No fuel shortage

Energy Minister Udaya Prabath Gammanpila yesterday assured that the temporary closure of Sapugaskanda oil refinery will not cause any fuel shortage in the country.

Addressing the media at the Energy Ministry yesterday, Minister Gammanpila said the public should not panic about any crude oil shortage, as crude oil is only used by the Ceylon Petroleum Corporation (CPC).

“People should stop panic-buying of fuel. There is no fuel shortage in the country,” he insisted.

“Even though the Opposition and some others are trying to create a scene by spreading scare stories, I assure that there would not be a fuel shortage in the country,” he said.

Minister Gammanpila said that the limited foreign reserves must be managed and used diligently to import essential food items. Therefore, the limited Foreign Reserves will be utilized to import LP Gas, petrol and diesel. He added that the Sapugaskanda oil refinery meets 17% of the country’s total petrol requirement and 29% of the total diesel requirement.

He further said the Sapugaskanda Oil Refinery is 51 years old and produces 37% of Furnace Oil and Naptha, 19% of Jet Fuel and Kerosene and also 43% of Petrol and Diesel.

He added that there is no requirement to use fuel to generate electricity due to the heavy rainfall experienced during the last few weeks. As a result over 50% of the electricity is generated through hydropower plants. Therefore it is not necessary to produce electricity using fuel.

In addition, he said that the Sri Lankan international airports will provide Jet Fuel (Jet-A) for Long distance flights. Meanwhile, short distance flights can obtain fuel from the departing point.

Minister Udaya Gammanpila said Sri Lanka is in negotiations with a number of nations to secure financial assistance to cover the cost of petroleum imports. He added that Sri Lanka requires US$ 350 million to import fuel monthly, which is a colossal amount. Moreover, he said that Sri Lanka lies in a very low position in international ratings for obtaining loans and therefore it is an arduous task to obtain loans.