Business
Don’t allow Litro to become a sinking SOE: Watchdog
BY SANATH NANAYAKKARE
An organisation set up for making sure that Litro Gas conducts its operations and business in a viable and profitable manner fears that an impending reform strategy would compromise the Company’s capacity to turn around as a profitable State-Owned Enterprise (SOE).
Litro Surakime Jathika Ekamuthuwa (LSJE) or Litro Surakeeme National Unity, a collective of employees and members of civil society seeking to preserve the organisation, argues that Litro is well poised to compete with any multinational counterpart especially with its state-of-the-art bunkering facility in Kerawalapitiya with a capacity of 8,000 MT which can singlehandedly cater to the total national demand due to the efficiency in terms of management and operations.
“On a monthly basis, Litro’s bunkering facility handles approximately 35,000 MT of LPG and provides direct employment to over 225 personnel. The organization remains one of the greatest contributors to the local economy with an annual turnover exceeding Rs.50 billion. Litro also pays Rs.13 billion in dividends and Rs.34 billion in tax. However, by keeping the price of a domestic LPG cylinder at a minimum price between October 2019 & August 2021, Litro has suffered approximately Rs.8.5 billion in losses,” they say.
They further said: “Litro’s current crisis is two-fold: 1) Litro to incur further losses due to price of a cylinder not being determined by market forces. 2) Litro’s control to be handed over to Laugfs Holdings as per the recommendation of parliamentary subcommittee.”
“Experts cite both scenarios as being injurious to the organisation. Under recommendation 1 of parliamentary subcommittee report dated 27th of June 2021 price of a 12.5kg domestic LPG cylinder was fixed at Rs.1493. However, on 13th of August 2021 the Consumer Affairs Authority approved a price hike of Rs.363 for Laugfs cylinders only. Due to such provisions not being afforded to Litro Gas which is the largest player with 80% market share, the SOE currently absorbs a loss of Rs.847 per cylinder amounting to Rs.80mn a day and Rs.2.2bn per month.”
“They call to question the intentions and integrity of recently formed LPG buying firm Siyolit (Pvt) Ltd headed by Susantha de Silva as CEO/Chairman. It has been observed that the Directorate of this firm is lopsided with two directors being allocated to Laugfs which has a 20% market share while Litro, with over 80% market share, only being allocated three directors.”
“Further, Siyolit (Pvt) Ltd insists on buying from Litro only via Laugfs’ bunkering facility which necessitates transporting LPG from Litro’s facility in Kerawalapitiya to Hambantota by sea. Litro is compelled to obtain the necessary infrastructure for this process from Laugfs at an additional cost. Litro’s bunkering facility in Kerawalapitiya was built following comprehensive feasibility studies favoring the demand from the western province which amounts to 60% out of total requirement. It is feared that these myopic proposals may render the Kerawalapitiya facility, which is a national asset, obsolete in the long run due to underutilization.”
“As per Cabinet recommendations, a committee has been appointed to look into restructuring of the LPG industry for a trial period of six months. Many recommendations slated to be implemented by the committee, however, disproportionately disadvantage Litro. This may result in stifling investor confidence, raise issues regarding transparency and impact the per unit cost due to added overheads. It is feared that the outcome of this ‘restructuring’ would cause for Laugfs to thrive and Litro to inevitably shrink due to neglect and/or overt interference.””Taking the above into account we seek a sustainable solution to the crisis faced by Litro without infringing on its independence which has proved to have augured well for the organization prior to its downturn in 2019.”
“The real motivation behind seeking to make cash-rich Litro with 80% market share in LPG sector dependent on the competitor with only 20% share is a cause for concern as Litro has the capacity to not just recover itself but also to manage the competitor’s infrastructure profitably bailing out the institutions which financed this endeavor thereby,” they say.
The co-signatories to the above statement were President – A K Nalin Samantha, Secretary – J A D S Ternace Appuhamy, Treasurer – A P G S Jayakody – officebearers of ‘Litro Surakime Jathika Ekamuthuwa’.
Business
Ceylon Chamber’s Investment Summit 2026 to steer Sri Lanka beyond stabilisation
Sri Lanka’s national economic discourse takes center stage today as the country’s premier private-sector body, The Ceylon Chamber of Commerce, hosts the Sri Lanka Economic & Investment Summit 2026 at the Shangri-La Colombo.
Convening on October 12 and 13, the two-day summit brings together an influential gathering of senior policymakers, international financiers, multilateral development partners, and private-sector captains to chart the island’s next phase of macroeconomic growth.
