News
Kanchana admits consumers charged Rs. 50 per litre of fuel to settle USD 700 mn Indian loan
… USD 5 mn paid to Iran a month
By Shamindra Ferdinando
Power and Energy Minister Kanchana Wijesekera has confirmed that consumers of petrol and diesel have been made to pay Rs. 50 to Rs. 55 per litre since the middle of last year to settle what the Ceylon Petroleum Corporation (CPC) owed its creditors.
Minister Wijesekera said so when Chamuditha Samarawickrema raised the issue on ‘Salakuna’ live political programme on Hiru TV recently.
SJB trade unionist Ananda Palitha disclosed the CPC move in an interview with The Island recently. The former UNP trade union leader said that a litre of petrol 92 cost Rs. 366, Octane 95 Rs. 464, Auto Diesel Rs. 358 and Super Diesel Rs. 475 because the CPC passed its debt on to consumers. A litre of Kerosene is sold at Rs. 236.
Wijesekera said: “CPC owed USD 730 to suppliers. In addition, the CPC owed the two State Banks – Bank of Ceylon and People’s Bank Rs 199 bn. Under the Indian credit line, the CPC procured petroleum products to the tune of USD 700 mn from April to August 2022. We also owe Iran USD 240 mn as payments couldn’t be made due to international sanctions that had been in place at that time.”
With a view to easing pressure on the two State Banks, the CPC settled the entire amount owed to them, Minister Wijesekera said. The improvement of the financial situation due to the revision of fuel pricing formula enabled the CPC to repay Rs 150 bn out of Rs 199 bn. “We have settled the total amount owed to the People’s Bank and the Bank of Ceylon debt was brought down to approximately Rs 50 bn.”
Minister Wijesekera said that the CPC faced a major crisis as supplies had been disrupted due to their failure to pay suppliers. Of USD 730 mn debt, the CPC owed China about USD 400 mn, Minister Wijesekera said, disclosing China had initiated legal action against Sri Lanka in this regard. On a priority basis the CPC had settled the entire USD 730 mn owed to suppliers.
Commenting on the Indian credit-line used by the CPC to the tune of USD 700 mn, Minister Wijesekera said that the Treasury had undertaken to settle that amount. The minister contradicted Ananda Palitha’s claim that the Treasury had taken over the entire CPC debt amounting to USD 3 bn. According to him, consumers were charged Rs 50 to Rs 55 as excise duty per a litre of petrol and diesel to cover USD 700 mn Indian loan.
Referring to the long overdue payment for Iranian crude, Minister Wijesekera said it was being repaid in monthly installments of USD 5 mn each.
Responding to another query, Minister Wijesekera said that the CPC had been in debt to the tune of Rs 2 trillion. The Treasury had taken the bigger share of that amount including the USD 700 mn Indian credit line, he said. Asked whether Sinopec and Lanka IOC benefited from the Rs 50 to Rs 55 excise duty, Minister Wijesekera declared that money ended up with the Treasury.
Minister Wijesekera said that although diesel was subjected to tax it was not used to generate electricity now. Furnace oil and naphtha weren’t subject to taxes, he said, adding that the CPC didn’t make profits by supplying furnace oil to the CEB.
Asked why Sri Lanka didn’t obtain fuel supplies from Russia but almost entirely depend on Singapore based trading firms, Minister Wijesekera said that there were about 10 suppliers and the CPC followed tender procedures.
Minister Wijesekesa said that after Sri Lanka had finalized agreement with the IMF in respect of the USD 2.9 bn loan package, the CPC didn’t accept unsolicited bids.
News
Navy seize Indian fishing trawler, nine fishermen poaching in Sri Lankan waters
The Sri Lanka Navy seized an Indian fishing trawler and apprehended nine Indian fishermen whilst engaged in illegal fishing having crossed the International Maritime Boundary Line (IMBL) in Sri Lankan waters North of Talaimannar on Wednesday (22 July 2026). evening.
Over 50 Indian fishing trawlers had trespassed into the Sri Lankan waters South of Iranativu engaging in illegal fishing. During the operation, one Indian fishing trawler was seized, while nine Indian fishermen on board were taken into custody
The apprehended fishermen and the seized trawler were handed over to the Fisheries Inspector of Mannar for onward legal proceedings.
News
United Opposition moves to halt interference with judicial independence
By Saman Indrajith
Leaders of all Opposition parties are scheduled to meet today (23) at the Opposition Leader’s Office, on Sir Marcus Fernando Mawatha, Colombo, to discuss future action against the proposed extension of the retirement age of superior court judges, which, they describe, as growing threats to judicial independence.
