March 01, Colombo (LNW): The Ceylon Petroleum Corporation (CEYPETCO) has unveiled a new formula for fuel distributors that is set to offer greater benefits compared to the previous 3 per cent discount, according to CPC Chairman D.J. Rajakaruna.
This move comes as the CEYPETCO recently decided to discontinue the existing 3 per cent discount and replace it with a new structure designed to better support fuel distributors.
However, the announcement has sparked a strong reaction from the Fuel Distributors’ Association, which declared that it would halt fuel orders starting from March 01 in protest of the decision.
The association’s members have voiced concerns that the changes, though aimed at increasing benefits, could create undue financial strain on distributors.
Despite the protest, the CEYPETCO has sought to reassure the public that there will be no immediate risk of a fuel shortage in the country. Chairman Rajakaruna explained that under the new formula, fuel distributors will actually receive higher benefits.
He provided an example, stating that for the first 15 deliveries, distributors will now be paid Rs. 6.96 per load, and for the next 15, they will receive Rs. 6.62.
For those handling larger volumes, such as 25 loads, the new system would result in a payment of Rs. 6.69 per load, bringing their earnings to over Rs. 1.1 million, significantly more than the previous arrangements.
Rajakaruna acknowledged that distributors had expressed concerns about their earnings, particularly those handling smaller volumes, but stressed that the new formula was designed to address these concerns whilst also maintaining a sustainable model for the CEYPETCO.
In response to rising concerns about fuel availability, Minister of Labour and Deputy Minister of Economic Development, Prof. Anil Jayantha Fernando, reassured the nation that there is no actual fuel shortage in the country.
Speaking in Parliament on March 01, Prof. Fernando addressed the recent long queues at petrol stations, emphasising that these were not a sign of dwindling fuel reserves but rather the result of an orchestrated effort to create panic.
He accused a coordinated group of attempting to fabricate a fuel crisis by stirring unnecessary fears amongst the public. The minister’s statement aims to quell any anxiety surrounding fuel availability, urging citizens to remain calm and refrain from unnecessary panic buying.
