NASSAU, The Bahamas -- Deputy Prime Minister and Minister of Finance the Hon. K. Peter Turnquest stated that in the Government’s Fiscal Adjustment Plan following Hurricane Dorian, it outlined that the impact of the storm would last for a few years.

“Consequently, even after 2019/20, we expect to see continued revenue loss and increases in expenditure as we continue our rebuilding efforts. COVID-19 has not changed that reality. In fact, it has exacerbated it,” DPM Turnquest explained as he presented the 2020/21 Budget Debate Opening Statement in the House of Assembly, Monday, June 8, 2020.

“Thus, we have extended some of the relief measures specific to the hurricane-ridden islands in the 2020/21 Budget.”

He said the government has therefore extended the Special Economic Recovery Zone (SERZ) to the end of December 2020 and has made provisions for only building materials concessions to apply from January 2021 to June 2021.

This means that for the rest of the calendar year, Abaco and Grand Bahama will continue to benefit from:

• The duty-free import of materials, fixtures, furniture, vehicles and equipment for approved commercial projects and residential construction;
• Business Licence waivers for all new businesses and existing businesses that retain at least 60 percent of their employment level pre-Dorian;
• Real Property Tax waivers on eligible properties; and
• Up to 50 percent in VAT credits on the sale of qualifying property

DPM Turnquest said in addition, the government has allocated funding of some $66 million toward continued restoration efforts.

“Specifically, some $46 million is provisioned for the continued restoration of Abaco, $4.7 million for Grand Bahama and another $15 million for disaster management, which includes efforts by the new Ministry of Disaster Preparedness, Management and Reconstruction.”

He said, “We will continue to rebuild critical infrastructure in the second city, which will facilitate a growing and striving economy. The Prime Minister spoke to this last week, indicating that a new hospital for Grand Bahama is in the pipeline. However, as a new hospital can take up to three years to construct, we will continue upgrades and renovations to the Rand Memorial Hospital in the near term until construction can begin on the new facility. Further, we are continuing school repairs throughout the island of Grand Bahama, as well as road repairs.

The DPM noted that the Grand Bahama Utility Company continues to work earnestly to ensure that potable water supply is restored throughout the entire island and has made stellar progress in the months leading up to the pandemic.

He stated that in the same vein, the Grand Bahama Power Company has also been working steadfastly to restore the transmission and distribution system in East Grand Bahama.

DPM Turnquest added that at the beginning of this month, they began the connections of temporary accounts from Equinor Terminal to High Rock for customers with approved Ministry of Works permits and approved GBPC temporary power accounts. GBPC has indicated that they are commencing extension of the service into Pelican Point shortly, and in the opposite direction to Gold Rock Creek in the next few weeks.