Fuel security under fire, 18-day diesel stock, petrol for 1½ months - Union warns

Colombo, March 19 (Daily Mirror) - Fresh controversy has erupted over the country’s fuel reserves after trade unions warned that Sri Lanka has diesel stocks for only about 18 days, despite having the capacity to store enough fuel for nearly three months, while petrol stocks are sufficient for about one and a half months. The situation has raised serious concerns about energy security and stock management.

Trade union representatives said the country currently uses around 3,500 metric tons of diesel per day, and even with the arrival of a new shipment of 20,000 metric tons of diesel, the available stocks will last less than three weeks. Petrol stocks, however, are said to be sufficient for about one and a half months.

A fuel shipment belonging to Lanka IOC, carrying 20,000 metric tons of diesel and 17,000 metric tons of petrol, arrived last night and unloading began this morning. With the new consignment, authorities say petrol supplies will remain stable, while there is currently no shortage of Octane 95, super diesel, or kerosene, as those remain from previous stocks.

However, Samagi Joint Trade Union Alliance Convener Ananda Palitha alleged that the real issue is not the arrival of fuel, but the failure to maintain proper reserves.

He said that international energy security standards require at least three months of fuel reserves, and Sri Lanka has a storage capacity of nearly 400,000 metric tons, yet a large portion of the tanks cannot be used because they remain unrepaired.

According to him, storage tanks with a capacity of about 160,000 metric tons are still out of service, while crude oil storage facilities with capacities of 80,000 and 90,000 metric tons are not being fully utilised. He claimed that at present only about half of the reserve storage facilities are filled, leaving the country exposed to shortages.

Palitha also charged that refinery production has dropped at the Sapugaskanda Refinery, where daily diesel refining has fallen to about 1,400 metric tons, compared to the earlier capacity of 1,800 metric tons, further weakening the country’s fuel security.

He further alleged that fuel stocks were diverted for power generation instead of maintaining reserves, claiming that large quantities of diesel had been supplied to the Lakvijaya Power Plant to avoid electricity shortages, while the Sobadhanavi Power Plant alone has requested around 600 metric tons of diesel per day.

He alleged that over 120,000 metric tons of diesel had been sent for power generation, warning that fuel meant for emergency reserves is being consumed to keep the electricity supply running.

Trade unions say the situation shows that Sri Lanka could face another fuel crisis at any time, not due to a lack of storage capacity, but due to poor planning and failure to maintain proper reserves.