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Loss of vital byproducts of refinery having devastating impact on other sectors: FSP

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By Rathindra Kuruwita

Byproducts of the Sapugaskanda oil refinery such as furnace oil, jet fuel, kerosene and naphtha are vital for many Sri Lankan industries and its shutdown will have a devastating impact on various sectors, Frontline Socialist Party’s (FSP) Education Secretary, Pubudu Jayagoda says.

Jayagoda said Minister of Energy Udaya Gammanpila had stated that importing refined petrol and diesel was much more economical than purchasing crude oil.

“We do not have crude oil because the country doesn’t have dollars. The CPC floated over five tenders and there were no international sellers who wanted to supply us crude. In fact, sellers had not responded to the coal tenders floated by Sri Lanka and this might lead to a power shortage at the beginning of next year,” he said.

The Ceylon Electricity Board (CEB) has been able to generate a significant portion of electricity with hydropower because of heavy rains, he said adding that by January 2022, the people might have to experience several hours of power cuts, Jayagoda said.

“Sri Lanka spent a significant amount of money on oil imports. In 2019, when a barrel of crude oil was selling at around USD 69, we spent about USD 3.67 billion to import oil. In 2020, we spent about USD 2.32 billion because the price of a barrel of crude oil dropped to about USD 45. Right now the price of a barrel of crude oil is about USD 80, and we will spend about USD 4 billion this year. There are some who believe that the price of a barrel will go up to USD 120 by the end of 2022,” he said.

Jayagoda added that while Sri Lanka had no control over world crude oil prices, there were several ways that the CPC could improve the situation through long-term planning. In 2020, there was a significant drop in oil prices and Sri Lanka could have kept a buffer stock, he said. There are oil storage tanks in Muthurajawela and Trincomalee. However, instead of renovating the tanks in Trincomalee, the government is planning to sell them, he said.

“Fifteen oil tanks in Trincomalee have been given to Indian Oil Corporation (IOC) on lease. However, the agreement expires at the end of the year, and we can take them back. However, the government not only plans to give them back to the IOC, but they are planning to place over 70 tanks under a company that India has a majority stake in. An understanding was reached on this during the recent visit by the Indian Foreign Secretary. The ‘talks’ were so successful that the Indian delegation took some photos opposite the tanks,” Jayagoda said.

The FSP Education Secretary said that the Sapugaskanda Oil Refinery had not been expanded since its inception. Even without any funds to develop its infrastructure, the refinery played a significant role in supporting many industries, he said.

“So, around 60% are byproducts of refining are furnace oil, black oil, jet fuel, kerosene and naphtha. The CPC makes a lot of money by selling them. By mid-1990s, the CPC had been able to pay for its crude oil imports by selling the byproducts. However, successive governments have ruined this sources income. The fact that the CPC still makes money from them shows that there are cash cows,” he said.

Jayagoda said that ultimately the government would end up spending more dollars importing furnace oil, jet fuel, kerosene, and naphtha. This is akin to the disaster created by banning the import of urea, he said. Although the government saved some money by bringing a halt to import of urea, it spent a large amount of dollars importing compost, potassium, and nitrogen.

“A number of state and private companies depend on the byproducts of refining. Earlier the CEB bought black and furnace oil from the CPC. Now, it’s planning to import them. We will probably do the same with kerosene, naphtha and jet fuel. The question is whether we have dollars? If the CEB can’t purchase these products that will affect the production of 200 MWs of electricity,” Jagoda said.



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Food Security is vital to ensuring a Nation’s Sovereignty and National Security – Prime Minister

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Prime Minister Dr. Harini Amarasuriya stated that, in the face of the turbulent global environment prevailing today, agriculture is confronting significant challenges, and that food security is a crucial factor affecting a country’s stability, sovereignty, and national security.

The Prime Minister made these remarks on 28 of April at the Waters Edge, Battaramulla, while addressing the National Youth Agripreneur Showvase and B2B connect Conference organised under the Smallholder Agribusiness Partnership Programme (SAPP), funded jointly by the International Fund for Agricultural Development (IFAD) and the Government of Sri Lanka. The programme aims to empower rural youth to engage in agribusiness ventures.

Addressing the gathering, the Prime Minister further stated:

“I commend the organisers for successfully conducting this event despite the various challenges faced by the country.

You are playing an important role in both the agricultural sector and the national economy. I am happy to witness talented agri-entrepreneurs such as yourselves.

Food security, founded on agriculture, directly impacts a nation’s national security. Concepts such as ’Grow and Sell’ contribute significantly to strengthening the production economy.

During the COVID crisis, as well as amidst the current conflicts in the Middle East, it has become evident that if countries lack food security, their economies become vulnerable. Even a minor decision taken by leaders can disrupt supply chains.

Climate change also poses serious challenges to agriculture. When climatic and environmental conditions become difficult to predict, agriculture itself is threatened. In such a context, your contribution as agri-entrepreneurs goes beyond earning an income. It is also a direct contribution to the nation’s food security and, consequently, to national security. Your talents and innovations are important not only to yourselves, but to the people of the country as a whole”.

The Prime Minister also expressed gratitude for the support extended by institutions such as IFAD and SAPP, and conveyed best wishes to the country’s creative entrepreneurial youth.

