News
Pricing formula sends fuel prices through the roof
By Rathindra Kuruwita
The Cabinet had introduced a fuel pricing formula, Minister of Power and Energy, Kanchana Wijesekera said, addressing the post-Cabinet Press Conference.
Wijesekera said the need for a fuel pricing formula had arisen due to the current crisis.
“When the previous government introduced a fuel formula, we were in the opposition, and we were critical of it. However, a pricing formula is a must,” he said.
With the implementation of the fuel pricing formula, the price of fuel would be changed once in two weeks or once a month, depending on the requirements, the Minister said.
Minister Wijesekera said that Sri Lanka needed about USD 530 million to import fuel for the month of June.
“However, in recent times we have only collected about Rs. 75 billion Sri Lankan rupees a month. There is a gap of 125 billion rupees. To bridge the gap, we must go to the Central Bank or to the Finance Ministry. They will have to print money to help us. So, they have asked us to cover our costs,” the minister said.
He said that the cost of importing and distributing a litre of 92 octane petrol was Rs. 421.71 and that at the previous price of Rs. 338, the Ceylon Petroleum Corporation (CPC) was making a loss of Rs. 83.71 on each litre.
“We increased prices by Rs. 82. Even with this we incur a loss of over a rupee,” the Minister said.
They had been selling a litre of 95 octane petrol at Rs. 373 when the cost of importing and distributing a litre was Rs. 444. “We have increased the price to Rs. 450 now,” he said.
The Minister said the cost of importing and distributing a litre of auto diesel was Rs. 400.60 and the price had been increased to Rs 400. The cost of a litre of super diesel was Rs. 444.94. With the increase of Rs. 116 a litre, the new price was Rs. 450.
“However, we still sell kerosene at Rs. 87 a litre. The cost is Rs. 362.26, which means we make a loss of Rs. 275.26 per kerosene litre sold. We also asked for a hike in kerosene, but the President, the Prime Minister and some other Ministers said that kerosene was used by several vulnerable groups and that we must not increase prices now,” he said.
However, there was a lot of misuse involving kerosene, especially in the transport sector, the Minister said. A significant number of buses were now run on kerosene although they increased bus fares when diesel prices went up.
“We have asked the Transport Minister to check the emission certificate of these buses and identify whether they have been using kerosene. People ask us how the Lanka Indian Oil Corporation (LIOC) makes profits when the CPC makes losses. It is mainly because we sell kerosene, the IOC doesn’t sell kerosene. We also help government institutions like the Ceylon Electricity Board (CEB), railways, Sri Lanka Transport Board (SLTB) and SriLankan Airlines. And there are many delays in payments. For example SriLankan Airlines alone owes us over 300 million US dollars,” he said.
The Minister said that they had spoken to private bus and bowser associations and asked them to increase fares, based on pricing formulas. Gas stations too had been informed that their credit limit had been increased, he said.
“We have also asked gas stations to increase the limit of fuel allocated for vehicles. Now, gas stations can pump fuel worth Rs. 2,500 to motorcycles, Rs. 3,000 to three-wheelers and Rs. 10,000 to other light vehicles. We will have to enforce these limits for a few more days. We also urge people not to hoard fuel because this will prolong the crisis,” he said.
The Minister added that the police have been raiding places that have been hoarding fuel and selling at higher rates. All gas stations now have security force personnel in civvies and in uniform to ensure the safety of the institution and employees, he added.
“We are also monitoring people who are joining queues, filling up and then taking the fuel out to sell at the black-market. This is especially happening at the IOC gas station in Narahenpita. We are monitoring this situation and soon severe action will be taken against such people,” he said.
News
Coal ash surge at N’cholai power plant raises fresh environmental concerns
Environmental groups have raised fresh concerns over increasing levels of coal ash generated at the Norochcholai Coal Power Plant, warning of serious environmental and public health risks if proper disposal mechanisms are not urgently implemented.
Environmental scientist and Centre for Environmental Justice (CEJ) Chairman Hemantha Withanage, in a strongly-worded comment yesterday, said the growing volume of ash was being treated as a “blessing” by authorities, while, in reality, it posed a major ecological threat.
He told The Island: “More coal and more ash are being celebrated as a blessing. People around Norochcholai should get ready to apply it on their foreheads — and this will affect everyone, regardless of political affiliation.”
