Due to the prevailing Corvid crisis, it was revealed that the CPC lost rupees 45 billion during the past three months, adding to the total losses of 10.9 billion rupees for 2019.
The reason being the depreciation of the local rupee and the lack of demand for fuel during the lock down period. This was divulged during the discussion the minister in charge had with the trade union representatives.
Minister Mahinda Amaraweera has been informed by the trade unions of that Ceylon Petroleum Corporation has incurred a loss of Rs. 45 billion, compared to the loss of Rs. 10 billion incurred in 2019.
The minister has been informed so during a meeting held earlier today with Representatives of CPC and CPTSL Trade Unions, which was to obtain proposals and suggestions to develop CPC and Ceylon Petroleum Storage Terminal Limited (CPSTL).
The Trade Union Representatives pointed out that the reasons for this loss is mainly due to the CPC not being modernized according to the current times, petroluem Refinery being able to produce only 30-35% of the nationwide need of fuel and also the depreciation of the rupee in comparison to the US Dollar.
They also had noted that the loss has multiplied within the last 3 months due to Covid-19 as the rupee has depreciated and the demand for petroleum being reduced.