Energy Minister Anura Karunathilake told Parliament on Tuesday that fuel queues at filling stations should ease by Wednesday or Thursday.
He said private fuel companies have told the Government they cannot sell at current domestic prices because international prices have risen sharply, and have reduced the volumes they release. The Ceylon Petroleum Corporation (CPC) has increased its supply to the market to make up the difference, he said.
For motorists, the Minister’s account means longer waits at some stations in the short term, while the CPC absorbs the extra demand. The Ceylon Petroleum Private Tanker Owners Association has urged the public to avoid panic buying, saying there is no nationwide shortage.
Karunathilake said the agreements with private companies do not allow the Government to direct how much fuel goes to individual stations, though it can require minimum stocks to be held. The Energy Ministry Secretary has instructed companies that fell short of those stocks to comply.
The Minister added that private companies generally do not supply dealers on credit, while the CPC offers a three-day credit facility, which has increased demand for CPC fuel.
“We expect that, as the Ceylon Petroleum Corporation takes on this additional burden, the problem will ease to some extent by Wednesday or Thursday,” he said.