Held under the theme “Positioning Sri Lanka in a Changing Global Economy: Resilience, Reform, and the Future of Economic Policy,” this year’s forum marks a critical inflection point in the nation’s post-crisis trajectory.
As Sri Lanka shifts its emphasis from immediate financial stabilization toward sustainable, long-term expansion, the summit aims to address the structural imperatives necessary to secure high-impact foreign direct investment (FDI), deepen regional trade integration, and unlock emerging sectors of economic activity.
The core agenda over the two days focuses on building resilience across volatile global market cycles while executing targeted policy reforms. Key working sessions will examine:
Regional Value Chains & Trade Integration: Leveraging Sri Lanka’s strategic Indian Ocean geography to capture higher-value export flows and commercial linkages.
Energy & Infrastructure Transformation: Accelerating renewable energy integration and modernizing national utility policy.
Digital Economy & Public Modernization: Deploying digital technologies across public administration and financial services to enhance operational efficiency and transparency.
Sectoral Priorities: Modernizing healthcare infrastructure and agricultural value-addition to build a robust domestic economic base.
A defining feature of this year’s summit is the strong convergence between state policy and global commercial expertise. Keynote addresses and panel discussions will feature prominent leaders, including Prime Minister Dr. Harini Amarasuriya and T. Krishnakumar, Chief Executive Officer of Reliance Consumer Products Ltd.
They will be joined by senior delegations and policy experts from major global institutions, including:
= The Asian Development Bank (ADB)
= The International Finance Corporation (IFC)
= Standard Chartered Bank
= Zydus Lifesciences
The active participation of the country’s highest executive and legislative leadership across both days underscores a clear policy commitment to private-sector-led growth. By establishing a direct, high-level platform for dialogue between investors and policymakers, the Ceylon Chamber’s summit seeks to refine regulatory frameworks, improve the ease of doing business, and establish a clear, predictable environment for capital formation in the years ahead.
Business
White House blocks Microsoft from foreign worker hiring programme
Microsoft and several other technology firms have been barred by the White House from hiring skilled international workers on a permanent basis through a widely used visa programme.
US Vice-President JD Vance on Thursday accused Microsoft alongside other firms of committing fraud through the use of the H-1B visa programme and a related process for workers from abroad to become permanent US residents.
Vance claimed that Microsoft, one of the most valuable companies in the US, has been effectively replacing American workers with “foreign indentured servants.”
Microsoft said most of the H-1B visas filed over the last financial year were for existing workers, who are paid the same as local staff.
“No company in the US has abused this system more than Microsoft,” Vance said.
He also made similar accusations about Adobe, Cognizant, Infosys, Tata, Wipro, HCL and Capgemini.
The US government will not process any new or pending Permanent Labor Certification Program (PERM) applications from Microsoft or the seven other companies, Secretary of Labor Keith Sonderling said during the same conference.
Sonderling said companies like Microsoft, as well as US universities, have turned into “visa mills” that were “flooding” the US with foreign workers.
The BBC has contacted all of the companies for comment.
The total number of H-1B visas, a precursor to anyone seeking to go through the PERM process, is capped at 85,000 per year.
A spokeswoman for Microsoft noted to the BBC that “the vast majority of Microsoft employees in the United States are Americans.” The company employs more than 200,000 people worldwide.
Business
ComBank unites stakeholders to prepare agri sector for El Niño
In response to emerging climate risks, the Commercial Bank of Ceylon has launched a proactive initiative through its Development Credit Department, to equip Sri Lanka’s agricultural sector against the potential impacts of the 2026 El Niño climate pattern.
Seeking to move the industry from reactive loss management to early climate preparedness, the Bank partnered with leading state universities to execute a two-part educational and technological intervention in September 2026.
The initiative comes at a critical juncture. Sri Lanka’s Department of Meteorology reported an 80% probability of El Niño conditions emerging between June and August 2026, with effects expected to persist through November and beyond. As highlighted by the Food and Agriculture Organization (FAO), El Niño acts as a risk multiplier for rural livelihoods, food production, and water supply.
To mitigate these threats, the Bank’s initiative creates a collaborative network uniting academic institutions, agricultural extension services, technology providers, farming communities, and the financial sector. The awareness programme on El-Niño and its impact on agriculture was supported by 12 Commercial Bank branches, and engaged with more than 1,100 farmers at 15 diverse locations, including Vattapalai, Muththajankaddu, Palampas, Oddusuddan, Siyambalanduwa, Lindula, Neluwa, Kalawana, Pannala, Madampe, Mannar, Vavuniya and Kumalamunai.
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