Sri Lanka to set up crude oil price stabilization fund

Mar 19, 2020 (LBO) – Sri Lanka will set up a crude oil price stabilization fund to absorb the shocks in global price fluctuations without changing the local oil prices, Co-cabinet Spokesman Bandula Gunawardane said.

The government is proposing to collect 200 billion rupees for the fund to facilitate the delayed payments of the Ceylon Electricity Board.

According to the Minister, the electricity bill would be reduced at times when the global prices are lower because of the crude oil price stabilization fund.

However, the government expects to keep the local oil prices stable for a certain period of time without changing it monthly with a price formula.