20 March 2024 01:47 am
The government yesterday announced its decision to spin off Sapugaskanda fuel refinery from Ceylon Petroleum Corporation (CPC) as a separate public enterprise in a bid to find a strategic investment partner to modernise the refinery.
Minister of Power and Energy Kanchana Wijesekera on Monday sought the approval of the Cabinet of Ministers to spin off Sapugaskanda fuel refinery from Ceylon Petroleum Statutory Corporation and establish it as a public enterprise.
The Government Information Department outlined that the refinery is in critical need of investments to ensure operation for another twenty-five years.
“It has been found advisable to establish the Sapugaskanda fuel refinery as a separate public enterprise so that the necessary investments can be provided by local and foreign private sectors,” it stated.
According to Minister Wijesekera, the government is expected to call for EOIs shortly to select a suitable strategic investment partner to upgrade the infrastructure facilities in order to address the existing operational challenges.
Sapugaskanda fuel refinery established in 1969 currently caters for around 25 percent of the domestic demand for refined petroleum products.