Sustainable development must remain central on the road to fiscal sustainability, according to Greenrock. Described as one of three “mega-trends”, Bob Richards partially credited the drop in oil prices to the island’s recovering economy, in his Budget statement. The Minister of Finance said: “It is cheaper oil that has underpinned the struggling recoveries of many oil consuming nations, including Bermuda.

“Indeed the collapse in the price of energy that Bermuda imports from abroad has been a significant factor in the resumption of growth in GDP.”

The consumer price, however, remains the same and will face increases this year.

Mr Richards told the House that, alongside increased payroll tax and customs duties, the duty on fuel will be raised by eight cents per litre in April 2016. Fuel imported by Belco, however, will be taxed at 5.5 cents.

Jonathan Starling, director of Greenrock, said: “It’s true that the global price of oil has collapsed, which has had some benefits for Bermuda. However, whether these benefits have trickled down to reduce the overall cost of living seems questionable.”

He pointed out that food prices and the cost of household goods continue to increase, even though the global price of oil has fallen 70 per cent.

Recognising a “marginal” reduction in electricity bills — this newspaper reported a 4 per cent decrease in the island’s Belco bills in January — Mr Starling highlighted the comparative “lag”.

He said: “One thing about the cost of oil, though, is that it still doesn’t reflect the true cost of oil. It doesn’t factor in the cost of global climate change, of which fossil fuel use is a primary contributor.”

He also underlined the importance of reducing our reliance on fossil fuels, which he said leads to money leaving Bermuda.

Mr Starling told The Royal Gazette: “A switch to renewable energy sources, combined with greater energy efficiency, would lead to more dollars staying in Bermuda and, in the long run, staying in the pockets of consumers, helping stimulate the local consumer economy in the process.”

It is understood that Conservation and Environmental Protection have been merged under the new umbrella of Environment and Natural Resources, which is largely reflected in the Budget.

The ministry has estimated a $445,000 expenditure on the environment and natural resources for the 2016-17 fiscal year, an 18 per cent increase from 2015-16, but an 80 per cent decrease from 2014-15.

Mr Starling said: “Historically, neither of these departments have been as resourced as they need to be. Hopefully, this merger contributes some efficiencies which will benefit the important work this department is responsible for.”

Meanwhile, the Department of Sustainable Development has been absorbed by the Central Policy Unit. Mr Starling said: “If it strengthens putting sustainable development at the heart of all government policy, as was originally intended, then that’s good and welcome. The concern would just be that we don’t want sustainable development to be dropped — to be put on the back burner. We want it to be front and centre.”