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Three new companies allowed to sell fuel for lower prices

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The government has decided to allow the three foreign companies entering the retail fuel market in Sri Lanka to sell fuel below the approved price of the Ceylon Petroleum Corporation (CPC).

A senior official of the Power and Energy Ministry said the contracts with the three companies will be signed by the end of this month and the companies will launch operations within a month after the contracts are signed.

Accordingly, China’s Sinopec, Australia’s United Petroleum and Shell Company together with RM Parks Inc of the US have been approved to enter the retail fuel market in Sri Lanka.

Once the three companies are allowed to sell fuel at less than the fixed price, the senior official said the demand for CPC fuel will decrease.

At present, the government spends an average of US$ 450 million per month on fuel imports and the ministry hopes that each of the three companies will bring US$ 120 million worth of fuel to Sri Lanka per month, reducing the government’s expenditure on fuel.

The terms of the agreements with new companies include that they must refrain from using local banks to find US Dollars needed to import fuel and that the profits earned can only be taken out of the country after one year.

The Power and Energy Ministry has estimated that the three companies will import US$ 2.2 billion worth of fuel per year.

The agreement will be signed for 20 years and the companies must pay US$ 2 million annually as renewal fees.

Even after 20 years, the companies can continue to operate based on the agreements made through negotiations. 

Sources said the companies will pay an amount as storage fees and the government will receive a certain percentage from a liter as revenue.

Under the agreements, the companies have also been given the opportunity to sell high-end products used in luxury vehicles.  

(Lankadeepa)

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Fr. Cyril Gamini arrives at CID

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Rev. Fr. Cyril Gamini Fernando, the Editor of the official Catholic Sinhala weekly ‘Gnanartha Pradeepaya’, had arrived at the Criminal Investigation Department (CID) premises this morning (19), complying with the summons issued to him.

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TISL files FR petition over Human Immunoglobulin & other controversial medical supplies

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Transparency International Sri Lanka (TISL) filed a Fundamental Rights Application (SCFR/ 99/2024) at the Supreme Court on April 16th, highlighting the serious ramifications on the health sector and the general public from the recent controversial procurement of medical supplies including human immunoglobulin (Human-IG).

The Cabinet of Ministers, the incumbent and former higher officials in the health sector, former Health Minister Keheliya Rambukwella, the companies involved in the controversial supplies of Human-IG, Treasury Secretary, Auditor General, Director General of Customs, Inspector General of Police, Members and Director General of CIABOC and the Attorney General are among the 66 Respondents named in the Petition.

The FR application has been filed in the public interest, with the aim of seeking accountability for the misuse of public resources and the violation of fundamental rights of citizens.

The Petition requests the Court to declare that the purported decision of the Cabinet of Ministers and the health authorities to procure medical supplies from Isolez Biotech Pharma AG (Pvt) Ltd, Livealth BioPharma (Pvt) Ltd, Yaden International (Pvt) Ltd, Nandani Medical Laboratories (Pvt) Ltd, Divine Laboratories (Pvt) Ltd, Gulfic Biosciences Limited, Novachem Lanka (Pvt) Ltd and Slim Pharmaceuticals (Pvt) Ltd   is wrongful, illegal, unlawful, null and void, and of no force or avail in law.

Arguing that the actions or inactions of the Respondents amount to an infringement of the fundamental rights guaranteed under the Constitution, the Petitioners seek the intervention of the Court to review the issuance of Waivers of Registration in procuring medical supplies, and direct the Respondents to comply with the procedural safeguards imposed by law, regulations and rules to ensure transparency in procurement.

“It is evident that the alleged ‘emergency’ which prevailed in the healthcare sector was largely owing to mismanagement, giving rise to concerns as to whether such gross mismanagement is indicative of the machinations of individuals holding office in inter alia the Ministry of Health, who orchestrated the said emergency for ulterior motives,” the Petition states.

This Petition is filed in addition to TISL’s ongoing Petition (SCFR/65/2023), which was filed in February 2023, in view of the glaring malpractices and disregard for compliance with law when importing pharmaceuticals under the Indian Credit Line.

TISL, in its latest FR Application, requests the Court to direct the Auditor General to conduct a special inquiry into the decision to procure medical supplies from medical suppliers to whom Waivers of Registration had been issued, and compute the cost incurred by procuring medical supplies through them.

In addition, it requests the Court to direct the Attorney General (AG) to commence prosecution of persons identified to have obtained financial or other benefits through the procurement of medical supplies through the use of Waivers of Registration. It further requests the Court to direct the AG to recover the costs incurred to the State or the public, and seek compensation from the relevant parties mentioned in the Petition.

(lankabusinessonline.com)

 (This story, originally published by lankabusinessonline.com has not been edited by SLM staff)

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PSD security for Iranian President!

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It is reported that the Presidential Security Division has taken over the security of the visiting Iranian President – Ebrahim Raisi, who will arrive at Sri Lanka on April 24 for the inauguration of the Uma Oya project.

The Iranian President is to land at Mattala Airport and escorted to Uma Oya before being escorted to Colombo for a discussion with his Sri Lankan counterpart.

A special discussion with regard to the visit had been reportedly held yesterday (April 18) between officials of the Defence Ministry and Ministry of Foreign Affairs.

It was also previously reported that the US had voiced opposition against the Iranian President’s visit.

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