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Domestic gas prices up

6 May 2010 11:26 am - 61     - {{hitsCtrl.values.hits}}


By Sumaiya Rizvi

The price of Domestic Gas will increase with effect from midnight tonight with the price of a 12.5 kg Shell gas cylinder up by Rs. 219 and Laugfs up by Rs. 323, the Consumer affairs Authority announced a short while ago.

Minister of Internal Trade and Cooperatives Johnston Fernando said, “We have allowed for an increase of Rs. 219 and Rs 323 for Shell and Laugfs gas respectively, considering the world market prices and since we didn’t increase during the Avurudu season.” 

According to him the government had agreed to the price that Shell Gas had requested-that of which the price increase is-while it had declined the price increase of Laugfs Gas of Rs. 455. Therefore the new price of a 12.5kg Shell Gas cylinder is Rs. 1769 while a cylinder of a Laugfs Gas cylinder is Rs. 1744, he explained.

According to Minister Fernando the prices of gas is free of tax. Minister Fernando said the reason behind an increase of the largely locally produced Laugfs gas is due to a situation that takes place every two years.

“The Ceylon Petroleum Corporation takes a time off producing gas to carry out its maintenance, so when no gas is produced by them, Laugfs has to import their requirement ultimately resulting in a higher price increment compared to other times,” Minister said.

Meanwhile the Government was looking at amending the agreement with the Shell Gas company to benefit the consumer.

When contacted the Shell Gas Finance Director Remo Saldin said that Shell as part of its global strategy was reviewing its LP gas business in a number of countries, including Sri Lanka.

“We have run into problems with Consumer Affairs Authority and we are in arbitration, we have not agreed with the price increase but this time we are happy it is what we expected. Our arbitration will not weigh into the decision making of the global team reviewing our future in Sri Lanka,” Saldin said.


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  Comments - 61

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  • Friday, 07 May 2010 05:03 AM

    Hey mate, do you know the per capita income of US, UK? Their majority will manage the price hike. But more than 20% are poor, struggling for proper food 2 times a day in sri lanka. Don’t compare sri lanka with US and UK. This is none other than the effect of GSP+ and IMF failure, burdens are faced by poor civilians now

    Thursday, 06 May 2010 08:47 PM

    When the cabinet gets bigger, the prices go higher, but the people's income remains the same! Once again, this is the way the government thanks the people who kept faith in them ...

    Thursday, 06 May 2010 09:57 PM

    Elections now over, Sri Lankan politicians are working 'hard' to 'balance' the economy - gas, bread, transport, water? air? more to come? Hurrah! for those who elected this government.

    Thursday, 06 May 2010 10:53 PM

    Signs of a "Suba Anagathayak"! Flour, bread, gas ... what will be next? Hope a salary increase! What about the 'piduru' prices, have they, too, gone up?

    Friday, 07 May 2010 02:04 AM

    The New Mahinda Chintanaya has just got off to a flying start so soon after the formation of the new government. Good job Jhony boy.

    Friday, 07 May 2010 02:25 AM

    Well there are no taxes on grass yet, which is presently the recomended diet for all Sri Lankans living in the south.

    Friday, 07 May 2010 03:02 AM

    Price of flour was increased to induce more people to eat the healthier diet of rice - so says some of the politicians. Even if the price of raw rice is brought down as an incentive (I dont know if the govt will do this!) it is useless because rice has to be cooked - and the majority of people use gas. If more people were to turn from gas to firewood, there will be destruction of more trees, which is detrimental to the environment. Also todays housing is not conducive to cooking with firewood.

    Friday, 07 May 2010 03:51 AM

    Where is the guy who said that a government is not needed to be there to adjust the prices according to the world market rates? (the same guy who wanted to unplug the "world bank"). As I know, he was given a ministerial post too... ;D

    PS: (Please note that the Piduru rates should remain unchanged, as it is the main food of two thirds of the population, including the above guy)

    Friday, 07 May 2010 03:53 AM

    Since all gases go up in the air, price too should go up.

    Friday, 07 May 2010 03:53 AM

    Please do not come,stay where you are. huuu!!!

    Friday, 07 May 2010 04:01 AM

    Johnny has come too early this time

    Friday, 07 May 2010 04:09 AM

    Why the pricing formula did not work during the Election period-Mr. Johnston?

