According to the agreement made with the Indian Oil Corporation (IOC) in 2003, the IOC has no need of informing the subject Minister regarding their sudden fuel price hikes but should obtain special permission from the Finance Ministry, Petroleum Minister Mahinda Amaraweera said.
While holding a special discussion at the Power and Energy Ministry today he said, according to the available information, the IOC had directed a letter in this regard for the attention of the Finance Ministry.
However, the sudden fuel price increase at IOC had taken place according to the agreement made with the Petroleum Minister during the UNP Government in 2003, Minister Amaraweera said.
Therefore, the present Power and Energy Ministry had no intervene with the IOC’s recent fuel price hike.
But, Minister Amaraweera had advised the Ministry Secretary Ms Wasantha Perera to prepare an immediate report regarding the agreement and hand over to him as soon as possible.
After the report, the Ministry would be able to seek any amendments to the agreement considering present situations.
However, no decision would be taken to increase fuel prices at Ceylon Petroleum Corporation following the IOC fuel price increase, the Minister said.
The IOC had pointed out that the price of a litre of 92 Octane was increased due to the special tax imposed by the government on the reduction of fuel prices in the world market, the Minister added.