Category: Petroleum

Apr.15 (LBO) – Sri Lanka hikes fuel prices by Rs.8.00 from midnight Saturday after a 10-month lag as world crude oil prices raced to US$ 70 per barrel. Petrol at the pump will cost Rs.88.00, diesel, Rs.58.00 and kerosene Rs.38.50, Ceylon Petroleum Corp. (CPC) Chairman Jaliya Medagama said. The Rs.8.00 across the board hike also […]

Apr.11 (LBO) – Sri Lanka’s finance ministry says fuel subsidies are placing an unsustainable burden on the exchequer; in a move analysts expect to be a precursor to an upcoming round of retail fuel price hikes. “In 2005, the government had to spend Rs25 billion to sell fuel below cost,” a statement from the Ministry […]

Apr.06 (LBO) – Sri Lanka has sought a US$500 million loan from Saudi Arabia to double its oil refinery capacity, Energy Minister A H M Fowzie said Thursday. State-run Ceylon Petroleum Corporation (CPC) had presented a concept paper to the Saudi government, when a ministerial delegation visited the oil kingdom recently. “We asked for a […]

April 03 (LBO) — Pelwatte Sugar has applied to the Ceylon Electricity Board to build a 25MegaWatt power plant fired by sugar cane waste, making it the largest dendro power plant proposed in Sri Lanka up to now.The company submitted the application after a recent cabinet decision raised the limit for buying power from dendro […]

Mar. 31 (LBO) – Small hydro company Vallibel Power Erathne, that opens its share issue on April 6, is bullish on Sri Lanka’s hydro and other renewable energy prospects, despite climbing costs. The Vallibel Power group operates 18.9 megawatts in small hydro plants, with plans to go up to 45 MegaWatts over the next few […]

Mar. 23 (LBO) — Sri Lanka’s cabinet of ministers had approved a deal for the state-owned Ceylon Electricity Board (CEB) to team up with India’s National Thermal Power Corporation (NTPC) in a joint venture coal plant, Power Minister John Seneviratne said Wednesday.The cabinet has approved the provisions of a draft Memorandum of Understanding, which will […]

Mar. 22 (LBO) – Sri Lanka has changed the license fee structure for lubricant operators giving players an option of paying a flat fee or a percentage on turnover, Petroleum Minister M H M Fowzie said. -Mel Gunasekera: mel@ Sri Lanka doubled license fees for lubricant operators in January, fixing it at Rs10 million (US$100,000) […]

Mar 22 (LBO) – Lanka Transformers were given a first subsidy payment on Wednesday for generating electricity from trees, under a new scheme to encourage investment in renewable power. Wood or dendro power producers are being given Rs2.50 a unit, to top up current rates of Rs6.00 that the Ceylon Electricity Board (CEB) pays independent […]

Mar 21 (LBO) – Sri Lanka’s Caltex Lanka Lubricants will ship five million litres of lubricant oils into Bangladesh, its first foray into the country and a possible launch pad into other regional markets, top officials said Tuesday. The local arm of US based Chevron Texaco, Caltex dominates the local lube market with about 80 […]

Mar 15 (LBO) – The Treasury inked a deal with China National Machinery and Equipment Corporation on Wednesday, to build a US$ 455 million power plant in Norachcholai. Two decades overdue, the 300 megawatt plant as well as supporting infrastructure will be entirely funded by the Chinese government, Ranjith Fonseka, General Manager for the sole […]

Mar08 (LBO) – The Treasury is to fork out a subsidy for wood based electricity generation, making tariffs for dendro-power higher and more investor-attractive. State utility, Ceylon Electricity Board (CEB) pays private developers who supply electricity to the national grid, on the basis of a Standard Power Purchase Agreement. Suppliers like mini-hydros are paid on […]