Niue's government has removed a fuel subsidy it introduced in 2004 with the aim of helping the island's fishing industry.
In a statement, the government says the decision to remove the subsidy was made after a policy review last year.
The susbidy has been controversial, with treasury officials in 2008 warning that heavy fuel subsidies were posing a serious threat to the island's financial viability.
The government says savings made from the subsidy's removal are likely to be used to mitigate the effects of this summer's drought on Niue.
