(UTV|COLOMBO) – Minister of Power and Energy Mahinda Amaraweera says the Cabinet of Ministers who are due to convene today will discuss at length the possibility of reducing the prices of fuel.
The Minister said the government hopes to grant maximum benefits to the people.
Minister Amaraweera said discussions are being held with the Ceylon Petroleum Corporation over providing the benefit of reduced global oil prices to the public.
He noted the benefit of the decrease in prices of crude oil will be provided to the public in future, adding that he will take action in this regard based on the approval of the Cabinet.
The Minister added he cannot specify date to reduce prices as action will be taken after taking into consideration if the drop in prices is temporary or long term.
He stressed however that the government is not benefiting from the decrease in oil prices in the world market, while stressing that the the benefit will be provided to the public promptly.
A former Minister of Petroleum Industries Chandima Weerakkody speaking at a media briefing in Habaraduwa said fuel prices cannot be reduced immediately.
He noted due to the increase in oil prices in the world market the Ceylon Petroleum Corporation incurred a loss of Rs.18 billion during the past four months, while adding however that during the past month the CPC gained a profit of Rs.1 billion due to a slight decrease in oil prices.
The former Minister added that everyone must think as a country.
He said while anyone can say the oil prices have reduced in the world market and demand the domestic fuel prices to be decreased, importing oil to the country takes a minimum period of 25 days, at the current price.
Weerakkody said the government will decide to decrease oil prices in due time.
He questioned how the prices will be reduced instantly as the oil that is being sold now was imported nearly a month ago.
Chandima Weerakkody stressed the country generally has stocks to last 25 days or a month, adding therefore when the oil prices decrease in the world market at present, the government will have the ability to provide the public with fuel bought through tenders that are called at present, for low prices.