CPC to reduce fuel import bill to USD 198 million in July

Colombo, June 3 (Daily Mirror) - Claiming that the Ceylon Petroleum Corporation (CPC) had to spend USD 520 million for fuel imports in May as more shipments were procured in April, CPC Chairman D.J. Rajakaruna said today the fuel bill will be reduced to USD 198 million in July.

He said eleven fuel shipments were procured in April, whereas only five shipments including two crude oil shipments are normally procured in a month.

The Chairman said more shipments had to be procured in April due to non-availability of crude oil required for the refinery and more diesel stocks were needed for power generation.

"One diesel shipment was totally used for power generation in April. More diesel stocks were needed for power generation as the night-time demand for power was high in April due to excessive heat and hydro power generation was low due to the drought situation," he said.

He said fuel import cost has reduced in June to USD 318 million from USD 512 million in May and added that it will further be reduced to USD 198 in July.

The Chairman said the reduction of fuel import cost will reduce the impact on the depreciation of the Rupee against the US Dollar.