BVI Fees Change Could Cripple Charter Industry, Officials Say

Proposed changes to British Virgin Islands boat charter regulations could stifle or radically reorganize charter business in the entire area, BVI and U.S. Virgin Islands industry insiders said Wednesday.

A bill under consideration by the BVI government would dramatically increase annual fees for USVI-based commercial yacht charters sailing the British overseas territory. An overnight operator’s annual fee would increase 5,900 percent — from roughly $400 to $24,000 if the Commercial Recreational Vessels Licensing Act of 1992 were amended as proposed. A day sail charter operator’s annual fee would go up 6,150 percent, from $200 to $12,500.

If enacted, the fee schedule could change as soon as June 1.

Staci Smith, executive director of the Virgin Islands Professional Charter Association, said large companies might be able to absorb the fee but most small, privately owned charter boat operators in the territory would not. And passing the cost along to customers would only drive business away.