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CAA reverses decision to file legal action against Litro Gas

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For introducing controversial hybrid LPG cylinder

by Suresh Perera

The Consumer Affairs Authority (CAA) has backtracked on moves to file legal action against Litro Gas Lanka for launching 18-litre premium hybrid domestic LPG cylinders in contravention of consumer laws.

The Chairman was not in favor of moving court on the matter due to political pressure, a senior CAA official said.

The move to desist from legally challenging Litro’s launch of the new hybrid cylinder to the market without the regulator’s approval comes in the backdrop of State Minister Lasantha Alagiyawanna’s intervention to allow the controversial product to be sold to consumers at its introductory price of Rs. 1,395.

“What’s the purpose of a regulatory body if politicians can interfere with CAA’s legally mandated functions to protect the interests of consumers?”, the official asked.

The selective application of the law will boil down to seeking approval from politicians on whether legal action should be instituted when even a grocery store is raided for violating regulations, he said.

“The law is the same, and if are to take punitive action by favor, then the CAA will be a dead duck bowing down to political dictates”, he opined.

Litro Gas has come under fire for introducing new hybrid domestic cylinders for Rs. 1,395 in spite of the weight being reduced by three kilograms in comparison to the regular 12.5 kilogram cylinders priced at Rs. 1,493.

“We have already received hundreds of complaints about a shortage of 12.5kg cylinders in the market as Litro is trying to push its new hybrid cylinders”, the official said.

“This is unethical”.

A resident of Kirillawala in the Gampaha district complained that only hybrid LPG cylinders were available over the past few days.

“I was told by the Litro dealer in the area that stocks of 12.5kg regular cylinders will not be received for some time”, he said.

However, Litro Gas Chairman/CEO, Anil Koswatte assured that there was no dearth of LPG in the marketplace.

When told that technically there may be no shortage of cooking gas, but on whether regular 12.5kg regular cylinders were also available apart from the new 18-litre premium hybrid product, he said that there may be delays in deliveries due to the prevailing situation, but both domestic cylinders are freely available.

Consumers can also order online or by calling 1311 for delivery, he said.

The LPG production process is continuing uninterrupted despite many challenges posed by the pandemic. Workers adhere to health safety regulations and are regularly screened and provided accommodation to prevent contact with outsiders who may be infected, he continued.

With ballooning global LPG prices, Litro Gas Lanka incurs Rs. 300 to 400 million in losses per day as the government has turned down an appeal for a Rs. 700 price increase on domestic cylinders.

The new hybrid 18-litre domestic cylinder was introduced to the market to cut losses as LPG is now sold below procurement cost.

Asked about the claim in a YouTube video shared on social media that he draws a remuneration of Rs. 3 million per month at a time Litro is facing a financial crunch, Koswatte declined to comment on what he termed as “gossip to sling mud at him”.

The presenter of the YouTube program, Chapa Bandara, claimed that Koswatte draws a monthly salary of Rs. 2 million from Litro Gas Lanka Limited and Rs. 1 million from Litro Gas Terminal Lanka Ltd.

“I am not paid with government funds”, he noted, while pointing out that both are private companies.

“My salary is a matter for the shareholders to decide on”, he stressed, while adding that his salary should not be of concern to anybody as it’s purely a private matter.

The Chairman said that if he responds to tittle-tattle, it will create the impression that he also thrives on gossip.

Presenter Bandara also asserted that a woman who served as the General Manager at the time Koswatte was Chairman of Laksala has been appointed Director (Human Resources) of Litro Gas.

 

 



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Chemmani mass graves: Govt to seek international forensic help

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ECONOMYNEXT –International assistance for forensic analysis of the remains unearthed at the Chemmani mass grave will be sought when the need arises, Sri Lanka’s Minister of has Justice said after opposition legislators urged the government to seek help.

“We have spoken to embassies, we have made all the local finances necessary for excavation. But when it comes to DNA analysis, depending on the type and nature we will definitely have to go for internationally recognised places,” Harshana Nanayakkara said in response to a query in Parliament.

Nanayakkara said that request for international expertise is dependant on the direction the courts give on what needs to be done, after which they will decide which agency best suits the proceedings.

The minister also recognised that local expertise is lacking in the forensic department, and the need to train local staff with the help of international experts.

Opposition MPs argued that the present need is direct help in forensics from international entities, rather than the longer term need to train the staff on analysis.

Currently, the investigation is in the excavation and exhumation stage, conducted by archaeologist Raj Somadeva and his team.

The existence of the Chemmani mass grave was first brought to light in 1998, during the trial of the rape and murder of schoolgirl Krishanti Kumaraswamy.

In February 2025, construction workers found remains near the Sinthupathy Cemetery, and following investigations ordered by the Learned Magistrate, the mass grave was discovered.

412 bodies have been discovered, with 409 bodies recovered as of 23 June 2026. According to the Office on Missing Persons, this is the 17th recorded mass grave in Sri Lanka.

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ADB approves $57.4 million package to boost Lanka’s rooftop solar drive

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The Asian Development Bank (ADB) has approved a $57.4 million financing package to help Sri Lanka expand access to affordable clean energy and reduce greenhouse gas emissions through a large-scale rooftop solar aggregation and virtual net metering programme.

The financing comprises a $35 million concessional loan, $16.9 million in grants from the European Union and $5.5 million from the Japan Fund for the Joint Crediting Mechanism. With additional contributions from implementing agencies, the total estimated cost of the project is $80.5 million.

Under the Rooftop Solar Aggregation and Virtual Net Metering Project, two state-owned utilities — Electricity Distribution Lanka (Private) Limited and Lanka Electricity Company (Private) Limited — will introduce a scalable model to collect electricity generated from large rooftop solar installations and allocate the benefits virtually among eligible consumers.

The initiative will allow consumers to access solar power benefits without having to install individual rooftop solar systems.

ADB Country Director for Sri Lanka Shannon Cowlin said the project would broaden access to affordable renewable energy while strengthening the resilience and inclusiveness of the country’s power sector.

She said the initiative would also support grid modernisation and digital transformation, while creating employment opportunities and encouraging greater participation of women and youth in the clean energy sector.

The project is expected to benefit micro, small and medium enterprises and community organisations that face financial or space constraints in installing their own rooftop solar systems. Through a social compensation mechanism, eligible groups will receive reductions in electricity costs under the virtual net metering system.

The programme will support around 25 megawatt-peak of rooftop solar capacity while strengthening distribution networks, improving digital capabilities and preparing the national grid to accommodate higher levels of distributed renewable energy.

A dedicated training facility will also be established under the project to develop green skills, enhance women’s participation in the sector and build technical expertise in advanced low-carbon technologies.

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Bond scam case against Mahendran, Ravi K fixed for July 22

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The Colombo High Court on Friday ordered that proceedings in the case filed against 11 defendants, including former Central Bank Governor Arjuna Mahendran and former Finance Minister Ravi Karunanayake, over alleged irregularities in the Central Bank bond auction be taken up again on July 22.

The case was called before Colombo High Court Judge Manjula Thilakaratne, who informed court that the Trial-at-Bar bench appointed to hear the matter had not been properly constituted.

Accordingly, the judge directed that the case be recalled on July 22 for further proceedings.

The Attorney General has filed indictments under the Public Property Act against 11 accused, including Mahendran, Karunanayake, Perpetual Treasuries Limited and its directors Arjun Aloysius and Geoffrey Aloysius.

The accused have been charged over alleged irregularities connected to a Treasury bond auction conducted by the Central Bank in March 2016.

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