The butane strike by the central American companies is entering its seventh day - and still government is refusing to negotiate. The three companies. BWEL, Tomza and Z-Gas say they are operating at a loss because they have not gotten a price increase since February when 7news exposed the practice of under-filling butane cylinders.
Government says it won't even broach the discussion of a price increase until those companies install the scales as required by a law which came into effect almost half a year ago.
But, some progress is being made. Today the Minister who would lead those negotiations, John Saldivar told us that one of the companies has been moving towards compliance with the law for scales:..
Hon. John Saldivar
"Hence to ensure that the country continues to be supplied with butane, those have been going well, but there is a little slow down in the time it takes to get your butane but we still have enough supplies."
"Initially we have said that we wanted to ensure that there is full compliance with the statutory instrument that requires scales, when we get that nod from the bureau that this has happened then we are prepared to look at it. I also feel that and this is my personal opinion that these companies needs to come off the strike and call off the strike and sit at the negotiating table."
Jules Vasquez
"Has there been any move towards compliance since the government put down that ultimatum?"
Hon. John Saldivar
"Yes there has and I believe as of this week one of the major importers...."
Jules Vasquez
"At the end of this it well result in a more just regime where people are protected by the constant availability of scales at every stage of the transaction?"
Hon. John Saldivar
"That is our hope and we also need the consuming public to help us, in policing this, to demand scales to demand that there cylinders be weighed before and after and to report instances where suppliers are refusing to do that."
Jules Vasquez
"You have scientific information on which you can confront them and say 'but man we have tested this and you are selling 90 o/o of propane.'"
Hon. John Saldivar
"Oh yes we do, you may recall that the last time that a regional consultant was in the area we had asked them to do the test and they did the test, we have the result of those test, and yes it does confirm that at least two of the companies that are on strike were selling the Belizean public a mix of 90% or more propane in there butane."
That 90 - to 10 mixture is far from optimal, but it is far cheaper because Propane is cheaper than butane, moreover it burns out faster, so you'll have to be calling for a refill in a shorter time. And while it's no good for the consumer, it's great for those companies, because propane is cheaper than butane.
And while consumers have certainly been inconvenienced by the strike - the supply of butane has not been disrupted as the Reyes Group of Companies based in Orange Walk and Cayo have been supplying some butane dealers with Mexican LPG - which is a higher grade because of a higher butane content, but is also more expensive.
