Speaking at the National People’s Power (NPP) Colombo District May Day rally this evening ( 01), the President said the government is currently granting a subsidy of Rs. 100 per litre on diesel to reduce costs for consumers.
He explained that although the real cost of one litre of diesel is Rs. 482, the public is able to buy it at Rs. 382 because the government is covering Rs. 100 per litre through the Petroleum Corporation and other institutions.
President Dissanayake further noted that Rs. 60 billion has been allocated to continue fuel subsidies despite the ongoing rise in international fuel prices.
He added that while limited fuel price increases may be necessary in the future, the government is working to provide the highest possible relief to the people.
The President said fuel prices continue to rise globally, and although minor revisions may have to be introduced, efforts are underway to maintain subsidies for the benefit of the public.
He also pointed to growing challenges in the electricity sector, stating that increased coal prices and lower water levels in reservoirs have raised power generation costs.
Despite these pressures, he said the government has decided not to increase electricity tariffs for the majority of consumers and will instead provide subsidies to 96 percent of electricity users.
According to the President, Rs. 15 billion has been allocated to maintain electricity subsidies and support the public during the current crisis.
