CoPF calls for independent regulator to ensure transparency in fuel pricing

By The Pulseline News Desk

The Parliamentary Committee on Public Finance (CoPF) has stressed the need to establish an independent regulatory mechanism to ensure transparency in fuel pricing and fair competition among fuel suppliers in Sri Lanka.

The issue was discussed at a committee meeting chaired by MP Dr. Harsha de Silva at the Parliamentary Complex, where concerns were raised over differences in fuel import costs between the Ceylon Petroleum Corporation (CPC) and private fuel suppliers.

Officials have explained that while the CPC meets part of the country’s fuel requirements through its domestic refinery, private fuel companies import all their refined petroleum products.

The committee has noted significant differences between the landing costs incurred by the CPC and those of foreign fuel suppliers. However, private companies are required to determine their selling prices based on the fuel prices announced by the CPC.

According to a statement issued by Parliament, this situation has raised concerns about potential competitive imbalances in the petroleum market and highlighted the need for an independent and transparent pricing mechanism.

The committee has also examined the existing fuel pricing formula, including import costs, taxes and distribution expenses, emphasising the importance of creating a level playing field for all market participants.

Meanwhile, members have discussed the need to move away from blanket fuel subsidies towards targeted assistance for financially vulnerable communities and the public transport sector.

The proposed approach would seek to ensure that public assistance reaches those most in need rather than providing subsidies across the entire market.

The broader discussions have also covered proposed new standards for imported vehicle tyres and changes to the Aswesuma welfare benefits programme.

The meeting was convened to examine regulations published under the Imports and Exports (Control) Act through Extraordinary Gazette No. 2508/27 dated October 1, 2026, and Supplementary Estimate No. 07 of 2026.