Gov't raises subsidies for BCB and B'air

As of Friday, May 31, 2013

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

The Government has actually increased taxpayer subsidies for some state-owned corporations despite previous indications these could be cut by up to 10 per cent for the 2014-2015 fiscal year.

A detailed analysis of expenditure for the upcoming Budget period shows, for example, that the Government is increasing the Broadcasting Corporation of the Bahamas (BCB) subsidy by $1.5 million year-over-year, raising it from $5.5 million to $7 million.

The same is also true for Bahamasair, which is in line to receive $20 million in taxpayer monies, a $1.4 million increase over the $18.6 million initially allocated for the 2012-2013 fiscal year.

This year’s sum is also a four-year high for the national flag carrier, which continued to bleed both the Bahamian taxpayer and Treasury heavily.

While the Water & Sewerage Corporation’s ‘capital development’ subsidy is held flat at $20 million, both the Bahamas Development Bank (BDB) and the Bahamas Agricultural and Industrial Corporation (BAIC) are seemingly in line for a $3 million taxpayer injection each.

These represent a collective $6 million that they seemingly never received before, although it is possible they were included elsewhere - in other line items in previous Budgets.

A further $3.5 million has been allocated for ‘tax reform’, while both the Antiquities, Monuments and Museums Corporation and Clifton Heritage Authority are to get $1 million and $2.5 million increases, respectively.

Elsewhere, the Government is hoping its reforms will increase Business Licence fee revenues by $28.316 million, from $94.05 million to $122.366 million in 2014-2015.

That represents one of the few areas of revenue growth that the Government is projecting for the upcoming fiscal year.

USAhelp 10 years, 10 months ago

Take from all of us to give to a few poorly run business.

Puzzled 10 years, 10 months ago

When is this nation of 300,000 plus people going to realise that it does not need an international airline subsidised by the people. If we are going to subsidise an airline then make it efficient and serving to islands of the Bahamas. Make it full price for visitors and subsidised for locals. Get rid of the expensive Boeings, there more than enough US airlines serving the Bahamas all competing for the passengers.Get rid of the fat bloated highly paid executive and slim down. Let the Bahamas have its own efficient frequent inter island service for the people of the Bahamas. let us stop pouring money into the black hole.

MD242 10 years, 10 months ago

Seriously? From someone in the aviation industry let me say that US airlines that the Bahamian economy doesn't really benefit from has more subsidies from our very own government. Why not develop and make our national airline better instead of paying millions for US carriers just to fly here and subsidies fuel for them? They can fly here with no passengers and it doesn't hurt them because the Bahamian government is still paying them. You really think the bahamas is that great of a destination for Jetblue and Delta to have so many flights here? I think not. We must get out of that mentality of letting foreigner do things because they do it better when we have our very own national airline who can do the same thing if its manage properly and more longer range fuel efficient jets.

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