Jul 16, 2019

CPC increases CEB's credit limit for fuel purchases to Rs 100b

The Ceylon Petroleum Corporation (CPC) has increased its credit limit for providing fuel to the Ceylon Electricity Board (CEB) upto Rs 100 billion, a senior Petroleum Ministry official said.

However, the CPC has also requested the electricity board to settle their payments on a monthly basis.

Earlier this month, power cuts were reported across the country after the CPC suspended its fuel supply to the CEB, since overdue payments for fuel purchases crossed its Rs 80 billion credit limit.

Meanwhile, Power and Energy Ministry Ravi Karunanayake has instructed the Treasury to pay Rs 75 billion incurred by the electricity board while purchasing emergency power during the drought over the recent years.

According to Mr. Karunanayake, the CEB had to incur a cost of Rs 35 billion for emergency power purchases during last year's drought.