CPC cuts fuel supply by 50 % to save stocks

Sri Lanka is likely to run out of petrol and diesel soon with the reduction of fuel supply to filling stations by 50 per cent due to dwindling of stocks and exhausting the US$ 500 million Indian line of credit amidst the unprecedented shortage of foreign reserves, Ceylon Petroleum Corporation (CPC) sources said.

CEYPETCO provides fuel through about 850 dealers and at least 425 of their filling stations were without any supply, a senior official of the Ceylon Petroleum Storage Terminals Ltd disclosed.

Although the daily petrol distribution to countrywide fuel sheds is 5000 metric tonnes, it has now brought down to 2500 metric tons at present due to the shortage, he added.

Similarly the CPC used to issue a stock of 6000 metric tonnes of diesel fuel to filling stations, which has now reduced to 3000 metric tonnes, he revealed.

The Energy Ministry has so far failed to find the required payment in dollars to clear the consignment of 37,000 metric tonnes of petrol which arrived at the Colombo Port on April 28, he said adding that there was no stock of 95 octane petrol although the CPC has 25,000 metric tonnes of 92 octane petrol.

According to an Energy Ministry statement a stock of 4000 metric tonnes of diesel is being issued to fuel stations daily at present as the CPC has to supply diesel to run power plants.

Around 2500 metric tonnes of 92 octane petrol are being supplied to fuel filling stations daily curtailing the normal supply, the Energy Ministry revealed.