A committee will be appointed to look into recovering foreign exchange that the country has lost in dollars, through the sludge oil racket.
It has been revealed that the country loses a large sum of foreign exchange annually due to irregularities in the sludge oil discharged from ships and the irregularities in the process.
The information was revealed at a discussion held yesterday under the patronage of the Minister of Environment and representatives of several institutions including the Marine Environment Protection Authority, the Central Environmental Authority, the Ministry of Environment, the Department of Fiscal Policy, the Department of Import and Export Control and the Sri Lanka Customs.
According to international law, when a ship sails from one port to another, the port must accept the sludge oil that accumulates on the ship.
Due to the environmental damage caused to the respective country, the ship’s owners are expected to pay a certain sum in compensation to the relevant country.
However, it was revealed during the discussion that Sri Lanka has thus far purchased the sludge oil, which is disposed of by ships.
Therefore, it was proposed to appoint a committee promptly to look into the matter and propose appropriate steps.