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Govt. flayed for jacking up fuel prices despite Rs 120 bn profit since last Sept.

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By Shamindra Ferdinando

The Convenor of ‘Samagi Joint Trade Union Alliance’ Ananda Palitha yesterday (06) alleged that the bankrupt country was being exploited to the hilt by the powers that be and external powers.

The one-time director of the Ceylon Petroleum Corporation (CPC) said that the Wickremesinghe-Rajapaksa government increased diesel and petrol prices on 30th July, in spite of unprecedented profits accrued, since September last year, while claiming there were sufficient stocks available for a period of three months.

The SJB trade union leader pointed out that retired Admiral Ravi Wijegunaratne, who served as the CPC Managing Director till the end of July, this year, was quoted as having told The Island recently that the CPC profits amounted to Rs 73 bn.

The latest price revision was announced close on the heels of the former Navy Commander’s declaration, Ananda Palitha said, adding that thanks to some intrepid persons in the CPC management he was able to obtain related information, the former UNPer said.

In a brief interview with The Island, Ananda Palitha emphasized that from Sept. 2022 to Dec .2022, the CPC earned quite staggering profits, amounting to Rs 40 bn. The situation has further improved, the former CPC employee said, adding that this year’s profits so far were estimated at Rs 84 bn.

Responding to another query, Ananda Palitha said that the CPC was no longer burdened with loans nor procured petroleum products on credit. According to him, the CPC’s unsettled loans amounting to USD 3 bn had been transferred to the Central Bank by the incumbent government.

Pointing out that the People’s Bank was the major creditor, Ananda Palitha stressed the importance of parliamentary oversight in the absence of transparency and accountability in the management process. It would be a grave mistake on the part of the government to go by the profits alone, Ananda Palitha said, urging thorough examination of the process to ensure that the consumers weren’t further burdened.

The latest price revision was announced on 30 July ahead of the arrival of the first consignment of fuel from the latest entrant to the market, Ananda Palitah said.  China Petrochemical Corporation aka Sinopec would benefit by the price revision, the SJB official said. “On 30 July, CPC raised the price of 92 Octane petrol by Rs 20 to Rs 348. Octane 95 was also increased by Rs 10 to Rs 375 a litre. Super Diesel was increased by Rs 12 to Rs 358 per litre. Lanka IOC matched the CPC pricing formula,” Ananda Palitha said.

The second consignment followed and Sinopec now got around 42,000 metric tons of petroleum products here. These products included Petrol 92 Octane, Petrol 95 Octane, Auto Diesel and Super Diesel. The new supplier hasn’t been able to start distribution as stipulated in the agreement, Ananda Palitha said.

Ananda Palitha alleged that the incumbent administration took advantage of the political-economic-social crisis to pursue an agenda of its own. Having repeatedly assured that their primary intention was to ensure the continuous supply of quality fuel at competitive prices, the government called for international tenders to procure the services of recognized suppliers.

The three selected enterprises were M/s Sinopec Fuel Oil Lanka (Private) Limited, F5, Hambantota Maritime Center, Mirijjawila, Hambantota, Sri Lanka, M/s United Petroleum Pty Ltd, 600 Glenferrie Rd, Hawthorn, Victoria 3122, Australia and M/s RM Parks, 1061 N. Main St, Porterville, CA 93257, USA, in collaboration with Shell PLC. However, only Sinopec proceeded as agreed with the government as the other enterprises declined to pay USD 2 mn license fee unless they received an international guarantee in respect of the funds.

Alleging that the Chinese obviously had received favored treatment Ananda Palitha pointed out Sinopec paid USD 2 mn licence fee. Citing a range of concessions received by Sinopec, Ananda Palitha stressed that contrary to the tender procedures, Power and Energy Minister Kanchana Wijesekera subsequently through a cabinet paper granted two far reaching concessions. As a result of ministerial intervention, 1 percent royalty payments in USD had been done away with while the money raised through sales here could be taken out immediately in USD.

