School of Music.

The Royal couple also attended the Duke of Edinburgh Awards which were presented by the Prince and the official re-launch of the St John Ambulance Association and the association`s website which was launched by the countess of Wessex.  They also attended a welcome reception hosted by the Governor-General Her Excellency Dame Pearlette Louisy.

Their Royal Highnesses Prince and Princess Edward, Earl and Countess of Wessex, arrived in Saint Lucia on Tuesday 21st February 2012 and departed on the evening of Wednesday 22nd February 2012.