Friday Nov 15, 2024
Friday Nov 15, 2024
Wednesday, 22 December 2021 00:28 - - {{hitsCtrl.values.hits}}
The Government yesterday maintained that yesterday’s fuel hike will only have a one-off impact of 3% on inflation.
This assessment, done by the Central Bank, was disclosed by Cabinet Co-Spokesman and Media Minister Dullas Alahapperuma during the weekly post-Cabinet meeting briefing to journalists.
He said that CBSL did recommend an upward revision of fuel prices to better manage the pressure on the scarce foreign reserves, curb imports and demand as well as judicious use of oil and accelerate shift to renewable energy.
Effective yesterday, price of CPC’s Petrol 92 was increased by Rs. 20 to Rs. 177 per litre, Petrol 95 by Rs. 23 to Rs. 207, Auto Diesel by Rs. 10 to Rs. 121, and Super Diesel by Rs. 15 to Rs. 159. Kerosene will cost Rs. 10 more and the new price is Rs. 87 per litre.
Lanka IOC’s fuel prices too were increased – Petrol 92 Octane by Rs. 15 to Rs. 177 per litre, 95 Octane by Rs. 23 to Rs. 210; Auto diesel by Rs. 7 to Rs. 121 and Super Diesel by Rs. 15 to Rs. 159.
This is the second revision this year (for Lanka IOC) after June, and the move is likely to make the Government more unpopular in terms of managing macroeconomic issues, though cost-reflective pricing is broadly encouraged by economists and others.
The hike also comes after the Central Bank had recommended to the Finance Minister to increase prices of petrol by Rs. 35, diesel by Rs. 24 and kerosene by Rs. 11 per litre. Yesterday’s announced prices, however, were lower.
