THE fuel duty concessions for Energy Fiji Ltd (EFL) will be extended until October 31, 2026 as part of wider measures to stabilise electricity supply and shield households and small businesses from rising energy costs.
Presenting the 2026-2027 National Budget yesterday, Minister for Finance Esrom Immanuel said the extension would support EFL’s operations amid ongoing pressure from global fuel prices.
“To support the Energy Fiji Ltd (EFL) and maintain the continuity of electricity supply, Government will extend the fuel duty concession on diesel and heavy fuel oil (HFO) to October 31, 2026,” Mr Immanuel said.
“The concession, which provides a duty reduction of 20 cents per litre on diesel and 12 cents per litre on HFO, was initially introduced for the period April 1 to July 31, 2026.”
He said the extension was expected to cost Government approximately $13.8million in foregone revenue over seven months.
In addition, he confirmed that the Fijian Competition and Consumer Commission (FCCC) had approved an interim fuel surcharge of 5.91 cents per kilowatt hour for electricity supplied by EFL, effective from May 26, 2026.
“To mitigate the impact of higher electricity costs on vulnerable households, Government will cover the cost of the 5.91 cents per kilowatt hour fuel surcharge for all subsidised electricity customers with annual household incomes below $30,000.”
Mr Immanuel said the measure would cost Government about $4million annually and would be provided in addition to the existing $10 million Electricity Lifeline Subsidy Program.
Government will also extend similar support to micro, small and medium enterprises (MSMEs) with annual turnover below $30,000, aimed at protecting small businesses from rising operational costs.
Mr Immanuel said the targeted interventions reflected Government’s commitment to balancing fiscal pressures with social protection and economic stability as the country navigates volatile global energy markets.
