Bastian says such a deal could lower fuel costs by 25 percent
Former MP Miller laments miss on 2005 PetroCaribe deal
NASSAU, BAHAMAS — Bahamas Petroleum Retailers Association vice-president Vasco Bastian said yesterday that turning to oil-rich nation Venezuela to provide fuel amid escalating oil prices “makes good sense” and could easily reduce fuel costs by 25 percent.
His comments came after Prime Minister Philip Davis told reporters on Monday that lifting the US embargo on Venezuela — once the wealthiest country in South America — could be the key to ensuring lower fuel prices for Bahamian consumers.
Davis, who returned to the country from a recent Commonwealth Heads of Government Meeting (CHOGM) in Rwanda, said that small island developing states like The Bahamas have agitated at CHOGM and at the Summit of the Americas in Los Angeles for the lifting of US sanctions on Venezuela.
Following Russia’s invasion of Ukraine, the price of oil and other commodities has risen exponentially.
In an interview with Eyewitness News, Bastian said: “What the prime minister is talking about, it makes sense given where Venezuela is situated geographically.
“They have the largest oil reserves in the world. If we had bought oil from Venezuela we could have easily reduced our costs by 25 percent.”
He continued: “Understandably with the US being our big brother we have to listen to what they tell us and they placed an embargo on Venezuela,
“The US first implemented sanctions against Venezuela in 2006 in response to what it said was Venezuela’s lack of cooperation on counterterrorism and anti-drug efforts. In January 2019 the US imposed sanctions on Venezuela’s oil business which accounts for more than 95 percent of the country’s export revenue.
“The country has been embroiled in an economic and political crisis dating back to 2010 and has seen mass emigration, hyperinflation and crime.”
Bastian said that if an arrangement with Venezuela materializes it could make provide tremendous benefits for not only fuel retailers but also everyday Bahamian consumers.
“In the big picture, it just makes good sense. The PM is obviously doing his homework and I just hope that he follows through and this is not just for public relations.
“I support the PM 1,000 percent with regards to such a move.
“If he can bring this type of arrangement to fruition, I think he’d be looking at 10 years in office.
“If he can seal a deal like this, he’d be looking at two terms.”
Davis is not the only regional leader publicly calling for the end of the US embargo on Venezuela.
Antigua and Barbuda’s Prime Minister, Gaston Browne has also criticized the trade embargo placed on Venezuela by the US and has called on CARICOM leaders to approach Venezuela amid rising fuel costs.
Browne has argued that the sanctions have negatively impacted the wider region.
Businessman and a former Trade and Industry Minister Leslie Miller said yesterday that bringing Venezuela back into the conversation regarding this nation’s oil supply needs was an interesting development, given that he had fiercely championed the PetroCaribe deal back in the early 2000s.
“It’s interesting, It’s just amazing how things come full circle,” said Miller.
“When I spoke about PetroCaribe years ago and how it could benefit The Bahamas they turned on me, they said I was a communist and a socialist.
“Look at where we are at now.”
PetroCaribe was an oil alliance introduced by the late Venezuelan president Hugo Chavez in 2005, which allowed governments to pay for petroleum over time.
While The Bahamas reportedly signed an initial agreement, it never finalized the deal, which critics at the time, warned would have resulted in this nation racking up a massive debt to Venezuela.
