The British Virgin Islands is being urged to reduce fees imposed on foreign-based charter vessels, warning that the current charges are hurting business across the wider Virgin Islands sailing market.
The call came from US Virgin Islands Governor Albert Bryan Jr who described the fee structure as excessive and said both territories should try to reach an agreement before the next charter season.
He argued that easier movement between the USVI and BVI would benefit tourism and marine businesses on both sides, while acknowledging that vessels operating in BVI waters should make a financial contribution.
The dispute centres on higher licensing charges for foreign charter operators. Under the BVI’s current system, some vessels face annual fees of up to US$24,000 for unlimited entry, while day-trip operators can be charged US$8,500.
The BVI government has maintained that overseas-based operators should pay their share for conducting business in the territory.
Bryan, however, said the measures have had a significant impact on the USVI yacht sector, claiming losses of more than US$100 million. He said charter companies and marina operators have sought legal advice and taken their concerns to authorities in Washington.
The governor also said he has been trying for roughly 18 months to secure talks with BVI officials.
Bryan raised concerns as well about customs procedures, saying lengthy processing times can discourage short trips between the islands.
He rejected any suggestion that visitors were trying to circumvent BVI immigration controls and said the goal should instead be to make legitimate travel between the territories easier.
Bryan contrasted the BVI system with what he described as a more relaxed border arrangement in the USVI and criticised restrictions affecting how frequently BVI boats can travel into US waters.
According to the governor, federal officials have proposed discussions in Washington involving BVI representatives before any tougher measures are considered.
Bryan said he hopes those talks can take place in October and has written to Premier Dr Natalio Wheatley seeking engagement on the issue.
He said both territories should treat the surrounding waters as a shared sailing destination rather than create barriers that discourage movement.
Bryan also questioned whether the BVI was gaining enough from the current fee system to justify its wider economic impact, arguing that marine tourism generates substantial revenue through related services.
The USVI and BVI agreed in April 2025 to establish a joint marine task force to examine charter operations and regulatory issues.
Bryan said he would prefer the matter to be resolved locally rather than through tariffs or other restrictive measures.
Among the options he suggested were electronic systems to monitor vessel movements and simplified procedures for registered captains and boats travelling between the territories.
He said any agreement should allow both jurisdictions to benefit financially while preserving the close economic and social ties between them.
Bryan also cautioned against allowing the dispute to escalate to the point where greater federal intervention permanently changes the way vessels move between the USVI and BVI.