A facility once lined up for closure has made a major turnaround. Ceylon Petroleum Corporation (CPC) Chairman D.J. Rajakaruna stated that the Sapugaskanda Oil Refinery earned USD 417 million in profit during the first nine months of this year.
Speaking at the Department of Government Information, he said the refinery also helped the nation save more than USD 1 billion in foreign exchange across the same period. He added that the CPC overall made a profit of Rs. 28 billion in these nine months, despite the ongoing crisis.
Price relief on the cards
Consumers might soon get relief at the pump. The CPC Chairman mentioned that steps will be taken to pass on the advantages of falling global oil rates in the near future.
He noted that reports of a decline in global prices surfaced only two days ago following a long stretch of increases. The CPC is keeping a close watch on trends and plans to pass on the benefits once they materialise.
Subsidies buffer local rates
Reviewing local fuel prices against February, Rajakaruna pointed out that petrol rose from Rs. 292 to Rs. 424 per liter, while auto diesel moved from Rs. 281 to Rs. 397 per liter.
Even though global prices jumped by around 85%, domestic petrol rose by only about 45% and auto diesel by approximately 43%. He credited state subsidies for cushioning the blow, noting diesel subsidies of Rs. 100 in April, May and June alongside Rs. 20 for petrol, plus Rs. 70 per liter of diesel last month and Rs. 41 billion set aside for subsidies this month.
What happens next
The CPC will monitor the situation and take steps to pass on the benefits of falling global fuel prices to consumers in the near future once they materialise.
