Minor Adjustment

August 1, 2006 (LBO) – Sri Lanka’s state-owned Ceylon Petroleum Corp has raised fuel prices after a two-month lag to offset a surge in global oil prices, Petroleum Minister A H M Fowzie said. From midnight Tuesday:
¢ Gasoline costs 96.00 rupees (from 93.00 rupees)
¢ Diesel costs 63.00 rupees (from 61.00 rupees)
¢ Kerosene costs 45.50 rupees (from 43.50 rupees) “We have not passed on the full costs, though global oil prices are over 75 dollars now,” Fowzie told LBO.

Earlier last month, Ceypetco sought a 5-10 rupee revision on fuel prices, but the government delayed the decision due to its political sensitive nature, Fowzie said.

The price revision comes a day after Indian oil retailer Lanka IOC revised prices across the board by 5.00 rupees.

A net oil importer, the island is expected to pay over 2.0 billion dollars this year, up from 1.6 billion last year, as global prices hover around 75 dollars a barrel.

Motorists guzzle around 30 million litres of petrol, 130 million litres of diesel and 18 million litres of kerosene each month.