CPC paid over $17mn. as demurrage costs in the last 2 years!



The Ceylon Petroleum Corporation (CPC) had been compelled to pay USD 170,873,816 as demurrage costs in the last 02 years for oil shipments obtained out of procurement process and under emergency purchases.

A state audit has revealed that the CPC has paid USD 1,651,470 in 2021 and USD 169,222,346 in 2022 as demurrage costs.

The cost has risen by 924 per cent in 2022, compared with the previous year.

In addition to demurrage costs, a large sum has been footed as premiums, reports add.

Meanwhile, CPC officials were summoned to a COPE meeting last week. During the meeting, it was revealed that while there are no demurrage costs in 2023,  such costs which took place in 2021 and 2022 still exist.

Also, the Auditor General had mentioned that a special audit investigation has been initiated in this regard and the report will be prepared and completed within a month. The Auditor General pointed out that the matter can be discussed at length after the report is compiled.

During the meeting, it was also discussed whether steps have been taken to recover  USD 21 million that should be collected due to the non-delivery of crude oil as agreed with suppliers.

(Source : Divaina)


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