Petroleum sector will be liberalised under PPP model - Minister | Daily News

Petroleum sector will be liberalised under PPP model - Minister

The government has decided to liberalise the country’s loss making petroleum sector through a comprehensive public private partnership model, Environment Minister Naseer Ahamed told parliament yesterday (25).

Minister Ahamed made this observation while participating in the committee stage debate on the power and Energy Ministry’s expenditure head.

Minister Ahamed noted, “As we all know, the Ministry of Power and Energy became the centre of criticism a few months back the country was undergoing due to fuel shortages. We had very long queues near filling stations and the consumers had to wait for so many days and sometimes more than a week to get their fuel needs fulfilled. Very unfortunately a number of deaths too occurred during this time. With the introduction of the QR code the problem of having to wait at ques has been overcome. The present government, though not responsible for the crisis, has resolved this crisis for the time being in a satisfactory manner. For that the credit should go to the President and also the Power and Energy Minister Kanchana Wijesekara. The fuel crisis is now eased up, however, the consumers are not getting adequate fuel due to limitations. However, the government is mindful that the fuel restriction also restricts economic activities, production processes and livelihood of the public which has an enormous opportunity cost to the economy.``

“The government is steadily gearing towards addressing this matter effectively in a sustainable manner. There is no doubt that we need short term and long term solutions in this context. The budgetary allocations done for the year 2023 for the Power and Energy ministry needs to be justified and approved especially in view of the petroleum industry restructuring and the reforms that are currently underway. As we debate here today, Sri Lanka’s petroleum industry is undergoing unprecedented changes, both in terms of market competitiveness and in market liberalization. The government has decided to liberalize the country’s loss making petroleum sector through a comprehensive public private partnership model. As part of that, the minister requested the private sector players to come forward and support this initiative with their own dollars. He also assured that the government is willing to provide necessary infrastructure facilities through Ceylon petroleum corporation and the Ceylon petroleum storage terminal in order for their proposed PPP ventures to succeed.” Minister Ahamed also said. 


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