2015/2016 Budget - Trinidad & Tobago

[Lance]

when gas going up? tomorrow?

it went up immediately

So the Gas Stations (i.e. NP) making arbitrage type profit? Clearly they will have fuel that was acquired at the subsided price.

Are there mechanisms in place to address this?

[Redman]

Nope....it's based on when they change the price at the pump....keep in mind that they make 6 cents on gas and 4 cents per liter...So they are now barely making a 2% in normal biz

[X_Factor]

I believe they make a commission per liter so if its 1.00 or 10.00 their commission will be the same

[Chemical]

The Budget was only read yesterday. Technically NP/Unipet cannot increase prices until the budget is passed.

The price was in fact increased yesterday ......which is illegal.

Banana Republic 2015.

[RBphoto]

I glad they increased it right away. Stop panic buying FTW. I honestly believe that they should increase the quality of Diesel before raising the price of that gutter water.

[megadoc1]

The Budget was only read yesterday. Technically NP/Unipet cannot increase prices until the budget is passed.

The price was in fact increased yesterday ......which is illegal.

Banana Republic 2015.

gas prices are always adjusted immediately ,where you guys come out from?

[York]

The Budget was only read yesterday. Technically NP/Unipet cannot increase prices until the budget is passed.

The price was in fact increased yesterday ......which is illegal.

Banana Republic 2015.

gas prices are always adjusted immediately ,where you guys come out from?

the minister said with immediate effect!

[York]

The Budget was only read yesterday. Technically NP/Unipet cannot increase prices until the budget is passed.

The price was in fact increased yesterday ......which is illegal.

Banana Republic 2015.

we really don't produce bananas here but we are a rebublic.

the budgeted money is not spent on agriculture but the "management" of agriculture. so the good folks working for the ministry get good salaries, vehicles, etc and farmers suffer...

[York]

Lutch

You are right to a degree, but PP made the mistake of running a deficit budget when the country was enjoying a high oil price (lets not forget Manning was spending money like crazy too eh)

Just like the old story from the bible, Pharaoh's dream about the 7 lean cows eating up the 7 fat cows - governments are supposed to save in the good times so they can spend in the bad times. (I'm not that religious but its kinda crazy how the Bible had sound advice for managing an economy that still holds true today)

Government is one child on the seesaw of the economy - the other being consumers and the private sector i.e. they are the ones to balance when the private sector is cutting back or slowing down by increasing government spending.

All in all I was actually surprised by the very level headed approach the Min of Finance took... I am fiercely against austerity measures in times of economic slowdown, and generally I didn't see much Austerity in this budget. I do think that hinging things on more thorough tax collection etc. in TnT is a bit naive, these processes should be improved for sure, but quite literally "don't bank on it"

they maxed out their credit card to :
1. do as much development / projects in the allotted time or
2. thief as much as possible before getting the boot.

[York]

If VAT drop then that means all the car dealers should drop their new car prices by a few grand otherwise is robbery!!!
Thats my 2 cents!

if your fu car costs TT$60,000 CIF, duty is 25% or $15,000.
total is $75,000.
your vat is now 2.5% less, so you will save 2.5% of $75,000 = $1875.

of course, the dealer makes a profit, so it would depend on the dealer to pass on savings to you, or he could pocket it for himself. he might say the exchange rate of the yen, the shipping cost, the local transport, etc all gone up....

with that $1875, you might buy gas and drive for 6000km or evrytime you fill up you spend $15 more, so the savings would carry you for 125 tanks of gas, then you pay more per tank. that's about 2 years on average.

but that's only for the person buying a fu car. every one else will pay $1000 more per year on gas if driving 20000km/yr.

[Chimera]

The Budget was only read yesterday. Technically NP/Unipet cannot increase prices until the budget is passed.

The price was in fact increased yesterday ......which is illegal.

Banana Republic 2015.

we really don't produce bananas here but we are a rebublic.

the budgeted money is not spent on agriculture but the "management" of agriculture. so the good folks working for the ministry get good salaries, vehicles, etc and farmers suffer...

they need to change the requirement that you need 2 acres of land to qualify for farmers license

real men does plant a lot or 2 lots and are full time farmers, yet can never qualify for plenty of these subsidies

[Chemical]

The Budget was only read yesterday. Technically NP/Unipet cannot increase prices until the budget is passed.

The price was in fact increased yesterday ......which is illegal.

Banana Republic 2015.

gas prices are always adjusted immediately ,where you guys come out from?

the minister said with immediate effect!

Duh, the Minister CANNOT implement that with immediate effect. The budget must be passed in Parliament. Gov't's get away with it cause its additional revenue for them and who has time to sue the Gov't.

[Lance]

We are also acting as though passing in parliament is anything more than a formality.

[Dizzy28]

The Budget was only read yesterday. Technically NP/Unipet cannot increase prices until the budget is passed.

The price was in fact increased yesterday ......which is illegal.

Banana Republic 2015.

gas prices are always adjusted immediately ,where you guys come out from?

the minister said with immediate effect!

Duh, the Minister CANNOT implement that with immediate effect. The budget must be passed in Parliament. Gov't's get away with it cause its additional revenue for them and who has time to sue the Gov't.

Not every measure announced in the Budget becomes active with the passage of the Finance Bill.
Some measures can be implemented immediately once its a policy change e.g. some of the incentives announced in last years budget were not included in the 2015 Finance Bill (Act No. 2 of 2015) but were still offered.

Maybe the fuel price is a matter of policy?

