21 December 2021 12:00 am Views - 514
By Kelum Bandara
Energy Minister Udaya Gammanpila said it had become ‘an extremely difficult task ‘to secure foreign exchange to import fuel at this juncture. In an audio clip released to the press, the Minister said the country was facing ä severe foreign exchange crisis with the reserves dropping to as low as US $ 1.5 billion. He said the monthly export proceeds stand at US $ 1 billion, but a large percentage of it is not repatriated to the country.
“We need at least US $ 360 million to import fuel for a month. We have only US $ 1500 million in our reserves. It is an extremely difficult situation for us to find foreign exchange required to purchase fuel. We have experienced this problem since May, this year. It has manifested in its worst form now,” he said.
He said the Ceylon Electricity Board (CEB) and independent electricity producers are in arrears of Rs.96 billion to the Ceylon Petroleum Corporation (CPC).
“Besides, SriLankan Airlines is in arrears of US $ 330 (Rs.65 billion) million to the CPC. We have informed both the CEB and SriLankan Airlines that we find it difficult to raise dollars for us. Then, we cannot raise dollars for them.
If they make payment in dollars for us, we can supply aviation and furnace oil,” he said.
The Minister said it would not be that challenging for SriLankan Airlines to find dollars because it had foreign exchange revenue from air ticket sales. “It is, of course, a challenge for the CEB. We don’t earn in dollars. Yet, we ensured fuel supply.
The opposition has talked about a fuel shortage since June, this year. But, we worked hard and averted it. If the CEB works hard, it won’t be difficult for them to find dollars to be paid to us,” he said.
Will ensure uninterrupted fuel supply: CB Governor
Central Bank Governor Ajith Nivard Cabraal said there would be an uninterrupted fuel supply in the country, despite pressure on foreign exchange reserves.
Also, he said there would be foreign currency inflows into the country according to the roadmap envisaged by him. “We will ensure uninterrupted fuel supply in the country,” he said.