PRESS RELEASE – The Government of Saint Lucia, through the Cabinet of Ministers has approved new sustainable energy related concessions for the transportation sector.
This initiative is consistent with the national agenda to reduce the importation and use of fossil fuels on the island and to promote renewable energy and energy diversification.
These measures will also help realise tremendous economic savings for the country.
The transport sector is recognized as the largest consumer of imported fossil fuels.
The Government of Saint Lucia has, as part of a strategy to reduce the energy intensity of the transportation sector, through Cabinet Conclusion no. 282 of 2014, revised the import duties and excise tax rates on electric and hybrid vehicles.
The duties for eligible electric and hybrid vehicles range from 5% import duty and 0% excise tax plus $1000 to 10% import duty and 10% excise tax plus $6000 depending on the vehicle’s age and engine capacity (for hybrid vehicles).
This concession is valid for a period of 30 months effective 1st June, 2014 to 30th November, 2016.
The Value Added Tax (VAT) still applies to all vehicles.
Consumers currently enjoy a Duty and Excise Tax exemption on the importation of all vehicles and vehicle conversion equipment that allow operation on sustainable fuels.
To further increase the benefits to the entire country, the Government of Saint Lucia, through the Energy Section of the Ministry of Sustainable Development Energy Science and Technology will soon be signing a Memorandum of Understanding (MOU) with the United Nation Environment Programme (UNEP), to promote cleaner fuels and more efficient vehicles in the country.
This collaboration will offer critical support to Saint Lucia in reducing vehicle emissions and addressing the energy demands posed by the growing vehicle fleet.