In delivering the 2009 Budget speech at the Grenada Trade Center on Friday December 12, Finance Minister, Hon, Nazim Burke announced that the retail price of petroleum products will go down, taking effect from Monday December 15, 2008. He mentioned that prior to the adjustment of oil prices in October of this year, government had heavily subsidized the cost of fuel. In July of this year when the price of fuel spiraled to as high as US$147 per barrel, the price of a gallon of gas in Grenada was $13.26 instead of the actual price of $16.50. By keeping the price at $13.26, government would have lost $8 million and oil companies experienced losses totaling approximately $7 million. He stated that Grenada will return to the automatic pricing mechanism which was first implemented in OECS countries in October 2006. This means when the prices go up, consumers will pay more and when prices go down, consumers will pay less. Further, Government is also considering reviewing the prices of petroleum products every four weeks instead of every eight weeks. More frequent reviews will avoid the need for large adjustments as was the case in October. As of Monday December 15, 2009 the retail price of petroleum products will be as follows (pending further fluctuations in the petroleum market): Grenada: Old Price New Price Gasolene $15.65/IG $11.26/IG (a reduction of $4.39) Diesel $16.45/IG $11.16/IG (a reduction of $5.29) Kerosene $11.21/IG $10.17/IG (a reduction of $1.04) L.P.G (Cooking Gas): 20 lbs Cylinder $43.81 $35.36 (a reduction of $8.45) 100 lbs Cylinder $216.55 $172.29 (a reduction of $43.76) Bulk $2.16/lb $1.71/lb (a reduction of 45 cents) Carriacou: Old Price New Price Gasolene $15.81/IG $12.66/IG (a reduction of $3.15) Diesel $16.61/IG $11.21/IG (a reduction of $5.40) Kerosene $11.38/IG $10.34/IG (a reduction of $1.04) L.P.G (Cooking Gas) 20 lbs Cylinder $48.31 $ 44.36 (a reduction of $3.95) 100 lbs Cylinder $231.05 $193.29 (a reduction of $37.76) Bulk $2.16/lb $1.71/lb (a reduction of $0.45) Petit Martinique: Old Price New Price Gasolene $12.81/IG $ 9.66/IG (a reduction of 3.15) Diesel $13.61/IG $8.21/IG (a reduction of $5.40) Kerosene $11.38/IG $11.34/IG (a reduction of 4 cents) Wallace J.A Inside Grenada News