Sri Lanka govt to provide direct cash subsidy to poor, sectors dependent on kerosene

As Sri Lanka continues to reel under unprecedented economic crisis, the government has decided to provide a direct cash subsidy to low-income households, fisheries and plantation sectors that are dependent on kerosene. The Minister of Power and Energy Kanchana Wijesekera made the statement after the price of kerosene was raised by the Ceylon Petroleum Corporation (CPC) on Sunday, August 21. The price of kerosene was increased from Sri Lankan Rupee (LKR) 87 per litre to LKR 340 per litre - a steep rise of LKR 253, the Colombo Page reported. 

However, Energy Minister Wijesekera defended the rise in price, saying that Kerosene price revision was necessary as it has not been revised for many years. He claimed that one of the primary causes of the losses suffered by the Ceylon Petroleum Corporation was the sale of petroleum products at subsidised rates. "Kerosene price revision was a must for many years. One main reasprice risesses was selling at subsidized prices. With prices now on par with costs the Govt has proposed a direct cash subsidy to low-income families, fisheries & plantation sectors that depend on kerosene [sic]," Wijesekera wrote on Twitter.

Fishermen protest amid mounting fuel crisis

Meanwhile, Sri Lankan fishermen have been protesting for several days, demanding the government to find a solution to the ongoing fuel crisis. According to reports, many fishermen have taken to the streets, claiming that their work has been severely affected due to the lack of fuel supply. The protesters have been demanding kerosene to power their boats so that they can leave ports for fishing. The fishermen have expressed their concerns as they are forced to stay on land rather than heading out to sea due to a lack of kerosene. 

Sri Lanka's petrol reserves not sufficient enough to fulfil demands: WFP

Notably, the World Food Programme (WFP) has claimed that the remaining petrol reserves in the country will not be sufficient enough to fulfil the needs of the people. Meanwhile, the Sri Lankan government has announced limits on fuel imports for the next one year owing to serious supply constraints. Earlier in July, Sri Lanka's Motor Traffic Department announced that it will remain closed on Fridays and public holidays till further orders. According to the department's Commissioner-General Sumith CK Alahakoon, the decision was taken in view of the problems with transportation and fuel supply. 

Image: AP