Ananda Palitha also questioned the decision to grant BoI status to Sinopec contrary to the tender conditions.

The outspoken trade union activist said that the Chinese entry into the retail market here should be examined against the status of the Lanka IOC operations and the continuing expansion facilitated by Indian interventions at the highest level. In spite of change of governments, Lanka IOC, since its inception here in 2003 sustained growth and received a mega boost with the agreement on Trincomalee oil tank farm finalized during Udaya Gammanpila’s tenure as the Power and Energy Minister.



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Socialist Alliance expresses concern over GoSL’s growing military ties with US

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The Socialist Alliance, comprising the Lanka Sama Samaja Party, the Communist Party of Sri Lanka, the Democratic Left Front and the Sri Lanka Mahajana Party, in a statement issued yesterday (02) strongly and unequivocally condemned the US and Israel for killing the Supreme Leader of Iran, Ayatollah Ali Khamenei, and the latest acts of military aggression carried out by those two countries against Teheran.

“These attacks represent a grave violation of international law, an assault on the sovereignty of a United Nations member state, and a threat for uncontrollable conflict, which may escalate into a third World War,” the Socialist Alliance said.

Text of the statement: ‘The Socialist Alliance is alarmed with the growing military contacts between Sri Lanka and United States in evolving geo-political developments in the context of middle – east war and beyond.

“The Socialist Alliance condemns strongly the National People’s Power (NPP) government’s deepening military cooperation with the United States. The recent transfers of US naval and aviation assets and operational integration into US-led commands represent a dangerous abandonment of the country’s longstanding non-aligned foreign policy. It may lead to Sri Lanka being involved in US President Trump’s illegal aggression against Iran.

“According to the Ministry of Defence the United States has now provided a total of four former US Coast Guard cutters and 10 TH-57 Sea Ranger (Bell 206) helicopters to the Sri Lanka Navy (SLN) and Sri Lanka Air Force (SLAF). These acquisitions have transformed Sri Lanka into one of the largest operators of former US Coast Guard vessels in the Indo-Pacific. While the government frames the transfers as enhancing humanitarian assistance and disaster relief capabilities, the vessels’ operational history and specifications are evidence of a darker purposes.

“The two high endurance cutters of the Hamilton class are offshore patrol vessels (OPVs) most suited for deep-sea surveillance and high-seas operations. They are not merely for coastal defense, the type being commonly deployed with US Navy carrier battle groups. They are designed for power projection and are being used to integrate Sri Lanka into U.S. Central Command (CENTCOM) operations in the Middle East.

The operational deployment of these assets has already begun. The Sri Lanka Navy has committed an OPV to the US-led “Operation Prosperity Guardian” in the Red Sea and Gulf of Aden, operating under Combined Task Force 153 (CTF 153). This task force falls under the Combined Maritime Forces (CMF), which is commanded by a US Navy Vice Admiral who simultaneously serves as Commander of U.S. Naval Forces Central Command (NAVCENT) and the US Fifth Fleet, headquartered in Manama, Bahrain.

“This means Sri Lankan naval officers and ships now operate directly under US-led command structures. It provides the US with a Navy that can operate within its command framework, freeing US assets for higher-end missions, effectively making our forces a subordinate component of the American war machine.

“In a significant escalation of this integration, Sri Lanka assumed command of Combined Task Force 154 (CTF 154) in January 2025. This multinational maritime training task force, operating under the US Fifth Fleet, is responsible for training personnel across the Middle East. This is not as a sign of national prestige, but a mechanism that gives the US-led coalition greater legitimacy and deepens Sri Lanka’s entanglement in American strategic objectives.

“This must also be seen in context of the recent signing of a Defence Memorandum of Understanding (MoU) under the State Partnership Programme (SPP) between the Sri Lankan Armed Forces and the Montana National Guard in November 2025, which is a pretext for embedding US military structures within Sri Lanka.