    Friday, 07 May 2010 04:25 AM

    Johnny does it again. Voters, the best of the rest is yet to come

    Friday, 07 May 2010 04:37 AM

    The Govt. is NOW looking at amending the agreement to benefit the consumer! Why wasn't this looked at when the original agreement was drawn up?Who is responsible?

    Friday, 07 May 2010 04:53 AM

    Expected... The burden of GSP+ failure and IMF failure will be on us now. Way to go... President, ministers, their family will not be effected by this, only middle class and poor people are going to be effected. Change will only come when poor majority civilians realise this

    Friday, 07 May 2010 04:59 AM

    Why does the CPC regular staff need time off from producing Gas for maintenance? Isn't it wiser to recruit a special maintenance team or outsource the maintenance to someone else? This way the regular staff could continue producing Gas and atleast Laugfs gas would be affordable to the public. This is lethargy at it's best!

    Thursday, 06 May 2010 04:26 PM

    it was due b4 January

    Friday, 07 May 2010 05:09 AM

    Good Job jonney.. we are expecting more.. I really appreciate the ppl who voted this gov.tnx

    Friday, 07 May 2010 05:46 AM

    I am very aware of the difference between the per capita income of Sri Lanka & USA.
    I have been a Sri Lankan-American since 1967.
    Fact that Worldwide Gasoline / Petrol prices are going up,
    has NOTHING to do with GSP+ & IMF.
    This is your pro-JVP & UNP rubbish data.
    Give the GOSL - MR, a few years & see Sri Lanka - a Developed Nation, or are you one of those Sri Lankans who hope that Sri Lanka will "fail".

    Friday, 07 May 2010 06:00 AM

    We have to tighten our belts further even though the war is over - in order to finance the generations of govt families

    Friday, 07 May 2010 06:00 AM

    Sri Lankan -American ??? why don't you move back to SL and join with MR as one of his adviser ? a cylinder of gas cost about 25RM in Malaysia ( 750 Rupees LKR) about the same in Thailand and its little expensive in India. Sri Lanka is run by a set of power hungry manaics now and your type of pseudo patriots are approving what ever they do . if u love Sri Lanka so much try to come an live here . i bet you wont do that .

    Friday, 07 May 2010 06:13 AM

    At this rate we will have to produce our own gas!

    Friday, 07 May 2010 06:19 AM

    From Politics, Media, Human rights and whatever sri lanka is copying India's system... Then how can you say sri lanka will become a develop nation. Since you are a Srilankan – American you should know whos system is best? India’s Or Americas?

    Friday, 07 May 2010 06:28 AM

    I was in Sri Lanka from March 2009 to end of Presidential elections a couple of weeks back.
    Doing a project that helped both GOSL - MR & ex-Armed forces disabled by the war.
    I am your so called "pseudo patriot" who worked very hard for years to sway , both the Government & people of USA to support the unity of Sri Lanka.
    While your type, was claiming that the LTTE could not be defeated, that Sri Lanka was a "failed" state, and hoping that the IC & UNO would divide Sri Lanka.
    Get real and get used to the fact that President MR will be in power for the next 7 years.

    Friday, 07 May 2010 07:37 AM

    Do you know Maldives Gas cylinder prices? only Maldives Rufiyaa 185.00 ( SLR 1665.00 ) Maldives import small quantity of oil and gas. There is no economical advantage. But SL can get Economical advantage also. That means SL should provide gas below 1665.

    Friday, 07 May 2010 08:53 AM

    :-) thank you ... Sri Lankans are now in middle class income section, means each individual earns 1000s of $ every year ! according to Mahinda and Ajith Nivard Gabral , so we can afford this price UP ... stupid report by stupid Central Bank . i dont know where i live in ! i thought that i was living in Sri Lanka but for me many are suffering and even loosing jobs ... but my president says that i am rich and getting good income :-(

    Friday, 07 May 2010 09:53 AM

    keep it up Minister, are these the promises you gave the public before the elections?

    Friday, 07 May 2010 10:33 AM

    have you ever heard that Nigeria has lots of Oil but the Nigerians pay a higher price to buy their own petrol? The next petrol shed will be called "Mihin Petrol"

    Friday, 07 May 2010 10:51 AM

    Citizen is right. Empty stomachs generally produce more gas!

