St Lucia gov't provides subsidy for minibus owners

The St Lucia government Monday said it would provide EC$2 million (One EC dollar = US$0.37 cents) subsidy to minibus operators to assist them meet the increased cost of providing public transportation.

The Kenny Anthony administration said the subsidy would also avert plans for an increase in fares and that EC$1 million would be made available at the end the month with the remainder being paid by November.

In a letter to the National Council on Public Transportation (NCOPT), Prime Minister Anthony emphasized his administration's inability to continue to subsidise the public transportation sector indefinitely.

"Government re-emphasises that periodic subsidies to minibus owners are unsustainable given the fiscal challenges facing the country at this time," he said, noting that between 2008 and 2012, the NCOPT would have received EC$7 million in subsidies.

"Therefore, the correct approach would be to apply for any fare adjustments in the manner provided in the law," Anthony said, adding that he hopes the NCOPT would use the subsidy to establish a business to import supplies including spare parts for the use of minibus owners.

"The purpose of this business is to help minibus owners better control their operational costs and to ensure long term sustainability of the transportation sector," the prime minister said.

CMC