“This is not non-alignment. This is alignment. It is a complete subservience to the US Indo-Pacific strategy, making a mockery of the principles of sovereignty and peaceful coexistence that once defined our foreign policy.

“This alignment with the US poses an immediate danger, Sri Lanka risks being dragged into the illegal US–Israeli aggression against Iran, our long-standing friend.

“The Socialist Alliance calls for,

1. The immediate disassociation of the Government of Sri Lanka and the Armed Forces from the illegal US-Israeli aggression against Iran.

2. The immediate cessation of all joint military operations with US forces, including the withdrawal of Sri Lankan personnel from US-led commands in Bahrain and the Red Sea.

3. A full public disclosure of all agreements, including the India-Sri Lanka defence MoU and the recent US State Partnership Programme agreement, whose contents remain secret.

4. A parliamentary inquiry into whether these military pacts will lead to a full Status of Forces Agreement (SOFA), potentially granting US forces access to Sri Lankan ports, airports, and military infrastructure.

5. A return to a genuine non-aligned foreign policy that serves the interests of the Sri Lankan people, not the geopolitical ambitions of foreign powers.

“The NPP government was elected on a platform of change, yet it is presiding over the most significant erosion of our sovereignty in decades. We call upon all anti-imperialist, patriotic, and democratic forces to unite in opposition to this drift toward war and the surrender of our national independence.”

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FSP proposes self-governing regions, bicameral legislature to address national issue

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Duminda Nagamuwa addressing the gathering

Frontline Socialist Party (FSP) Propaganda Secretary Duminda Nagamuwa has said that establishment of self- governing regions, bicameral legislature consisting of two Houses and recognition of upcountry Tamils as Sri Lankans would be necessary to solve the national issue. Nagamuwa declared that the FSP was ready to spearhead the fight to achieve those objectives.

Nagamuwa, a senior member of the breakaway faction of the JVP, said so at the fourth annual convention of the party held at the Sugathadasa Indoor stadium on Sunday (01). Nagamuwa stressed that a bicameral legislature was necessary to prevent the passage of laws targeting a particular community.

Alleging that the JVP had disregarded the FSP’s advice not to pursue UNP leader Ranil Wickremesinghe’s strategy, Nagamuwa emphasised that the national problem couldn’t be resolved under the present system.

Declaring that daunting challenges couldn’t be addressed by pursuing neo-liberal policies, the FSPer reiterated their commitment to, what he called, a people-centric economic agenda.

At the onset of his speech, Nagamuwa said that the FSP launched political activities, under extremely difficult circumstances, more than one and half decades ago. Referring to the abduction and the disappearance of Lalith Kumar Weeraraja and Kugan Muruganandan, in Jaffna, on Dec, 9, 2011, Nagamuwa said that they wouldn’t give up their struggle, regardless of the continuing threats.

Commenting on its role in the Aragalaya protest that forced President Gotabaya Rajapaksa out of office, in July 2022, Nagamuwa said that the FSP joined the people at a time some declared their inability to participate in a leaderless campaign. Nagamuwa was referring to the JVP’s initial reaction to the protest campaign. According to Nagamuwa, Ranil Wickremesinghe, having received the presidency through illegal means, sought to proscribe the FSP as he resented their role in Aragalaya.

Nagamuwa also found fault with the JVP for backing Maithripala Sirisena’s candidature at the 2015 presidential election. The ex-JVPer said that his former party simply joined the group that declared that Sirisena’s victory would pave the way for the abolition of the executive presidency. The FSP Propaganda Secretary accused Anura Kumara Dissanayake of following Wickremesinghe’s harmful IMF policy that may cause significant damage to the EPF and ETF funds.

The FSP also attacked the JVP-led NPP government over the ongoing moves to introduce a new anti-terrorism law, in place of the Prevention of Terrorism Act (PTA). That move was meant to suppress democratic rights of the people and right to dissent, Nagamuwa said, while questioning, what he called, the incumbent government’s undisclosed agreements with the US and India. Nagamuwa also pointed out that those who campaigned on an anti-corruption platform were now struggling to cope up with such accusations regarding the coal procurement deal.

