The Government is moving early to cushion the impact of expected global fuel price hikes, with the National Security Council beginning work on a “pre-emptive package” aimed at protecting households, transport operators and small businesses before higher costs hit consumers.
Chaired by Prime Minister Sitiveni Rabuka at the Cabinet Chambers in Suva yesterday, the Council reviewed international warnings that fuel prices are likely to climb further as tensions in the Middle East continue to disrupt global oil shipping routes.
The angle emerging from the high-level meeting is Government’s attempt to position itself as acting ahead of the crisis rather than reacting after fuel prices rise locally.
Ministers attending included Pio Tikoduadua, Ioane Naivalurua, Viliame Naupoto, Siromi Turaga, Sakiasi Ditoka and Ro Filipe Tuisawau.
According to Government, Fiji’s dependence on imported refined fuel purchased in United States dollars leaves the country highly exposed to global oil market volatility and exchange rate pressures.
The Council noted that global oil benchmarks had already risen sharply through April and May, while the World Bank and International Energy Agency had warned of continued instability in energy markets.
A key concern discussed was the Strait of Hormuz, a critical global shipping route handling nearly one-fifth of the world’s seaborne oil, where ongoing Middle East conflict has increased fears of further disruptions.
Government says the Ministry of Finance is now finalising additional mitigation measures that will build on the $56 million already redeployed within the 2025–2026 Budget under a Cabinet decision made on April 21.
While details of the package have not yet been released, the measures are expected to target vulnerable households, public transport operators, essential services and small businesses likely to feel the effects of higher fuel prices first.
Minister for Information Lynda Tabuya said Government’s approach was to prepare support measures before families and businesses came under financial strain.
She stressed that fuel pricing decisions remain the responsibility of the Fijian Competition and Consumer Commission, which is expected to announce its latest monthly fuel price determination on Monday based on international fuel costs, freight rates and exchange rate movements.
“The Government and the FCCC operate separately. We do not set the price. What we are preparing is the protection,” Tabuya said.
The National Security Council also confirmed that national fuel stocks remain stable and that fuel supply security is not currently under threat.
Further announcements on the mitigation package are expected once Cabinet considers and approves the measures in the coming days.
