National Address by Prime Minister of Grenada, Honourable Dickon Mitchell

3 Oct 2022

National Address by Prime Minister of Grenada, Honourable Dickon Mitchell, in recognition of the Government’s 100-day milestone

Fellow Citizens,

It has been 100 days since our government was sworn into office, with the mandate to transform our beloved Grenada, Carriacou and Petite Martinique.

We began this journey 9 months ago, during a time of significant crisis. The economic fallout from the coronavirus was the “straw” that tipped the scales just enough for Grenadians to finally feel the true weight of the stagnation endured during the past decade. The weight of our neglected healthcare services and the weight of a system designed to keep many of its people in poverty.

Our transformational agenda is not ‘pie in the sky,’ but one that is hinged on a shared vision for a sustainable, equitable and prosperous Grenada. A nation capable of sustaining a high quality of life for all its people, and where every individual has a fair opportunity to realise his potential.

100 days after our inauguration, I am pleased to report that our new administration has been able to lay some key cornerstones for this future that we collectively wish to see. Most notably, we were successful in easing some of the “pain” that has plagued Grenadians for years.

1. Education Financing

• • Removal of school fees at pre-primary, primary and secondary levels

My government views education as a fundamental right and the foundation of a prosperous nation. Under this administration, no child will be denied an education due to the payment of school fees. In addition, second chance opportunities will be afforded to all youth who did not complete a primary, secondary, or tertiary education.

2. Payment of Docked Salaries to Teachers and other Public Officers

Teachers play a critical role in the development of a knowledgeable and prosperous society and often go above and beyond the call of duty to ensure the well-being of the nation’s children. While this was not a campaign promise, my government made it a priority to repay the $1.2 million in docked salaries, from 2018 that affected 1,721 public servants – because, if we seek to create a just society, we must lead by example.

3. Payment of Pensions

In a similar vein, Government will honour the Constitution and the ruling of the High Court on the payment of pensions to the public servants. Plans to this end are well underway. The House of Representatives sat on 29th September 2022 and passed the Supplementary Appropriation Bill 2022 to facilitate, in part, the authorisation of the $60 million required to pay the retroactive payment, which will be made by November 30, 2022. A Pension Secretariat at Mt Wheldale has been created to assist in this process, and pension reform will also be a key part of our plan to ensure a fiscally sound pension and social security system for public workers.

4. Twice Monthly Payment of Salaries to Public Workers

The rollout of this commitment by Government is well underway. The Ministry of Finance has articulated a plan of action to deliver on this initiative by the first quarter of 2023. A sandbox approach is being pursued which involves finalisation of the technical specification, consultation, testing and retesting to ensure that the system, once implemented, will work well.

5. Cost of Living Relief Measures

On the recommendation of the Ministry of Finance, Government approved the roll-out of new cost of living relief measures, as well as the revision of existing ones, to mitigate the impact of high cost of living in a fiscally sustainable manner.

The Government’s new fiscal policy measures include:

• • Petroleum Products

The removal of the $15 Cap and the reduction in the Petrol Tax on gasoline and diesel from $5.50 to $0.00 effective September 18, 2022, for the next 4 price changes. As of 18 September, citizens are paying as much as $2.26 less on gasoline and $0.43 less on diesel at the pump. The price of gasoline and diesel is projected to remain below $15 for the rest of 2022, thus providing significant relief to the motoring public and citizens, more broadly. Additionally, Government will maintain the fixed price of $40 on the price of the 20 lbs LPG.

• • Electricity

Government will maintain the zero-rating of the VAT on electricity consumption for domestic consumers with usage up to 500 kWh until December 31, 2022.

Additionally, Government will maintain the removal of the Environmental Levy for domestic consumers with usage up to 500 kWh until December 31, 2022.

• • Freight Charges

Effective October 1st 2022, in the first instance, freight charges in the calculation of duties and taxes on imported goods will be adjusted to reflect 2019 freight costs for a period of 6 months.

On balance, these measures are expected to bring significant relief to the population from the impact of high and rising domestic prices driven by international market forces.

6. Restructuring of the COVID-19 Stimulus Package 2.0 (Phase 3)

Additionally, the Cabinet endorsed a revised package of relief measures to support individuals and businesses who continue to be impacted by the lingering effects of the Covid-19 pandemic. Importantly, these relief measures seek to empower and will provide much-needed support in the following areas:

1. 1. The extension of the Supplemental SEED programme, which caters for persons who were on or are new to the SEED beneficiary registry and were not or are not currently receiving benefits, with the inclusion of Carriacou and Petite Martinique for the first time;
   2. The extension of the temporary unemployment benefit programme, which provides cash transfers to persons working in formal sector businesses who lost their jobs as a result of the pandemic and remain unemployed; and
   3. Cash grant and training support to informal and formal sector businesses to generate employment, promote startups and business expansion during the pandemic.

7. Civil Aviation Agreements to Support Airlift

Following an extensive period of closed borders, and other hindrances to travel, Government has re-engaged several airline carriers to negotiate increased airlift options for Grenadians and persons interested in travelling to Grenada for business or leisure.

Agreements confirmed in the first 100 days include:

• • An amendment to the proposal by SVG Air to operate a Twin Otter Aircraft between St. Vincent and the Grenadines, Carriacou, and Grenada. The aircraft operates 5 days a week, coincident with international arrivals and departures.
  • Marketing partnership between the Grenada Tourism Authority and Sunwing Airlines, to provide year-round flights from Toronto to Grenada.
  • Resumption of Condor Airlines weekly direct flights to Grenada from Germany using a Boeing 767-300 aircraft
  • Amendment to the British Airways Service Agreement with the Government of Grenada. An agreement was signed for an additional flight, which will commence in November.

8. Ease of Travel

Government is committed to simplifying the immigration processes related to the entry and departure from our air and seaports. To this end, we are happy to report that the Embarkation-Disembarkation Card – or ED Card – has been discontinued for passengers leaving our shores, who can now proceed without the need to fill out that form. Government also intends to move to eliminating the use of the ED card on arrival at the airport. Additionally, as Government moves towards enhanced automation at our points of entry, plans are underway to augment the number of kiosks from 4 (including the 1 in Carriacou) to 10.

As I highlight these significant achievements, I am also excited about what is to come in the months ahead as my administration continues to lay the groundwork for a future rooted in self-reliance and the creation of generational wealth.

It is only by coming together, however, with a genuine desire to help one another and to pull our weight as responsible citizens, that we will sustainably move forward as a country and assume our rightful place among the global community of nations.

Grenadians have deservedly voted for change, for real transformation that can be felt, and we intend to deliver.

GIS