Minister of Energy Udaya Gammanpila has revealed that the cabinet approved ‘Fuel Price Stabilisation Fund’ was never maintained. A Fuel Price Stabilisation Fund should be implemented when the prices of fuel drop, he said, adding that the plan was to use the fund to stabilize prices in the event fuel prices increase globally. “Although the cabinet approved to establish the fund, it was never realized as the government lost foreign revenue with the surge in COVID-19 cases in March last year,” he said. “However, in March 2021, the government studied 28 global price stabilization mechanisms in order to establish the Fuel Price Stabilization Fund with the goal of catering to Sri Lanka’s requirements,” he said. Despite, the Minister stated that such a fund cannot be implemented when global market prices are rising and stated that the Fuel Price Stabilization Fund would most likely be implemented in the future.

Source: The Nation June 15, 2021 08:03 UTC