May 07, 2021

Laugfs boss warns of gas scarcity Featured

Laugfs Gas Chairman K.H. Wegapitiya warns of an imminent gas scarcity unless the government allows the local gas companies to increase the prices of gas cylinders.
He said the gas companies have been urging the government to permit them to increase gas prices in line with the rising gas prices at the international market. But the government has not paid any attention to the grievances of the gas companies and the situation will become worse very soon, he said.
According to Wegapitiya, in April in 2020, a ton of gas was sold at US $ 325 at the world market and this has gone up to $ 650 by this year's April, thereby recording a price increase of 260 per cent.
Wegapitiya lamented that in Sri Lanka, a gas cylinder could be bought at a price lower than the price of a bottle of arrack.
"The company is suffering a loss of Rs 700 from every 12.5 kg gas cylinder sold in the market," he said.
He said the steps should be taken to educate the public on the rising prices of gas in the world market and the necessity to increase the local gas prices too."Otherwise, the gas industry would not be able to survive," he added.