The occasion was attended by the Minister of Agriculture, Livestock, Land and Irrigation K.D. Lalkantha; Deputy Minister of Industry and Entrepreneurship Development Chathuranga Abeysinghe; Secretary to the Ministry of Agriculture, Livestock, Land and Irrigation D.P. Wickramasinghe; Additional Secretary of the Ministry Lathisha Priyanthi; Director of SAPP Sunimal Chandrasiri; and several other distinguished guests.

(Prime Minister’s Media Division)

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Explanation sought from AKD on ‘Russian energy supplies’

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Wasantha

The National Patriotic Front (NPF) has said the NPP government owes the public an explanation regarding the status of negotiations with Russia to secure energy supplies.

NPF General Secretary Dr. Wasantha Bandara said that Sri Lanka was in such a desperate situation, the current dispensation couldn’t, under any circumstances, miss the opportunity to reach consensus with Russia in this regard.

Dr. Bandara was responding to The Island query in the wake of the NPF, in a letter, dated 27 April, warning President Anura Kumara Dissanayake of the catastrophic consequences for the country if it failed to obtain energy supplies on affordable terms.

Alleging that various interested parties, within the government, and the Western diplomatic community, hindered the successful conclusion of an agreement/agreements between Sri Lanka and Russia, Dr. Bandara pointed out that those in authority seemed to have conveniently forgotten that Sri Lanka received two Russian delegations. In late March and early April 2026, Russian Deputy Energy Minister Roman Marshavin and Deputy Foreign Minister Andrey Rudenko, visited Colombo where the focus was on long-term fuel supplies, investment, and tourism.

Dr. Bandara said that Anura Karunatilleke, who succeeded Energy Minister Kumara Jayakody, embroiled in the coal scam, was yet to meet the Russian Ambassador in Colombo Levan Dzhagaryan, who wants to explore ways and means of expediting the process. Instead,

British High Commissioner Andrew Patrick meets Energy Minister
Karunatilleke and Deputy Civil Aviation Minister Janaka Ruwan Kodithuwakku

Karunatilleke and Deputy Civil Aviation Minister Janaka Ruwan Kodithuwakku recently met British High Commissioner Andrew Patrick, Dr Bandara said. Referring to BHC post that they discussed how Sri Lanka could maximise its ports and airports, including through existing and new UK partnerships, alongside UK support for green energy, particularly offshore wind, Dr. Bandara emphasised that the UK and EU struggling to meet their own energy demands couldn’t help Sri Lanka.

In the NPF letter to President Dissanayake, Dr. Bandara alleged that Sri Lanka could secure a barrel of Russian crude for USD 150 to 160 whereas procurement through India cost a lot more. The NPF emphasised the responsibility on the part of the NPP government to maintain close relations with China, Russia and Iran, Sri Lanka’s long-time friends.

The NPF has urged President Dissanayake to intervene without further delay to ensure national interest in this matter is given utmost importance.

Dr. Bandara pointed out that those in charge of coal procurement told a parliamentary committee how the trouble started after Sri Lanka moved from Russian coal to South African products through disgraced Indian firm Trident Chemphar Ltd. Dr. Bandara asserted that political parties, represented in Parliament, should take up this matter vigorously and shouldn’t be distracted by vile NPP strategies.

By Shamindra Ferdinando

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US reiterates its commitment to enhancing relations with Northern Sri Lanka

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The US Embassy in Sri Lanka, on April 26, celebrated the 15th anniversary of American Corner Jaffna (ACJ), highlighting its longstanding role in connecting communities in Northern Sri Lanka with the United States through programmes focused on education, innovation, and American values. The Embassy also inaugurated the new “Freedom 250 Pavilion,” part of the global Freedom 250 initiative commemorating 250 years of American independence, the Embassy said in a press release issued yesterday (27)

Speaking at the event, US Embassy Public Affairs Officer Menaka Nayyar said: “American Corner Jaffna reflects the United States’ commitment to sharing American values, culture, and ideas with the people of Northern Sri Lanka. On July 4, 2026, the United States will celebrate 250 years of independence—a milestone that highlights our founding ideals and partnerships around the world, including here in Jaffna. Through the new Freedom 250 Pavilion and our programs, we invite the community to engage with the United States and learn more about our history, society, and innovation.”

In 2025 alone, ACJ hosted nearly 400 programmes, reaching more than 10,000 participants. Located at No. 23, Athiyady Road, Nallur, Jaffna, American Corner Jaffna provides free access to resources on the United States, English language learning, educational advising, and skills-based programming.

Established in 2011, in partnership with the Jaffna Social Action Centre, American Corner Jaffna was created as a platform for direct engagement with local communities—offering opportunities to learn about the United States while building skills in critical thinking, leadership, and innovation.

Launched in the post-conflict period, the Corner has played a key role in connecting emerging leaders in Northern Sri Lanka with ideas, resources, and opportunities rooted in American experience and perspectives. The Freedom 250 Pavilion expands ACJ’s capacity to host interactive programmes and community events, reinforcing the Corner’s role as a dynamic space for collaboration, dialogue, and learning.

Individuals can take part in free programmes by visiting American Corner Jaffna in person, contacting the Corner at 021 222 0665 or via email at info@americancornerjaffna.com, and following American Corner Jaffna on Facebook (facebook.com/amcornerjaffna) for the latest updates on events, registration, and membership opportunities.

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