The Cabinet of Ministers has approved the proposal to restart the fuel oil business by the Ceylon Petroleum Corporation (CPC).

The Monopoly of fuel oil supply, upheld by the ‘Lanka Maritime Services Limited’ affiliated to CPC, was opened to the private sector in 2004. The bonded warehouse facilities in Sri Lanka Ports Authority has been vended to the private sector by the Ceylon Petroleum Corporation.

Accordingly, CPC has withdrawn from the fuel oil business, the state information office said.

The small quantities of oil imported by a few suppliers stored at the Jaya Container Terminal are re-exported to ships sailing across the Sri Lankan territory.

The Ceylon Petroleum Corporation possesses the capacity of importing fuel oil in bulk at favorable prices and supplying the same to licensed suppliers at competitive prices. The supply of shipping oil at competitive prices will increase the number of naval vessels sailing across the territorial waters of Sri Lanka.

Accordingly, the Cabinet of Ministers has approved the proposal presented by the Minister of Energy regarding the program designed to restart the fuel oil business by the Ceylon Petroleum Corporation.