Spanish
Santo Domingo, DR – This Monday, in the space “La Semanal con la prensa”, the Minister of Industry, Commerce and Mipymes, Víctor "Ito" Bisonó, and President Luis Abinader explained the reasons behind the recent adjustment to the price of liquefied petroleum gas (LPG), product of the increase in the ad‑valorem tax applied to fuels.
Bisonó recalled that said tribute was raised from 13% to 16% in 2012, which increases the cost structure of fuels.You may be interested in: LPG and diesel rise up to RD$4.60
However, he emphasized that the Government has decided not to fully pass on this expense to consumers, assuming a large part of it with public funds.“On this occasion we had to pass some of the cost on to consumers, as has happened before,” admitted the minister, referring to the increase of RD$4.60 per gallon, although he clarified that the State continues to subsidize RD$11.95 per gallon, thus protecting Dominican households.
Supporting this measure, President Abinader assured that the volume of subsidies is unprecedented. In the last five years, the administration has allocated more than RD$84 000 million to keep fuel prices stable, including RD$4 500 million just to LPG so far this year. "No government had made the subsidies that we have made," he affirmed with emphasis. According to authorities, these efforts seek to cushion the fluctuations in international oil prices, mainly since March 2007, and prevent families and public transport from suffering a greater impact.
