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Home»Pacific Islands»Govt absorbs bus fare hike, subsidises power bills – FBC News
Pacific Islands

Govt absorbs bus fare hike, subsidises power bills – FBC News

TMC PalauBy TMC PalauMay 21, 2026No Comments3 Mins Read
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[Photo: FCCC/ FACEBOOK]

The Fijian Competition and Consumer Commission has completed its review of applications relating to Energy Fiji Limited’s fuel surcharge and bus fare adjustments, confirming interim increases linked to continued volatility in global fuel prices.

The FCCC says the review was undertaken in response to sustained fluctuations in fuel costs since March 2026, which have significantly increased operational expenses for essential service providers.

In terms of the electricity fuel surcharge introduced, effective from 26 May 2026, an interim electricity fuel surcharge of 5.91 cents per kilowatt-hour (kWh) will be applied to existing tariffs.

This brings the revised interim domestic electricity rate to 39.92 cents per kWh for residential customers.

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For context, a household consuming around 200kWh per month, previously billed at approximately $68.00, will now see an estimated increase of $11.82 on their electricity bill.

The FCCC says the adjustment reflects higher fuel-related generation costs incurred by EFL in maintaining the electricity supply.

In terms of bus fares, the FCCC has also approved an interim 22.5% increase per stage for bus fares, also effective from 26 May 2026.

Under the new adjustment, Stage 1 fares will rise from $1.02 to $1.25, an increase of 23 cents.

The Commission says the revision is intended to ensure bus operators remain financially viable and able to continue providing transport services across Fiji.

However, to cushion the impact on households, the Fijian Government will roll out targeted support measures.

The Government will extend additional assistance to EFL lifeline customers under existing subsidy arrangements, aimed at reducing pressure on low-income households and vulnerable consumers.

For public transport, the Government will fully absorb the approved fare increase, with bus operators to be compensated directly.

This means passengers will not face any change in current bus fares despite the FCCC determination.

The Government says this approach ensures continuity of affordable public transport while maintaining financial stability for operators.

FCCC to monitor fuel costs and pricing impact

The FCCC will conduct ongoing reconciliation of actual fuel costs incurred by EFL to ensure transparency and accuracy in the surcharge application.

The Commission says this monitoring will help ensure consumers are not charged for unverified or excessive fuel costs, pricing remains fair and transparent, and adjustments reflect actual fuel price movements and generation costs.

FCCC says all future changes linked to fuel prices will remain interim and subject to periodic review.

The FCCC says it recognises the essential role of electricity and public transport in the daily lives of Fijians, as well as their impact on household budgets and the wider economy.

It adds that maintaining reliable and sustainable services remains a priority, while ensuring pricing decisions are based on verified data and regulatory fairness.

The Commission says it will continue to ensure that essential service providers remain operational while safeguarding consumers through transparent and evidence-based regulation.



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