    Friday, 07 May 2010 10:53 AM

    Next time you will be taxed for using the toilet by the Environment Ministry!! Suba Anagathayak for all the Patriots who voted for Mahinda Rajapakse

    Friday, 07 May 2010 10:53 AM



    Thursday, 06 May 2010 11:56 AM

    This is only the begining. tThe government is yet to bring further distress to the people. But who is to blame. None other than the people who actually voted for them

    Thursday, 06 May 2010 11:34 AM

    So as he said Johnny must have studied the case very very carefully before giving a decession. Finally the Election "gundu " portion too have added on top of this time revision. Good job boss.

    Thursday, 06 May 2010 11:38 AM

    Thought of moving back to SL, i think living cost in UK sounds cheaper than in SL i guess!!!

    Thursday, 06 May 2010 11:39 AM

    First bread - then gas - then petrol, then milk, then rice, and what next. Just like the cabinet - going up, and up and up.

    Thursday, 06 May 2010 11:40 AM

    Up up and away.Early signs of things to come.

    Thursday, 06 May 2010 11:43 AM


    Thursday, 06 May 2010 11:47 AM

    SUBA ANAGATHAYAK - JAYA WEVA, fools still not realise the magic???

    Thursday, 06 May 2010 11:47 AM

    Well done Jhonny boy.

    Thursday, 06 May 2010 11:47 AM

    Election fever down, Gas fever up. Go Johny boy go. Subha anagathayak

    Thursday, 06 May 2010 11:48 AM

    This increase is inadequate to be felt by the patriots who voted MR wholeheartedly. The increase needs to be double so that these same patriots blow their guts out cooking in fire wood stoves.

    Thursday, 06 May 2010 11:49 AM

    What a treatment.
    Bread.... Gas..... and other items to follow very soon.

    Thursday, 06 May 2010 11:50 AM

    Suba Anagathayak !!!!

    Thursday, 06 May 2010 11:52 AM

    here we go, the beginning of an avalanche.

    Thursday, 06 May 2010 11:53 AM

    Election finished next price reduce will see on next election....

    Thursday, 06 May 2010 11:56 AM

    Hurre. i am going up.

    Thursday, 06 May 2010 11:32 AM

    What to say...thank you Sir !.

    Thursday, 06 May 2010 11:56 AM

    ela ela !!!! we need more results. Pls decrease " Piduru" price

    Thursday, 06 May 2010 11:58 AM

    True Election Result. No Computer gilmart.

    Thursday, 06 May 2010 12:04 PM

    Suba Anargathayeh Aarambaya.

    Thursday, 06 May 2010 12:04 PM

    I suppose this is the punishment we deserve after the overdose of hot air and gas from the politicians.

    Thursday, 06 May 2010 12:25 PM

    Maha Rajata! Jaya Wewa

    Thursday, 06 May 2010 12:59 PM

    Now the fun starts. And jus the start. People will start scolding the Minister Johnson soon.

    Jonny Aya

    Thursday, 06 May 2010 01:07 PM

    are you surprised?
    elections are over now more to come soon
    fasten your seat belt..

    Thursday, 06 May 2010 01:09 PM

    Elections are over… So go Sri Lanka go… The rich get richer and the poor get poorer...

    Thursday, 06 May 2010 01:14 PM

    Hooray, way to go. The gas price hike will not affect the "patriots" as they always cook their food with fire wood and the blow will be on the city dwellers who are in any case "traitors" having voted for UNP and DNA.

    Thursday, 06 May 2010 01:48 PM

    Where is the new trade minister jonston fernando?

    Thursday, 06 May 2010 02:00 PM

    Please check the computer.

    Thursday, 06 May 2010 03:17 PM

    Well done jonny!!! Good start

    Thursday, 06 May 2010 03:35 PM

    Comments as usual, without knowing the actual facts.
    Gasoline / Petrol prices are going up WorldWide, due to many reasons. Prices much higher in USA / EU / UK.
    Petrol prices in Sri Lanka is subsidiced by Government.
    Hopefully some day - soon - Sri Lanka will discover Oil fields.

    Thursday, 06 May 2010 04:07 PM

    From Maldives

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