Sri Lanka, hit by the worst economic crisis in its history, announced on Sunday that it wanted to impose weekly fuel quotas on motorists. This in a context of worsening shortages in the country.
‘We have no choice but to identify consumers at petrol stations and provide them with a guaranteed weekly quota until we are able to put the financial situation in order,’ said the Minister of Health. ‘Energy, Kanchana Wijesekera.
“I hope this system will be in place by the first week of July,” the minister added, without specifying how much fuel motorists would be allowed to buy under the new system.
Funding problem
The announcement comes as the state-run Ceylon Petroleum Corporation national refinery struggles to finance oil imports, while consumption soars due to electricity and liquefied petroleum gas (LPG) shortages.
Sri Lanka is going through its worst economic crisis since its independence and the 22 million inhabitants of this island country close to India have lived for months to the rhythm of daily blackouts, long queues for petrol and record inflation.
Debt default and currency shortage
The government has already defaulted on its $51 billion foreign debt, and a severe shortage of foreign currency is preventing traders from importing enough food, fuel and other essentials.
In mid-April, the government imposed a maximum of four liters of gasoline for two-wheelers and five liters for three-wheelers. With regard to individual cars or vans, the limit had been set at 19.5 liters of gasoline or diesel.
Manifestations
But many motorists had by then filled up, emptying petrol into containers to build up stocks and then returning to the queues to buy more.
These fuel shortages had also triggered spontaneous demonstrations across the island where tens of thousands of angry motorists had burned tires and blocked roads.
The United Nations warned on Friday that the unprecedented economic crisis in Sri Lanka might turn into a serious humanitarian crisis, with millions of people already in need of aid.
/ATS
