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Millions for spare parts to repair damaged equipment

The cash-strapped Ceylon Petroleum Corporation (CPC) will have to bear additional costs amounting to millions of rupees having to airlift spare parts for fuel pumping machines at filling stations and other equipment damaged after the use of sub standard petrol, trade unions said yesterday.

The CPC had earlier admitted that the 20,000 tonnes of petrol imported to the country on June 17, had been of low quality.

Pumping machines and vehicles which used this petrol were damaged and the Petroleum Ministry assured that it would pay for the repairs.

Despite lab tests having found the petrol was of low quality, 17,000 tonnes had been released to the market.

CPC’s Jathika Sevaka Sangamaya President Ananda Palitha said the CPC had decided to compensate those affected.

“We believe it will cost at least Rs.150 million to import spare parts. Those responsible for the import of this low quality petrol should be punished,” he said.

When asked, Petroleum Minister Susil Premajayantha admitted he had ordered that spare parts be imported from China urgently to repair the damaged equipment but said he was unable to say what the costs would be.

He said the ministry had made a claim with the supplier for exporting sub standard petrol to the country.

“This stock has been imported on a Letter of Credit. Therefore, it is difficult for us to stop payment. But, we have made a claim from the company that supplied the petrol,” he said.


Posted on Saturday, July 16, 2011 @ 09:38:18 LKT


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