Friday, 04 July 2014 - 19:12
Sapugaskanda refinery loss to exceed 800m Rs if problem continues for 2 more weeks
Petroleum Unions stated that the government would have to incur a loss between 800 to 1000 million rupees if Sapugaskanda Refinery operations are kept close for another two weeks.
Petroleum Corporation Jathika Sevaka Sangamaya Chief Secretary Ananda Palitha said the closure of Sapugaskanda refinery makes a loss 50 million rupees per day.
The Sapugaskanda Refinery produces 30% of the country’s daily petrol and diesel needs, 80% of kerosene and 70% of aviation fuel needs.
The authorities are now compelled to import refined fuel to meet the demand.
Meanwhile fuel storage of the Muturajawela terminal was disrupted today after a burst on the pipeline of the buoy which carries oil from deep sea off Uswetakeiyawa to the terminal.
The Petroleum Corporation stated in a press release if the affected pipeline is not repaired within the next 24 hours, the oil tanker currently being anchored in the sea off Uswetakeiyawa would have to be towed to Colombo harbor for unloading.
This process would incur Petroleum Corporation an extra cost of about 120 thousand US dollars including demurrage.
However Petroleum Corporation Managing Director Susantha de Silva said it would not be allowed for a fuel scarcity in the country due to these incidents.
He also said it is suspicious whether any saboteur is operating behind for the intermittent collapse of operations.
However Petroleum Unions state that an inquiry should be held with regard to these incidents on the directive of the President.
Petroleum Corporation Jathika Sevaka Sangamaya Chief Secretary Ananda Palitha further expressed his views of the need of the President’s mediation to settle the issue.