News
Gammanpila asks govt. to reveal CPC losses since 2008
By Rathindra Kuruwita
The government must reveal the losses incurred by the Ceylon Petroleum Corporation (CPC) since 2008 due to the prevention of cost-reflective pricing, and tell the people how it planed to recover the losses, former Minister of Energy, and leader of Pivithuru Hela Urumaya (PHU), Udaya Gamnapila, said.Gammanpila said that CPC trade unions alleged that the government could reduce the price of petrol and diesel by Rs. 50 to Rs.100 rupees.
“The government can say they could have reduced more, given the drop in world market prices. However, because the price had not reflected costs since 2008, losses have accumulated. They can say that they want to recover losses. This is a valid argument,” Gammanpila said.On the other hand, Sri Lanka had started paying a premium for fuel in recent months, he said. The premium is the difference between the market oil price and the estimated price a country receives the fuel. This can include insurance and shipping costs, he said.
“Until quite recently, we had paid around 1.5 US dollars a barrel as a premium. Now, we pay 24.5 US dollars a barrel as premium. We don’t carry out competitive bidding. We accept unsolicited proposals. If we are not reducing prices because of these self-inflicted losses, then there is no justification for keeping the prices up.
“When Mangala Samaraweera was the Finance Minister, he introduced a price formula. I wanted to secure his formula and they didn’t give it.”
The PHU leader said he had tried to convince the Gotabaya Rajapaksa administration from October 2020, that the country would face a foreign exchange crisis, which would bring about an energy crisis and destroy the economy.
“I kept on warning, but they didn’t care. In June 2021, I increased the price of diesel by seven rupees and the Sri Lanka Podujana Peramuna (SLPP) Secretary brought a no-confidence motion against me. Then, we went before the public and warned them that there was a looming foreign exchange crisis and that we needed to reduce consumption and get ready. I presented numbers and evidence. Some ministers then attacked me mercilessly. Minister Johnston Fernando said that Sri Lanka had enough dollars and that Gammanpila was scaring people. I was making mountains out of mole hills, they said. Now, we know who was telling the truth,” he said.The Sri Lankan government was the country’s biggest company, he said. It employed close to 1.5 million people and the annual expenditure amounted to trillions of rupees, Gammanpila said.
“The Cabinet is the board of directors of this company. When it is manned by the least bright people, it is obvious that things will go pear-shaped. I can understand some ministers not seeing the coming crisis. However, when someone warns you about the coming crisis with evidence, and you keep on denying the reality, you shouldn’t be a decisionmaker. Now, I hear Johnston is desperate to come into the Cabinet again and that he is pressuring the President,” he said.
Gammanpila said that from 2021 he had insisted that Sri Lanka must reduce non-essential imports and focus on ensuring a continuous supply of fuel, gas, food and medicine.
“If we can’t ensure a smooth supply of the above-mentioned items, nothing will work. Others MPs, academics and unionists also warned. I wanted to introduce a quota system for fuel in November 2021. I was not the first to suggest this. The then Minister Vasudeva Nanayakkara suggested this a few months before. Basil Rajapaksa discarded my proposals. President Gotabaya Rajapaksa removed three He apparently didn’t want people to panic.”
Latest News
Sun directly overhead Dehiwala, Maharagama, Pannipitiya, Padukka, Eheliyagoda, Maskeliya, Siyambalanduwa and Pottuvil at about 12:13 noon. today (07th)
On the apparent northward relative motion of the sun, it is going to be directly over the latitudes of Sri Lanka during 05th to 15th of April in this year.
The nearest areas of Sri Lanka over which the sun is overhead today (07th) are Dehiwala, Maharagama, Pannipitiya, Padukka, Eheliyagoda, Maskeliya, Siyambalanduwa and Pottuvil at about 12:13 noon.
Latest News
Heat Index at Caution Level in the Northern, North-central, North-western and Eastern provinces and Monaragala and Hambantota districts.
Warm Weather Advisory Issued by the Natural Hazards Early Warning Centre Issued at 3.30 p.m. on 06 April 2026, valid for 07 April 2026.
The Heat index, the temperature felt on human body is likely to increase up to ‘Caution level’ at some places in the Northern, North-central, North-western and Eastern provinces and Monaragala and Hambantota districts.
The Heat Index Forecast is calculated by using relative humidity and maximum temperature and this is the condition that is felt on your body. This is not the forecast of maximum temperature. It is generated by the Department of Meteorology for the next day period and prepared by using global numerical weather prediction model data.

