Crisis-hit Sri Lanka raised the price of gasoline by 24.3% and diesel by 38.4% on Tuesday, a record increase in fuel costs in the country’s greatest economic crisis due to a lack of foreign exchange reserves.
With the second increase in fuel prices since April 19, the most commonly used Octane 92 petrol will now cost 420 rupees (USD 1.17) and diesel 400 rupees (USD 1.11) per litre, both at an all-time high.
Ceylon Petroleum Corporation, the state fuel entity, decided to hike the price of Octane 92 petrol by 24.3 percent, or 82 rupees, and diesel by 38.4 percent, or 111 rupees per litre.
“From 3 a.m. today, the fuel price will be revised. The prices were revised using a fuel pricing methodology agreed by the Cabinet “Kanchana Wijesekara, the Minister of Power and Energy, announced on Twitter.
“All costs associated with importing, unloading, distribution to stations, and taxes are included in the price revision. The modification of transportation and other service prices was also authorized by the Cabinet. The formula would be applied every fortnight or monthly,” he stated.
The increase came as the public endured long lines at fuel stations affected by shortages.
The retail costs of petroleum have also been raised by Lanka IOC, the Sri Lankan arm of India’s oil behemoth Indian Oil Corporation.
“We’ve upped our prices to meet the CPC,” LIOC CEO Manoj Gupta told PTI.
Meanwhile, auto-rickshaw operators announced that the first kilometer would cost 90 rupees and the second would cost 80 rupees.
The government announced that directors of institutions would have choice over which staff would be required to report physically as a cost-cutting measure. Allow the others to work from home.
Since 2002, Lanka IOC has been operating in Sri Lanka.