Distributors smuggle Rs10mn worth fuel on the day prices hiked

May 17, 2018 (LBO) – Ceylon Petroleum Storage Terminal (CPSTL) has incurred a loss of around 10 million rupees on the day fuel prices hiked.

Initial investigation has revealed that 52 bowsers from Kolonnawa and 22 bowsers from Muthurajawela terminal have released fuel using the ‘Same Day System’.

As per the accepted practice, same day orders should be temporally suspended from the time an announcement made by the government of a price hike until it takes place.

Government decided to increase fuel prices by midnight on 10th May 2018, which was declared in the morning of the same day.

Petroleum Resources Development Minister Arjuna Ranatunga said he initiated a special investigation into the incident where CPSTL has issued fuel using incorrect procedure.

“There are customers who have paid for fuel the day before price hiked, but not received stocks and customers who paid and received stocks within hours on the same day,” Ranatunga said.

“We are conducting an investigation to identify the offenders. We will hand over further investigations to FCID.”

Investigations have also disclosed that some regional fuel depots have also released stocks of fuel following the ‘Same Day System’.