Nagamuwa said that either the government should take tangible measures against corruption or the crooks will take hold of the current dispensation. Anti-corruption actions wouldn’t be on political platform at any future election, Nagamuwa predicted.

Nagamuwa said that the NPP had been fragmented and it was only a question of time the current dispensation faced public protests over its policies, particularly giving in to IMF demands and India. The SJB’s Sajith Premadasa and SLPP’s Namal Rajapaksa couldn’t fill the political vacuum caused by the disintegration of the NPP, Nagamuwa said that their move was to empower the people.

Nagamuwa said that those who propagated racism to grab power couldn’t succeed again. According to him such projects couldn’t achieve political objectives, Nagamuwa said while referring to several incidents, including the burning of the Jaffna library and violence in Darga town.

By Shamindra Ferdinando

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GMOA decides to intensify its trade union struggle

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The Government Medical Officers’ Association (GMOA) has called for the immediate establishment of a dedicated service category, titled the “Sri Lanka Medical Service,” to resolve the long-standing crisis within the country’s health sector.

In a media release, following a crucial General Committee meeting, the Association emphasised that while strengthening the free health service is a primary responsibility of any government, the current administration is deliberately evading this duty.

The GMOA alleged that the government has violated written agreements previously reached to address the grievances of medical professionals and the hospital system, leaving them with no choice but to resort to trade union action.

The primary demand of the Association is the granting of Cabinet approval for the proposed “Sri Lanka Medical Service,” a draft of which has already been prepared with the consensus of all relevant stakeholders. In addition to this structural change, the GMOA is pushing for several financial and administrative updates, including the revision of the Disturbance, Availability, and Transport (DAT) allowance and the stabilisation of the extra duty allowance. They also demand solutions for transport issues, in accordance with Circular 22/99, the resolution of research and postgraduate study-related problems, and an urgent update of the approved medical cadre, within the health system. The Association has called for immediate discussions with the Ministry of Finance to resolve these matters within a specific timeframe.

The Association pointed out that despite providing ample time for the Minister of Health, and other responsible parties, to seek solutions through dialogue, the lack of sincere intervention has led to seven ongoing island-wide professional actions. These measures include refusing to issue prescriptions for medicines, equipment, or laboratory tests that are unavailable within the hospital, and withdrawing from voluntary health camps organised by political groups. Furthermore, doctors have ceased being deployed to new wards or units opened without an approved cadre and are refraining from examining patients where adequate facilities and support staff are unavailable to ensure safety and privacy. Specialist doctors have also withdrawn from “covering-up” duties, while official community health data, under the supervision of Medical Officers of Health, is being withheld from the Ministry.

The Association expressed its strong disapproval of the government’s “arrogant” conduct, accusing officials of using mainstream and social media to level false allegations and insults against doctors, instead of engaging in productive discussions. This behaviour was a central topic of discussion during the General Committee meeting held on 25 February, 2026.

Consequently, the GMOA has unanimously decided to intensify its professional struggle, which includes the official withdrawal from the “Arogya” project, starting Monday, March 2, 2026. They characterised “Arogya” as a political showpiece, disguised as a primary healthcare reform, claiming it misuses public tax money and Ministry resources without clear objectives or transparency.

To address the underlying issues in primary healthcare, the GMOA has appointed a special working committee to study existing facility shortages and recommend appropriate service standards. This Committee is expected to submit its report to the Executive Committee within two weeks to determine future steps regarding patient care. While reaffirming its readiness to resolve these grievances through direct discussions with the President and the Health Minister, the GMOA warned that it is prepared to launch a broader, integrated campaign with all health sector stakeholders if the government continues to neglect its responsibility toward the free health service.

By S.K. Samaranayake

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