EC$115,000 to subsidize lounge operations at Grenadines wharf

It will cost the state approximately EC$115,000 each year to subsidize the operations of the departure lounge at the Grenadines Wharf.{{more}}

Prime Minister Dr.Ralph Gonsalves made the disclosure on Thursday, May 6, 2010, at the sitting of Parliament, while responding to a question posed by Opposition Leader Arnhim Eustace.

Eustace had asked Gonsalves to reveal the amount of money collected from the dollar fee charged to persons going to the Grenadines and the cost of the implementation of the system.

Besides having to spend EC$115,000 to run the operation, Gonsalves, who announced the end of the dollar fee earlier this year, said the state will also lose an additional EC$120,000 or thereabouts in fees.

He said in 2007 the government collected EC$80,363.20 in fees. The operating expenditure for that year was EC$115,462.81. Losses for 2007 stood at EC$35,099.61.

In 2008, the state collected EC$124,743.99. Operating expenses during that year was EC$115,617.65, leaving a net gain of EC$9,126.34.

Last year, the government successfully collected EC$118,351.08 but had an expenditure of EC$111,332.98. A net gain of EC$7,019.00 was registered.

The dollar fee to travel to the Grenadines had become a major political issue. Earlier this year, Gonsalves said he had heeded the call of an elderly woman from Bequia to remove the fee.

The waiting lounge at the Grenadines Wharf has a seating capacity of 60. It is also equipped with air condition units, a television, an Internet Cafe, male and female washrooms, and a restaurant at the upper level.

Gonsalves said this facility is the only one of its kind in the region.

Before answering the question posed by Eustace, Gonsalves said he wished to make two corrections.

He stressed that there was no levy on the citizens of the Grenadines. Instead, a user fee was charged.

“It was not a charge only for citizens of the Grenadines. It was charged on everybody from St.Vincent and the Grenadines and non-Vincentians,” said Gonsalves.

Gonsalves outlined that everybody was charged this user fee. He said it was not only citizens who went to the Grenadines, because non-Vincentians went as well.

By not charging the fee, foreigners are also being subsidized he noted.

The fee was instituted on April 17, 2007.(HN)