[York]

The Budget was only read yesterday. Technically NP/Unipet cannot increase prices until the budget is passed.

The price was in fact increased yesterday ......which is illegal.

Banana Republic 2015.

gas prices are always adjusted immediately ,where you guys come out from?

the minister said with immediate effect!

Duh, the Minister CANNOT implement that with immediate effect. The budget must be passed in Parliament. Gov't's get away with it cause its additional revenue for them and who has time to sue the Gov't.

if the prices per liter on the pumps have been increased with immediate effect, i think he did...people do things every day that others say they CANNOT do.

[pete]

Fuel prices can be changed at any time. Gas stations will stop selling fuel as soon as the change is announced as they would have to get the pumps changed to indicate the new prices.

[redmanjp]

Transport is merely a portion of the total costs of goods and services (both manufactured and imported). Any business who increases his cost by the 15% and cites that diesel gone up merely engaging in shameless profiteering.

So if any business man raises cost of goods and services, we boycotting?
Question, does this affect electricity?

it shouldn't - but even if that goes up it should be an incentive to make our homes more energy efficient- particularly wrt airconditioning - i know ppl right here on tuner have bills in the thousands

[redmanjp]

Fuel prices can be changed at any time. Gas stations will stop selling fuel as soon as the change is announced as they would have to get the pumps changed to indicate the new prices.

this probably happened over the weekend i guess? south ppl was stocking up

[Chimera]

Real pressure to get super in any gas station in south. Either sold out or very long lines

[pete]

They were probably telling people they're out when they don't want to sell it at the old price.

[Chimera]

Thats right now though. I had to put premium. Drove by 6 gas stations and if you seee lineeeee for super

[Redman]

The Budget was only read yesterday. Technically NP/Unipet cannot increase prices until the budget is passed.

The price was in fact increased yesterday ......which is illegal.

Banana Republic 2015.

gas prices are always adjusted immediately ,where you guys come out from?

the minister said with immediate effect!

Duh, the Minister CANNOT implement that with immediate effect. The budget must be passed in Parliament. Gov't's get away with it cause its additional revenue for them and who has time to sue the Gov't.

Having read the act years ago I think that it is worded that the minister sets the price...

The last change on premium happened the same way.

I will check the act and see what the word is and post...

[Habit7]

PP cry out because gas and diesel increase. But their very manifesto said they would!

[Chimera]

Is premium currently subsidized as well?

[Habit7]

Is premium currently subsidized as well?

Imbert said in Opposition that we were overpaying, however in the budget he said the govt is paying 50% of Super prices. So by estimation premium is being subsidized by a lil bit.

[ingalook]

Is premium currently subsidized as well?

Imbert said in Opposition that we were overpaying, however in the budget he said the govt is paying 50% of Super prices. So by estimation premium is being subsidized by a lil bit.

This is VERY shady... according to Imbert the real price of Super is $5.40 liter in the US they paying $3.60 TT$ per litre (regular) retail

Somehow the government adds VAT in calculating the cost of Gasoline... now the last time I checked the Government didn't have to pay VAT to itself???

Even if Premium, Super and Diesel are sold to the population at cost price (zero subsidy) and THEN the government decides to charge VAT (a 12.5% profit) they are in breech of the Petroleum Act meant to prevent them from profiting by selling the peoples' resources back to them.

[pugboy]

if in the end there is no fuel subsidizing, where does the money come from to pay NP overhead costs etc ?

so what if govt one day decides to make it a true free market and allow gas station owners
to make whatever profit they want, ie let them add on top of the unsubsidized price ?

[EFFECTIC DESIGNS]

^ So who do we complain to? who do we sue? the government?

[Habit7]

Is premium currently subsidized as well?

Imbert said in Opposition that we were overpaying, however in the budget he said the govt is paying 50% of Super prices. So by estimation premium is being subsidized by a lil bit.

This is VERY shady... according to Imbert the real price of Super is $5.40 liter in the US they paying $3.60 TT$ per litre (regular) retail

Somehow the government adds VAT in calculating the cost of Gasoline... now the last time I checked the Government didn't have to pay VAT to itself???

Even if Premium, Super and Diesel are sold to the population at cost price (zero subsidy) and THEN the government decides to charge VAT (a 12.5% profit) they are in breech of the Petroleum Act meant to prevent them from profiting by selling the peoples' resources back to them.

TT Super is a high octane than most US gasoline. It is unlikely to find gas in the US at a higher octane than 91. Plus the US consuming the most gasoline in the world, by economies of scale their production cost and distribution is cheaper than TT.

[Habit7]

Is premium currently subsidized as well?

Imbert said in Opposition that we were overpaying, however in the budget he said the govt is paying 50% of Super prices. So by estimation premium is being subsidized by a lil bit.

This is VERY shady... according to Imbert the real price of Super is $5.40 liter in the US they paying $3.60 TT$ per litre (regular) retail

Somehow the government adds VAT in calculating the cost of Gasoline... now the last time I checked the Government didn't have to pay VAT to itself???

Even if Premium, Super and Diesel are sold to the population at cost price (zero subsidy) and THEN the government decides to charge VAT (a 12.5% profit) they are in breech of the Petroleum Act meant to prevent them from profiting by selling the peoples' resources back to them.

TT Super is a high octane than most US gasoline. It is unlikely to find gas in the US at a higher octane than 91. Plus the US consuming the most gasoline in the world, by economies of scale their production cost and distribution is cheaper than TT.