Several fuel station owners operating from Ceylon Petroleum Corporation (CPC)-owned outlets have initiated legal proceedings against the state-run corporation, alleging coercion and blackmail over attempts to impose a new fee not covered under existing agreements.
The Colombo District Court on Thursday (13) issued notices of interim injunctions in cases numbered DSP 354, 355, 356, and 357/2025.
The injunctions prevent the CPC from forcing dealers to sign new agreements or levy the so-called “monthly utility fee.”
Dealers operating under Corporation-Owned, Dealer-Operated (CODO) arrangements claim that CPC regional managers have pressured them by threatening to withdraw credit facilities and deliberately delaying fuel deliveries.
They note these tactics aim to compel them to accept new agreements that are materially disadvantageous.
The complaints state that while the CPC is unable to claim the new fee under current agreements, it is now attempting to enforce it by requiring dealers to execute fresh contracts.
The dealers insist that this move is unlawful and detrimental to their operations.
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