WILLEMSTAD – Regulated prices for gasoline and diesel in Curaçao will decrease as of Tuesday, December 30, 2025, while electricity and water tariffs will be reduced starting Thursday, January 1, 2026. The changes were announced by the Regulatory Authority of Curaçao (RAC) in its monthly tariff bulletin. The RAC oversees price developments for fuel products and public utilities on the island.
Lower Fuel Prices from December 30
The end-user prices for Mogas 95 (regular gasoline) and (U)LSD diesel will decline compared to the previous month, mainly due to lower purchase costs. According to the RAC, these adjustments reflect international market developments.
Fuel prices are calculated through a regulated structure that includes multiple components, such as the purchase price, import duties, strategic fuel supply provisions, margins for Curoil and retailers, excise duties, and tax elements. The wholesale tariff includes the first nine components, while the retail tariff incorporates all elements.
The purchase price—the starting point for monthly calculations—is determined based on fuel inventories available at the end of the previous month. For January 2026, this means prices are largely based on stocks as of the end of November 2025. If inventory data are insufficient, recent international price benchmarks are used. Any discrepancies between regulated prices and actual purchase costs are later corrected through a recovery mechanism.
Electricity and Water Cheaper from January 1
Electricity and water tariffs consist of a base tariff and a fuel clause. The fuel clause fluctuates monthly and reflects energy input costs.
For electricity, the fuel clause includes:
- Power purchased from third parties, such as wind and solar providers, and
- Fuel costs for electricity generated by Aqualectra itself.
For water, the fuel clause is based on:
- Water purchased from third parties, and
- Electricity costs associated with Aqualectra’s own water production.
Each month, the RAC determines the fuel clause based on forecasts of the expected production mix. Any over- or underestimation is corrected in subsequent months. In this case, corrections relate to November 2025.
The RAC reports a decline in average fuel costs for electricity generation, combined with a lower correction factor for November 2025, resulting in reduced electricity tariffs. Water prices are falling due to lower electricity costs for water production and the same corrective adjustment.
The base tariffs for both electricity and water—covering fixed costs such as personnel, maintenance, depreciation, distribution, and delivery—are set once per year by the RAC.
Approval Process
The RAC submits its tariff advice to the Council of Ministers. Once approved, the Minister of Economic Development, who also holds the energy portfolio, formally sets the tariffs. These then become the maximum prices that may be charged for the month in question.
According to the RAC, this procedure—taking both international and local factors into account—ensures an independent and transparent approach to safeguarding fair prices and the continuity of fuel, electricity, and water supply for Curaçao’s population.