Effect of the heat index on human body is mentioned in the above table and it is prepared on the advice of the Ministry of Health and Indigenous Medical Services.
ACTION REQUIRED
Job sites: Stay hydrated and takes breaks in the shade as often as possible.
Indoors: Check up on the elderly and the sick.
Vehicles: Never leave children unattended.
Outdoors: Limit strenuous outdoor activities, find shade and stay hydrated.
Dress: Wear lightweight and white or light-colored clothing.
Note:
In addition, please refer to advisories issued by the Disaster Preparedness & Response Division, Ministry of Health in this regard as well. For further clarifications please contact 011-7446491.
News
SJB: Litro, Laugfs making a killing by selling old stocks at inflated prices
… as Lakvijaya falters, power plants need over 2 mn litres of fuel daily
By Shamindra Ferdinando
The SJB yesterday (06) said that the NPP government owed an explanation as to why Litro Gas Lanka Limited and Laugfs Gas PLC were allowed to increase the prices of old stocks of domestic gas. Litro and Laugfs have increased the prices of 12.5 kg cylinder by Rs. 775 to Rs. 4,765 and by Rs. 1,070, to Rs. 5,700, respectively.
Convener of the Samagi United Trade Union Force (SUTUF) and the Samagi Joint Trade Union Alliance Ananda Palitha said they were aware of the state-owned gas supplier Litro and the private sector enterprise making a killing at the expense of consumers.
Acknowledging that gas and fuel prices had to be increased in view of the disruptions to the regular supply route through Hormuz Strait, the former petroleum sector worker emphasised it wouldn’t be fair, under any circumstances, to apply a new pricing formula to old stocks.
Taking advantage of the new West Asia war, the government (CPC) and three foreign private suppliers, namely Lanka IOC, Sinopec and R.M. Parks, increased prices of old fuel stocks, Palitha alleged, adding that his accusations, previously reported in the front-page of The Island, haven’t been disputed.
Responding to our queries, Palitha pointed out that Sri Lanka experienced gas supply disruption even just before the eruption of the Iran war.
Warning that further electricity tariff increases were around the corner due to failure on the part of the country’s only coal-fired power plant Lakvijaya to produce the required electricity, Palitha blamed the developing crisis on the use of low-quality coal for power generation.
Referring to recent media reports of fuel powered power plants needing 800,000 litres, daily, to meet the shortfall due to the crisis at Lakvijaya, Palitha said that the actual requirement was much more. Kelanitissa Combined cycle power plant alone required 1.3 mn litres of diesel daily, Palitha said, alleging the country was paying a very heavy price for corruption and mismanagement by the current dispensation.
According to Palitha Kerawalapitiya (Yugadanavi) Combined Cycle Power Plant required 750,000 litres of black oil/furnace oil. Together, those two power plants, namely Kelanitissa and Yugadanavi, required over 2 mn litres per day, the trade unionist activist said, warning the government of frightening economic consequences.
Having explained the requirements of other power stations in operation, Palitha said that the situation was so bad that the CEB, about three days back, began buying fuel worth Rs 1.7 bn from the Ceylon Petroleum Corporation on credit. Responding to another query, Palitha said that though the Iran war was having a major impact here, the NPP should accept responsibility for the corrupt coal deal and horrendous mismanagement of the power sector.
The government sought to downplay the crisis, claiming that Sri Lanka received Indian and Chinese support to meet its energy requirements, Palitha said. However, foreign powers were exploiting the situation here to advance their agendas, Palitha added, urging the government to come out clean.
India was increasing its hold on Sri Lanka, the trade union activist said, noting that Sri Lanka had recently declared its intention to develop a section of the Trincomalee oil tank farm together with India. According to Palitha, Indian Prime Minister Narendra Modi himself had asked President Anura Kumara Dissanayake to fast-track the project.
-
Features3 days agoRanjith Siyambalapitiya turns custodian of a rare living collection
-
News6 days ago2025 GCE AL: 62% qualify for Uni entrance; results of 111 suspended
-
News3 days agoGlobal ‘Walk for Peace’ to be held in Lanka
-
Business7 days agoHour of reckoning comes for SL’s power sector
-
Editorial6 days agoSearch for Easter Sunday terror mastermind
-
Opinion5 days agoHidden truth of Sri Lanka’s debt story: The untold narrative behind the report
-
Editorial7 days agoIdeological confusion and identity crisis
-
Opinion6 days agoIs there hope for Palestine?
