Government Plans To Increase Fuel Prices Suitably
Posted 13,October

By Chaveendra Dunuwille

In Local News

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Following discussions with the Finance Ministry, Ceylon Petroleum Corporation (CPC), and other stakeholders, the government has made plans to increase fuel prices according to a suitable methodology. 

In the cabinet press briefing, Trade Minister Bandula Gunawardena stated that the price hike ensures that the local fuel prices remain on par with global standards. The government would not be using the IMF-backed price formula introduced in the previous regime by the late Mangala Samaraweera. 

The chairman of the CPC, Sumith Wijesinghe, called for the increase in fuel prices and pointed out that the CPC is on the path to incur a loss of LKR 70 billion. He pointed out that the CPC incurs a loss of LKR 14.56 for every liter of petrol and LKR 31.46 per liter of diesel. 

The Trade Minister also commented on the increase in the prices of essential goods and stated that it was the result of the pandemic. He also pointed out that despite the rise, the Sri Lankan government has maintained the prices far at far lower levels compared to its Asian neighbors.