Following the allegations levelled by Opposition Parliamentarian Dayasiri Jayasekara regarding the Government’s move to divest the jet fuel supply, the Ceylon Petroleum Corporation (CPC) defended the move, claiming that it would modernise and make the industry more competitive.
MP Jayasekara, speaking in the Parliament on Wednesday (8), alleged that the CPC has granted permits to two Companies – Cannel Private Limited and Fits Aviation Pvt. Ltd. – to supply jet fuel for aircraft, which will have a negative impact on the CPC's monopoly on the same and the country’s foreign exchange. He further alleged that a company owned by a Government MP who is likely to be a potential Presidential candidate of the ruling Sri Lanka Podujana Peramuna, has been given land at the Bandaranaike International Airport in Katunayake to establish a jet fuel storage facility in addition to the two aforementioned Companies.
Against this backdrop, when contacted by The Daily Morning yesterday (9), the Chairperson of the CPC and the Ceylon Petroleum Storage Terminals Limited, Saliya Wickramasuriya, said that the decision to grant permission for the Companies to enter the industry was taken to make the market competitive as it would be helpful to boost the jet fuel supply in the country.
“About two years ago, the Ministry of Power and Energy took a decision to permit companies to supply jet fuel. No company anywhere in the world has a monopoly to supply jet fuel. In every country, there is one preferred supplier, while several other companies are also supplying jet fuel to airlines. If the CPC has the monopoly, we can dominate the price, which is not a good practice. But, when the competition grows, the fuel cost goes down. If the fuel cost decreases, the supply will increase. That is good for both of us – the suppliers, and the airlines,” he added.
However, several attempts made to contact Minister of Ports, Shipping, and Aviation Nimal Siripala de Silva and the Ports, Shipping and Aviation Ministry’s Secretary, K.D.S. Ruwanchandra, to inquire about the alleged allocation of a plot of land proved futile.