Amid Fuel Crisis, Sri Lanka To Operate Only Essential Services Till July 10

It has been decided by the Cabinet of Minister that only essential services will operate from Monday midnight to July 10.

A member of Sri Lankan security personnel stands guard at a Ceylon Petroleum Corporation fuel station in Colombo (Source:FIle photo/AFP)

New Delhi: As the island nation continues to reel under its worst economic crisis, the crisis-hit Sri Lankan government on Monday announced that only essential services will operate from midnight till July 10 due to severe fuel shortages in country. The move came days after Prime Minister Ranil Wickremesinghe on Wednesday last said that economy of the island country has "collapsed" following quite a while of shortages of food, fuel and power, and couldn't buy imported oil.

It has been decided by the Cabinet of Ministers that only essential services will operate from Monday midnight to July 10.

"Fuel will be issued only to health, defence, power and export sectors from midnight today until July 10,” Cabinet spokesperson Bandula Gunawardena told reporters.

The state-run Ceylon Petroleum Corporation (CPC) will give diesel and petroleum just for essential services with impact from 12 PM, it said.

These services incorporate ports, airports, health, food distribution and agriculture, the report said, quoting transport minister Gunawardena.

“All other sectors must prepare from work from home programme,” he said, asking the public to support the government's move to limit the consumption of fuel.

The minister said, only essential services will be permitted to work till July 10 and any remaining tasks will be briefly suspended.

While the govt said talks were held with India for a new credit line, discussions to purchase limited Russian oil have also got underway.

A delegation of ministers will also pay a visit to Russia for talks, the government said.

Sri Lanka has been confronting the most awful economic crisis since freedom in 1948 which has provoked an acute shortage of basic things like food, medication, cooking gas and fuel across the island country.

Wickremesinghe told Parliament on Wednesday that at present CPC has USD 700 million in debt. "As a result, no country or organisation in the world is willing to provide fuel to us. They are even reluctant to provide fuel for cash," he said.

The almost bankrupt country, with an intense unfamiliar money emergency that resulted in foreign debt default, had reported in April that it is suspending almost USD 7 foreign debt repayment due during the current year out of about USD 25 billion due through 2026. Sri Lanka's total foreign debt stands at USD 51 billion.

The unfamiliar cash emergency has crimped imports, making serious shortages of food, fuel, power and different fundamentals like meds, forcing people to stand in long lines to fulfil basic needs.

In the midst of growing public dissent over the worsening economic conditions, the Indian credit lines since January this year have provided a lifeline to Sri Lanka. However, Prime Minister Wickremesinghe said India would not be able to keep Sri Lanka afloat for too long.

(With PTI inputs)