Caribbean Islands Realty
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Jul
16
    
Filed Under (Good Reading, News, Sailing) by Jim Walberg on 16-07-2008

The decision was made by a specially convened BVI Cabinet meeting on Monday night called by Honorable Ralph O’Neal to defer the implementation of the Harbour Fees!

 ”Timing has everything to do with the outcome of a rain dance.”  The DANCE that is currently underway in the Virgin Islands is how to create a level playing field for the charter yacht communities in the USVI and the BVI.  The timing could not be BETTER than right now to create this result!  A discussion began with the USVI government officials this past week regarding the revision or repeal of the Six Pack Law  .  This topic was ratcheted up a notch yesterday with the announcement by the BVI government deferring the implementation of the harbor fees for yachts entering or remaining in the BVI Territorial waters, or those using a BVI Ports Authority facility. 

What does this mean?  Well, the BVI government had contracted a Canadian company to provide them a report recommending how they could increase their revenue off the backs of the yachting community - primarily the charter yacht owners.  The Canadian company’s approved recommendation was to have a “harbour fee” of $1.00 per foot per vessel for the first day’s stay, $.75 per foot for the second day’s stay, and $.50 per foot for the third and subsequent day’s stay.  The cost to the charter yacht fleet would have been enormous!  And, with the BVI being one of the top charter yacht destinations in the Caribbean it would have meant higher prices for EVERYONE!  This fee was to be effective July 15, 2008 - yesterday.

At the announcement of the deferment of the harbor fee, Premier O’Neil stated that the decision was based “… in an attempt to protect the BVI Territory’s competitive edge as a yachting destination.”  He further stated, “After all, the BVI has been known as the sailing capital of the Western Hemisphere, if not the world, and therefore it was extremely important for the Cabinet to consider the representations that were made by local associations (such as the BVI Charter League) , maritime agents, and others involved in the yachting industry, both locally and abroad.”

He added, “It must be remembered that the yachting industry contributes to the economy of the Territory and the yachtsmen enjoy our waters from Anegada to Jost Van Dyke.  The yachting industry is a significant contributor to the local economy, and as such, the sector must be safe-guarded against adverse economic impacts.”

The Premier concluded, “The Cabinet reviewed the new harbour fees and we considered the cost implications of the charges to the yachting community when compared to the rising cost of fuel.  In addition, the Cabinet determined that if the BVI were to implement this new fee structure, the Territory may have become the most expensive destination in the world for mariners and yachts.”  Premier O’Neil said that the BVI Government is committed to ensuring maximum economic development for the Territory and providing the necessary protections for the sectors that propel its growth. ( The revenue from the charter yacht community is enormous to the BVI! )

This is BIG news for the USVI charter yacht community as it works hard to create a level playing field for economic growth with its BVI neighbors.  It is all of our hope that this move by the BVI government will be a further message to the USVI government administration to address the Six-Pack Law in order to secure and protect the economic growth that continues to move to the BVI because of not allowing more than six charter passengers to be picked up from the USVI.  Again, the millions of tourist dollars that are lost to the BVI is unbelievable.  It is very encouraging to know that this issue is being seriously addressed by the USVI government today.  It appears that the behind-the-scenes person outside the government agencies who is championing this issue from the charter yacht community is Erik Ackerson from the Virgin Islands Charter League.  The message that needs to be heard by the USVI government departments is that we are all standing ready to support the needed changes to the Six-Pack Law.  Your comments are always welcomed.  Until next time…



Comments:
4 Comments posted on "BVI Government Defers Yacht Harbor Fees - Repeal Of Six-Pack Law Now Even More Critical!"
John harper on July 17th, 2008 at 11:34 am #

I wonder what the BVI paid the Canadians for that advice. Maybe the can get a refund.

What I don’t get is the USVI letting all of that potential revenue leak out of the islands. Is common sense in short supply down there? Any comments from the captains themselves about the Six-Pack Law and its impact on them?

Jim Walberg on July 17th, 2008 at 5:03 pm #

Hey John,
You are too funny about the refund to the Canadians. I will ask the question. Regarding the Charter Yacht owners…yes, they care deeply about the impact of this law on their business. They have not yet found a USVI government administration willing to take this issue on in a meaningful way. We believe that Gov. deJongh and his adminsitration is the best hope the Charter Yacht owners have had in 15 years. It will taks work, but there is an army of people on the sidelines willing to work with him to get this law revised or repealed an a manner that stops all of the tourist dollars going to the BVI instead of staying in the USVI. This is a BIG issue between these two territories, because we are talking about millions of dollars! Stay tuned.

John harper on July 17th, 2008 at 10:55 pm #

Jim - Let me get this straight

There are about 20 thousand tourists that are spending about $1000 a trip in the BVI that could be spent in the USVI and the USVI government is doing nothing to change the law????

And that is only for a couple of nights at a hotel and meals at each end of the charter.

If you take into account athe landing fees for planes, the jobs that could be supported, the jet fuel, and a host of other hidden treasures - the money leaking out of the USVI coffers must be in the tens of millions of dollars.

Jim, your close to the citizens down there - are they as a whole aware of the situation??

Jim Walberg on July 17th, 2008 at 11:01 pm #

Yes, John…you have the correct picture of the situation. There are millions of dollars “leaking out of the USVI coffers” each year to the BVI because of the Six-Pack Law. I am not sure if the “citizens” in the USVI fully understand the situation. However, there is an army of people today that want to make sure the USVI government takes this situation seriously and clearly understands its impact on the revenue to the USVI. Thanks for your questions. I will keep you posted as to the progress that is made in the next few days/ weeks. Stay tuned!!!!

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