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Private bus owners demand 20% fare hike

28 Dec 2021

  • Reject 7.5-10% fare revision
  • If diesel subsidy not provided, demand Rs. 20 as minimum fare
BY Buddhika Samaraweera Emphasising that they would not accept a revision in bus fares by 7.5% or 10%, the All Ceylon Private Bus Owners’ Association (ACPBOA) has demanded that bus fares be revised at least by 20%, taking into account the prevailing fuel prices. Speaking to the media yesterday (28), ACPBOA General Secretary Anjana Priyanjith said: “If bus fares are to be revised by 7.5% or 10%, we are not at all ready to accept it. We say that if the diesel subsidy cannot be given, the minimum bus fare should be revised to Rs. 20. Also, the total bus fare should be increased by 20%.” Following the Government’s decision to increase fuel prices with effect from 21 December, the Lanka Private Bus Owners’ Association (LPBOA) last week stated that bus fares would definitely have to be increased in line with the revised fuel prices. Speaking to the media last Sunday (26), State Minister of Vehicle Regulation, Bus Transport Services and Train Compartments, and Motor Car Industry Dilum Amunugama said the Government would have to revise bus fares by a small amount. “We will allow a hike in bus fares under the condition that it is reduced when the fuel prices go down and the restrictions on the passenger capacity are lifted. We are doing this reluctantly,” he said. Minister of Transport Pavithra Wanniarachchi was not available for comment. Meanwhile, the Ceylon Petroleum Corporation (CPC) announced that fuel prices have been increased with effect from 21 December. Accordingly, the price of a litre of 92 Octane petrol increased by Rs. 20 to Rs. 177, while the price of a litre of 95 Octane petrol increased by Rs. 23 to Rs. 207. The price of auto diesel increased by Rs. 10 per litre, bringing the new price to Rs. 121. The price of a litre of super diesel increased by Rs. 15 to Rs. 159 per litre while the price of kerosene increased by Rs. 10 to Rs. 87 per litre.  Speaking to The Morning last week, LPBOA President Gemunu Wijeratne said the minimum bus fare would have to be increased to at least Rs. 25 in the face of the current fuel prices. However, he said that a final decision regarding how bus fares should be revised would be taken after discussions with the LPBOA members. “It is unfortunate that the Government has hiked fuel prices without developing the public transportation services. We have on a number of occasions made proposals to the authorities, including the Ministry of Transport, on how to reduce the cost of fuel through the development of public transportation, but they have not taken any action in this regard,” charged Wijeratne. Following the announcement of the fuel price hike last week, Ministry of Energy Secretary K.D.R. Olga told The Morning that the decision was taken to control demand for fuel. “The decision to increase fuel prices was taken by the Central Bank of Sri Lanka (CBSL), the Ministry of Finance, and the Ministry of Energy collectively, considering the recently reported justifications put forward by the CBSL Governor to increase fuel prices in order to control fuel demand, considering the need to protect the foreign reserves of the country.” Cabinet Spokesman and Minister of Mass Media Dullas Alahapperuma also told the media during a press conference that the price hike was to control demand. “This is one of several solutions that will be implemented to address the falling foreign reserves of the country. Every month, we are forced to spend around Rs. 350-400 million on fuel imports. As the Governor of the CBSL has claimed, this is one of the primary reasons for our foreign reserves to fall as they have. Therefore, all government agencies including the Ministry of Finance, CPC, and the CBSL are of the belief that it is necessary to control the fuel demand of the country.”


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