President Anura Kumara Dissanayake says the fuel price increase was a difficult but necessary decision taken to safeguard Sri Lanka’s energy security as global oil prices surge and Middle East tensions disrupt supply routes.
I want the people of Sri Lanka to clearly understand why the recent fuel price increase became necessary. This decision was not taken to generate profit for the government or for me personally. It was taken because I have a responsibility as President to ensure that the country continues to receive an uninterrupted supply of energy during a time of global uncertainty.
Global crude oil prices have been rising rapidly and the international oil market has become highly unstable. When the global price environment changes so dramatically, we must respond responsibly. Our goal is to maintain national energy security and make sure that transport, electricity generation and other essential sectors continue to function without disruption.
As the head of government, my duty is to ensure that Sri Lanka does not face an energy shortage. I am not the owner of an oil well and I do not represent any oil company. Therefore I have no personal interest in increasing fuel prices.
The adjustment we made to fuel prices was purely a policy response to global economic realities. Our government will do everything possible to ensure that Sri Lanka maintains a stable fuel supply during the coming months despite the volatility in international energy markets.
At the beginning of March the price of crude oil was about 70 dollars per barrel. Today it is approaching 100 dollars. The ongoing conflict in the Middle East has disrupted supply chains and increased insurance costs for shipping oil across international routes.
These global developments have created uncertainty in the oil market and directly influence the cost of fuel imports for Sri Lanka.
I also want to remind citizens that panic driven fuel hoarding can worsen the situation. Diesel sales increased from 4,500 kiloliters on March 1 to 10,500 kiloliters by March 3 because of fear driven buying.
