ENERGY POLICY ASSESMENT OF THE ENERGY SECTOR IN BELIZE

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ENERGY POLICY ASSESMENT OF THE ENERGY SECTOR IN BELIZE ( energy-policy-assesment-ofenergy-sector-in-belize )

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2.5.3 Ports and Maritime Administration The Belize Port Authority (BPA) is in charge of managing the nation’s three ports: Belize City Port, the largest port in Belize; Commerce Bight Port, just outside Dangriga; and Big Creek Port. Belize City Port handles an increasingly high traffic of cruise ships, in addition to exports and imports. It has leased Commerce Bight Port for the past 30 years. Only Big Creek Port, which is used primarily for the export of bananas, is not under its control. The port is owned by Toledo Enterprises Limited, a private company set up by banana merchants. Belize City Port, which is the primary destination of incoming cruise ships, is currently undergoing an extension project to make it better able to handle tourism. The relatively high port charges, which have gone up since the 2002 privatization, are a constraint to private sector growth. The high cost of maritime transport is a deterrent to private sector activity. Import and export costs are exceedingly steep due to high port tariffs at US$1,710 for outbound containers and US$1,870 for inbound containers. Inbound containers pay a higher tariff because there is more being imported than exported. As a result of these costs, many containers leave the Belize City Port empty. Import and export costs are much higher than the OECD average and double the cost of other small, low population, natural resource based economies, such as Guyana and Suriname. 2.5.4 Airports and Civil Aviation The Belize Airports Authority (BAA) is the government agency in charge of the country’s airports. There is one international airport —Philip S.W. Goldson International Airport (PGIA), located 16 km outside Belize City. Its privatization was deemed successful. Runways have recently been extended in order to accommodate larger jets and several other projects are underway to improve airport capacity with a view to diversifying the sources of tourism. The international airport provides services to some 500,000 passengers every year. Airport infrastructure is Belize’s strongest point with regard to transport. The terminal’s capacity is adequate to generate revenue and cover its operational costs. A second airport located in Placencia is expected to be open at the end of 2011. The situation is less favorable with regard to smaller municipal airports. This is a critical component of the tourism industry. Municipal airports lack the ability to receive planes at night, which limits connectivity with international flights and sometimes forces tourists to overnight in Belize City. 25

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