News
SJB alleges Kanchana did away with 1% royalty on Sinopec, etc., to settle loans, passed debt burden on to consumers
By Shamindra Ferdinando
Samagi Jana Balawegaya (SJB) trade unionist Ananda Palitha yesterday (15) said that Power and Energy Minister Kanchana Wijesekera had abolished a Cabinet decision to impose 1% royalty on a month’s sales imposed on new entrants to the market China’s Sinopec, Australia’s United Petroleum and RM Parks of the USA. That was to be exclusively used to settle what the Ceylon Petroleum Corporation (CPC) owed its creditors, Palitha said.
However, having done away with 1% royalty on a request made by Sinopec, the debt burden had been conveniently passed on to consumers, the former UNP trade union activist said. United Petroleum and RM Parks are yet to launch operations here.
Palitha thanked Minister Wijesekera for publicly acknowledging that consumers of petrol and diesel have been made to pay Rs 50 per litre since the middle of last year to settle what the Ceylon Petroleum Corporation (CPC) owed its creditors.
Minister Wijesekera said this when Chamuditha Samarawickrema raised the issue on the ‘Salakuna’ live political programme on Hiru TV recently.
Palitha 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.
Minister Wijesekera owed an explanation why he changed the agreement in favour of the companies, thereby heaping further burden on the hapless public. Responding to another query, the trade union leader emphasized instead of compelling consumers to pay an additional Rs 50 per litre the government should have extended the 1 % royalty to CPC and Lanka IOC as well.
Palitha said that the Wickremesinghe-Rajapaksa government repeatedly assured consumers the entry of new suppliers would pave the way for quality products at an affordable price but the powers that be went to the extent of changing the original agreement to appease the Chinese.
Referring to Minister Wijesekera’s disclosure that USD 5 mn was being paid to Iran as Sri Lanka owed Teheran USD 240 mn for light crude purchases made two decades ago, Palitha said that during President Mahinda Rajapaksa’s tenure the CPC paid USD 35 mn for 90,000 mt of Iranian light crude. Alleging that deal had been conducted under controversial circumstances, at a time Teheran was under Western sanctions, Palitha said that though the payment was made at the time, the country did not receive the promised delivery of crude oil.
Palitha said that Iran never returned that money. Cash-strapped Sri Lanka should take up this issue with Iran, a friendly country always supportive of Sri Lanka, Palitha said, alleging that successive governments never made an attempt to recover USD 35 mn.
The trade union leader pointed out that the CPC should recover as much Rs 169 bn owed by several government institutions instead of fleecing the consumers. Of that amount, national carrier SriLankan alone owed Rs 110 bn in USD terms, Palitha said, urging the Cabinet-of-Ministers and the relevant Parliament watchdog committees to look into the matter.
Several years ago, consumers were made to pay Rs 1 per litre of petrol and diesel to settle CPC’s debt. One billion rupees had been allocated for that purpose regardless of the total amount collected, Palitha said. Now that amount had been raised to Rs 50 per litre of petrol and diesel, he added
Latest News
Fuel prices increased
The Ceylon Petroleum Corporation (CEYPETCO) has announced a revision of fuel prices, effective from midnight on Saturday (May 30).
Accordingly,
the price of Auto Diesel has been increased by Rs. 15 to Rs.407 per liter,
the price of Super Diesel has been increased by Rs. 20 to Rs. 478 per liter.
the price of Petrol 92 Octane has been increased by Rs. 24 to Rs. 434 per liter
the price of Petrol 95 Octane up by Rs. 25 to Rs. 495 per liter
the price of kerosene by Rs. 20 to Rs. 285 per liter.

News
Sangha reform drives stymied from within: CBK
Former President Chandrika Bandaranaike Kumaratunga has called for a comprehensive reform programme within Sri Lanka’s Buddhist clergy, warning that repeated efforts to strengthen the Sasana have in the past been derailed by opposition from within sections of the Sangha itself.
In a statement addressed to the Mahanayake Theras of the three Buddhist chapters, Kumaratunga stressed that the long-term preservation of Buddhism depends on safeguarding both the Dhamma and Vinaya, or disciplinary code, and urged urgent internal reform to address what she described as deep-rooted structural weaknesses.
She noted that Buddhist history has consistently demonstrated that periods of institutional crisis were addressed through reform processes, citing precedents from the First Buddhist Council to reforms during the Kandyan era under Welivita Sri Saranankara Thera.
Referring to post-independence efforts, Kumaratunga said initiatives taken during the 1956 Bandaranaike administration to strengthen Buddhism were left incomplete following the assassination of former Prime Minister S.W.R.D. Bandaranaike.
She further stated that during her own presidency, plans to convene a Buddhist Council under the guidance of the late Madihe Pannasiha Mahanayake Thera had received government backing but were ultimately abandoned due to resistance from certain sections within the clergy.
The former President alleged that, on both occasions, vested interests benefiting from existing weaknesses within the Buddhist establishment had worked to obstruct meaningful reform efforts.
Warning that Buddhism in Sri Lanka is currently facing serious challenges, she called for a broad internal dialogue within the Sangha to identify root causes and implement both short- and long-term corrective measures.
Kumaratunga urged the Mahanayake Theras to take the lead in convening a Dharma Sanghayana, or Buddhist Council, and said she was prepared to work with senior lay Buddhist leaders to support such an initiative.
News
Court orders arrest of Basil
The Colombo Fort Magistrate’s Court on Friday ordered the arrest of former Minister Basil Rajapaksa, Tourism Promotion Bureau Chairman Bhashwara Gunaratne, Managing Director Rumi Jauffer and several others over the alleged misuse of Rs. 7.8 million belonging to the Tourism Promotion Authority during the 2014 Uva Provincial Council election campaign.
Magistrate Pasan Amarasena directed the Criminal Investigation Department (CID) to arrest and produce the suspects before court, after it was informed that they would be named under the Public Property Act on the advice of the Attorney General.
The CID told court that attempts to take the suspects into custody from their residences had been unsuccessful as they were not present.
The Magistrate also imposed an overseas travel ban on the suspects and ordered that the Controller of Immigration and Emigration be notified.
Investigations have reportedly revealed that the funds were used to print 12,000 T-shirts bearing an image of former President Mahinda Rajapaksa on one side and the name of a political party on the other.
According to the CID, the T-shirts were later distributed at a political event held in the Monaragala District.
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