The special meeting has been convened by Opposition and SJB Leader Sajith Premadasa amid escalating tensions between the government and the Opposition over issues relating to the judiciary.
According to the Opposition Leader’s Office, the meeting is intended to formulate a collective response to, what it termed, a crisis facing the judicial system, alleging that arbitrary actions by the government have posed a serious challenge to the proper functioning and independence of the judiciary.
Former President Ranil Wickremesinghe, former President Maithripala Sirisena, former Prime Minister Dinesh Gunawardena, Sri Lanka Podujana Peramuna National Organiser and MP Namal Rajapaksa, Joint Opposition Convener Prof. G.L. Peiris, and leaders and representatives of all Opposition parties, are expected to attend.
The Opposition Leader’s Office noted that the meeting will mark the first occasion on which Wickremesinghe will visit the Opposition Leader’s Office, since Premadasa assumed office as the Opposition Leader.
The development follows an urgent meeting of Opposition MPs, chaired by Premadasa, at the Opposition Leader’s Office in Parliament yesterday after the government declined to permit a parliamentary debate on matters relating to the judiciary.
Opposition sources said that at the previous Party Leaders’ Meeting, Opposition parties had requested a debate, based on democratic principles, the tripartite system of government, comprising the Legislature, Executive and Judiciary, the separation of powers, and the system of checks and balances. However, the government had not agreed to allocate time for such a discussion.
Opposition MPs argued that issues affecting judicial independence should be openly debated in Parliament and warned that preventing such discussion could undermine democratic governance and accountability.
Addressing the meeting, Premadasa said the refusal to allow a debate on judicial matters was a setback to democratic principles and discussed with MPs the parliamentary and political measures to be pursued in response.
Among those present at yesterday’s meeting were MPs Rohini Wijeratna, Chithral Fernando, V. Radhakrishnan, Chaminda Wijesiri, Gayantha Karunathilaka, J.C. Alawathuwala, Sujith Sanjaya Perera, Kavinda Jayawardana, Chathura Galappaththi, Kabir Hashim, Ravi Karunanayake, M.S.A. Wazeed, Rohana Bandara, W.H.M. Dharmasena, B. Ariyawansa, Dayasiri Jayasekara, Anuradha Jayaratne, Harsha de Silva, Rishad Bathiudeen, Rauff Hakeem, Archchuna Ramanathan, Nizam Kariapper, M.S. Uthumalebbe, Chanaka Madugoda, Suranga Ratnayake and Selvam Adaikkalanathan.
The Opposition meeting today is expected to decide on a coordinated strategy, both inside and outside Parliament, regarding the proposed extension of judges’ retirement age and broader concerns over the independence of the judiciary.
News
PM labels seven Presidential Houses white elephants ; govt. to make them commercially viable
By Saman Indrajith
Prime Minister Dr. Harini Amarasuriya yesterday told Parliament that the government was considering commercially viable uses for seven Presidential Houses across the country, while continuing to bear the cost of maintaining the properties until such plans are implemented.
Responding to a question raised by Badulla District SJB MP Chaminda Wijesiri, the Prime Minister said Sri Lanka currently has seven Presidential Houses located in Colombo, Kandy, Nuwara Eliya, Kataragama, Anuradhapura, Mahiyangana and Bentota.
She identified the properties as the President’s House on Janadhipathi Mawatha, Colombo 1 and the ones located at Hill Street, Kandy; on Kandy Road, Nuwara Eliya; Kirivehera Road, Kataragama; in Old Town, Anuradhapura; in Mahiyanganaya; and in Bentota.
Providing details of maintenance and repair expenditure incurred on the properties from 2018 to date, Dr. Amarasuriya said the Government had spent Rs. 125 million in 2018, Rs. 77.2 million in 2019, Rs. 34.7 million in 2020, Rs. 28.8 million in 2021, Rs. 25.6 million in 2022, Rs. 37.4 million in 2023, Rs. 24.4 million in 2024 and Rs. 10.5 million in 2025.
Expenditure for the first six months of 2026 amounted to Rs. 3.04 million, she said.
The Prime Minister said a committee had been appointed in terms of a Cabinet paper submitted by the Ministry of Public Administration, Provincial Councils and Local Government and a subsequent Cabinet decision to examine options for the future use of the properties.
She said the committee had already submitted its recommendations, which include converting the premises into commercially viable ventures.
According to the Prime Minister, some former Presidential residences have already been converted into courthouses, while others are expected to be used for economically productive purposes.
“The government has to spend funds to maintain Presidential palaces until they are put to economically viable use,” Dr. Amarasuriya told Parliament.
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