Norochcholai, Sri Lanka’s largest coal-fired power station, produces thousands of tonnes of fly ash and bottom ash annually. Environmentalists say a significant portion of this waste is either inadequately stored or disposed of without proper environmental safeguards.
Withanage said coal ash contains toxic heavy metals, such as mercury, arsenic, cadmium and lead, which can contaminate soil, groundwater and nearby marine ecosystems.
“Coal ash is not ordinary waste. It is a hazardous industrial material. If it leaks into the environment, it can enter food chains and drinking water sources,” he said.
He warned that communities living around Norochcholai were already exposed to air pollution from ash particles, especially during windy conditions, leading to respiratory problems and long-term health risks.
CEJ has repeatedly called for a transparent national policy on coal ash management, including safe storage facilities, independent monitoring, and exploring environmentally responsible reuse options under strict regulation.
Withanage stressed that while some countries recycle coal ash in construction materials, Sri Lanka lacks the regulatory framework and technical safeguards to do so safely.
“Without proper standards, recycling can become another pathway for toxic exposure,” he cautioned.
Environmentalists are also urging the government to accelerate the transition away from coal towards renewable energy, arguing that continued dependence on coal will only multiply waste and health burdens in the coming years.
Norochcholai supplies nearly one-third of the country’s base-load electricity, but has remained controversial, since its commissioning, due to repeated technical failures, marine pollution concerns and its long-term environmental footprint.
“With climate change and public health risks, coal is a problem we should be reducing, not normalising,” Withanage said. “Otherwise, the ash will eventually come back to all of us.”
by Ifham Nizam
News
Akuregoda double murder: Suspected gunman in custody a duly discharged ex-soldier
The police have arrested one of the two gunmen involved in the killing of Attorney-at-Law Buddhika Mallawarachchi and his wife, at Akuregoda, on 13 February. The suspect has been identified as a legally discharged soldier.
A team of the Homagama Divisional Crime Investigation Bureau personnel apprehended the ex-soldier at Delduwa, Ambalangoda, on Saturday, around 6.20 p.m. Sources said that the suspect, identified as drug addict, had admitted that he was the one who fired the T-56 assault rifle in the attack. The other attacker used a pistol. He is still at large.
Police identified the suspect in custody as a 46-year-old resident of Baddegama. He made use of a general amnesty offered to deserters, after the conclusion of the war, to secure legal discharge. He was with a friend at Delduwa, Ambalangoda, and worked on a nearby cinnamon estate.
The suspect has been detained under PTA and the police given the power to hold him for 90 days.
The police recovered his mobile phone.
The killers arrived at Akuregoda, in a car, and fled the area after killing the couple. The ex-soldier had got off the car, near Kottawa, and then took a bus to Dehiwala, from where he proceeded to Ambalangoda.
Under interrogation, the suspect has revealed that he carried out the hit on a contract given by Karandeniye Sudda, a notorious underworld figure, who paid him Rs 1 mn and provided a quantity of heroin.
The ex-soldier is among nine persons taken into custody in connection with the ongoing investigations into the Akuregoda double murder.
Among those taken into custody are two brothers from Athurugiriya who allegedly transported one of the firearms used in the killing and provided information about the lawyer’s vehicle. Another person, identified as “Polgasowita Dila,” believed to have coordinated the Akuregoda hit, was also taken into custody during preliminary investigations.
The Police Special Task Force’s Southern Province Special Operations Unit arrested six more suspects over the weekend at Ethkandura, Kahaduwa, for aiding and abetting the double murder
Investigations have further revealed that the individual, who moved the gunman to a hotel in Pannipitiya, had fled to Thailand, via the Bandaranaike International Airport (BIA).
News
Those who hid under beds fearing Gotabaya, now talking big: Justice Minister
Justice Minister Harshana Nanayakkara said in Parliament on Friday that some Opposition politicians who had not even dared to mention the name of Gotabaya Rajapaksa during the Rajapaksa era were now acting like heroes.
Minister Nanayakkara said so when SJB Kalutara District MP Ajith P. Perera asked whether the government would reopen cases against Gotabaya Rajapaksa, who no longer enjoyed presidential immunity. The former UNP Deputy Minister asked the Justice Minister whether the NPP, as promised during the polls campaign, had resumed hearings into 42 cases filed against the Rajapaksas and others.An irate Minister Nanayakkara said that those who had been under their beds those days were now acting as if they were heroes. He refused to answer MP Perera’s question. (SF)
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