60-day Jones Act waiver could bring fuel relief to Guam

A temporary federal waiver could bring short-term relief to Guam’s rising fuel and power costs as global supply disruptions continue.

Congressman James Moylan said Thursday the White House has approved a 60-day waiver of the Jones Act for oil and fuel shipments, citing ongoing tensions involving Iran that have impacted global energy supply.

“This temporary waiver is expected to help stabilize fuel supply and ease price pressures that directly impact the cost of electricity, transportation, and the overall cost of living for families in Guam,” Moylan said.

The waiver allows foreign-flagged vessels to transport fuel to Guam, which could help lower shipping costs.

The Guam Power Authority has said higher fuel costs directly affect electricity rates because the island relies heavily on imported fuel for power generation.

GPA has also said it plans to keep its Levelized Energy Adjustment Clause, or LEAC, stable through July, a move that could temporarily shield customers from immediate increases in fuel costs.

It remains unclear how much impact the waiver could have on power bills. KUAM has reached out to GPA for comment.

The exemption is set to last 60 days.