Colombo [Sri Lanka], July 17 (ANI): Sri Lanka's state-owned Ceylon Petroleum Corporation (CPC) and the Lanka Indian Oil Corporation (LIOC) have decided to lower the retail price of fuel from Sunday.
As per the local media, the price of a litre of Octane 92 petrol will be reduced by 20 rupees, and the new retail price will be 450 rupees (1.25 dollars).
Octane 95 petrol will sell for 540 rupees per litre, down by 10 rupees, DailyMirror reported quoting the local media.
The diesel price in the island nation will be slashed by 20 rupees per litre and the fuel will now be sold at 440 rupees, whereas the price for super diesel will be 510 rupees a litre following a reduction of 10 rupees.
The Ministry of Power and Energy also introduced a new digital system to systematize the distribution of fuel from July 21. Both the CPC and the LIOC will take part in the scheme.
Sri Lanka has been facing crippling fuel shortages since February. In late June, CPC suspended distributing fuel for private vehicles.
CPC will start fuel distribution from July 21, following the arrival of petrol and diesel shipments.
Moreover, the Mobile Fuel Dispensers will be used as a Pilot project to fuel three-wheelers & generator requirements, Sri Lankan Minister of Power and Energy, Kanchana Wijesekera announced, reported NewsWire.
"The Fuel Truck dispensers will be used in large open spaces away from the fuel stations for Three Wheelers, Delivery Bikes & Cans. Hope to implement this islandwide soon" Minister added.
The economy in Sri Lanka is bracing for a sharp contraction due to the unavailability of basic inputs for production, an 80 per cent depreciation of the currency since March 2022, coupled with a lack of foreign reserves and the country's failure to meet its international debt obligations.
Hundreds of Sri Lankans continue to queue up at petrol pumps across the debt-ridden country every day amid fuel shortage, and a large number of people are ditching their cars and motorcycles for bicycles for their daily commute.
The economic crisis which is the worst in Sri Lanka's history has prompted an acute shortage of essential items like fuel. Long queues at fuel stations in Sri Lanka is the new normal and prices fluctuate subject to availability.
Skyrocketing prices of fuel are also one of the reasons behind the spike in bicycle sales and some stores are running out of stock. (ANI)