Sri Lanka’s Litro has no plans to increase gas prices; Says no shortage

litro

Jun 05, 2015 (LBO) – Sri Lanka’s Litro Gas Lanka, the largest importer and supplier of Liquid Petroleum Gas (LPG) in the Island, says that there will be no immediate price revision by the company and there is no gas shortage in Sri Lanka.

“There are no plans to increase the price of gas in the immediate future,” Shalila Moonasinghe, Chairman, Litro Gas Lanka said.

“Although the opposition is trying to show an artificial shortage, there is no shortage of gas, but this is scaring some people and they are buying and storing gas.”

Sri Lanka’s new administration reduced, the price of a 12.5 kilogram gas cylinder by 300 rupees to 1,590 rupees in January 2015, as a promise to voters.

However there were speculation in the island saying that there will be a shortage of gas, since the companies do not like to sell gas for a lower price.

Litro Gas Lanka import 200,000 tons of gas annually and expects a growth of 15 – 20 percent by end 2015.

The company have 31 distributors in Island wide with over 4,000 dealer points.

The Company says it is scheduled to sign a new contract later this week with a European supplier following the end of a contract with Oman Trading International on 31 May 2015.

“The company made a loss of one billion rupees in the past two years due irregularities in a contract with Oman Trading International signed under the previous regime,” Moonasinghe said.

“This contract was signed in 2011 initially and was renewed without following the proper tender procedure and we are now investigating this and also plan on conducting an audit soon.”