LNP – CPC chairman explains fuel issue, denies crisis

The new formula to be introduced for fuel distributors will provide them with a higher benefit than the previous 3% discount, according to the Chairman of the Ceylon Petroleum Corporation (CPC), D.J. Rajakaruna.

Accordingly, the CPC recently decided to abolish the 3% discount provided to fuel distributors and replace it with a new formula for benefits.

In protest of this decision, the Fuel Distributors’ Association stated yesterday (28) that it had decided to refrain from ordering fuel starting today (01).

However, the CPC further stated that this decision will not cause a fuel crisis in the country.

Chairman D.J. Rajakaruna explained that the benefit provided to fuel distributors will increase through the new formula.Â

“The first 15 loads are paid 6.96. The next 15 loads are paid 6.62. Now they say that there are more people who do about 25 loads. They are still earning about Rs. 1 million. They say that they cannot even live on that after paying their salaries.”

“Under what we are introducing, someone who does 25 loads gets 6.69. Then they get Rs. 1,103,850,” he said.