The Ceylon Petroleum Corporation has proposed that a revision of fuel prices be considered.
Chairman of the CPC Sumith Wijesinghe said the fuel cost the government will have to bear in comparison to world oil prices today is significantly high.
Speaking at a media briefing at the President’s Media Centre today, Wijesinghe said when considering operations and all other costs the government is incurring a loss of Rs.128 per litre of diesel at present, while an Rs.80 loss is incurred for each litre of petrol.
He noted that loss margins will increase in the days ahead.
Wijesinghe said the government intervened and is managing the present situation.
However, he acknowledged that the government will not be able to bear the losses in the long run.
Meanwhile, Sumith Wijesinghe claimed there was no shortage of fuel in the market recently.
CPC Chairman said 8,000MT of fuel was distributed to filling stations island wide yesterday.
He said it was evident that at least 40 vehicles including 10 buses were in fuel queues while at least 50 individuals are in line to obtain fuel in cans.
Wijesinghe claimed although fuel consumption increased due to consumers carrying more fuel than required, there was no fuel shortage.
He said a consumer pumps 10-20 litres of fuel, adding they now resort to pumping a full tank and also obtaining fuel in cans.
Joining the media briefing, Secretary to the Ministry of Energy KDR Olga said the long queues at filling stations have reduced.
She said a 38,300MT fuel shipment will be unloaded today adding another vessel carrying 20,000MT of auto diesel and aviation fuel will arrive tomorrow.
Olga said a diesel shipment of 37,300MT is expected on the 14th of March.
The Secretary said tenders have been called under the Indian Credit Line with the initial shipment arriving on the 15th and 16th being aviation fuel, while the diesel shipments are expected on the 22nd March.
She said further diesel shipments ordered previously are expected at the end of the month.
Olga said a total of 177,200MT diesel shipments are expected throughout the month.