Explaining further, she provided: “A Fuel Price Stabilisation Fund should be established in a market where fuel prices are falling and not in a market where prices are increasing.”She also stated that no discussions have been held within the Ministry of Energy with regard to the implementation of a fuel pricing mechanism as of right now. Her comments come amidst calls to implement a fuel pricing mechanism from the Central Bank of Sri Lanka (CBSL) and the Ministry of Justice. I have proposed the Fuel Price Stabilisation Fund from last year, as it is more suitable for a country like Sri Lanka. During 2020, when world fuel prices were low, an import tax surcharge was imposed on fuel to maintain the domestic prices and the gains which arose from such non-adjustment of domestic fuel prices were transmitted to the FPSF. This tax surcharge was removed when fuel prices started going up during the latter half of 2020.

Source: The Nation November 17, 2021 19:41 UTC