Sri Lanka to market price kerosene, give cash grant to needy: Minister

ECONOMYNEXT – Sri Lanka plans to raise the price of kerosene which is now sold below cost, and give a cash grant to low income groups at whom the subsidy is targeted, Power and Energy Minister Kanchana Wijesekera said.

Though the cost of kerosene is 421 rupees a litre for the Ceylon Petroleum Corporation, the fuel is now sold at 87 rupees a litre, leading to mis-use by bus owners and others, he said.

“We plan to give a cash subsidy to the targeted groups and raise the price of kerosene,” Minister Wijesekera told reporters.

“Then the buses and industries which are mis-using the subsidy cannot do it.”

Wijesekera said some buses were running completely on kerosene though bus fares were raised in line with diesel prices.

Kerosene prices were not raised this week when petrol and diesel was hiked. Diesel is sold at 460 rupees a litre.

Kerosene is targeted at low income families including plantations workers and also the fishermen.

Fish prices however have rocketed up since alternative proteins such as chicken went up. Multi-day boats mostly have diesel engines. Kerosene is used in smaller outboard driven. (Colombo/June27/2022)