Tough action against errant filling stations

Chaminda Perera

COLOMBO: The Petroleum and Petroleum Resources Ministry yesterday initiated a full scale inquiry on filling stations which have failed to store adequate fuel stocks for the past couple of days.

Minister A.H.M. Fowzie has instructed officials to go ahead with the inquiry immediately.

A fuel shortage has arisen in some parts of the island as filling stations have not placed orders for fuel this month to avoid any loss after the Government announced an oil price reduction through 2009 budgetary proposals.

According to Minister Fowzie, certain filling stations have emptied their oil tanks after the Government gave an indication that an oil price reduction would be effected through the 2009 budgetary proposals. The Minister said this situation has led to an oil shortage in certain parts of the island.

The licences of filling stations which hide stocks to create an artificial oil shortage and other filling stations which have failed to store adequate fuel stocks will be terminated after the inquiry. Such an act violates the contract signed by the filling stations with the Ceylon Petroleum Corporation (CEYPETCO), the minister said.

“We have received reports that certain filling stations have hidden their stocks to create an artificial shortage and sell the same much above the stipulated price. But Ministry has taken all steps to ensure that no such situation would arise in the country.”

According to CEYPETCO Deputy General Manger (Administration) Cyril Suduwella, this is a regular occurrence when the oil price is reduced by the Government. Filling Stations run by individuals do not like to bear any loss and curtail their purchases when a price reduction is imminent.

“For the past few days we get only few orders which we expeditiously delivered in the wake of budget. The Corporation has adequate stocks and expedites the delivery process once the particular order is placed,” he said.

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