- Discussing with ministry to get more fuel sheds: LIOC MD
- 100 more requested, says positive response received
The Lanka Indian Oil Company (LIOC) has revealed plans to expand its business in Sri Lanka amidst the Government’s decision to award licences to three global oil companies to operate in the domestic fuel retail market.
Speaking to The Sunday Morning Business, LIOC Managing Director Manoj Gupta stated that the expansion of LIOC’s business in Sri Lanka was a priority and that increasing the number of LIOC outlets was being actively looked into. He further stated that negotiations had already commenced with the Ministry of Energy for the allocation of additional fuel sheds.
Elaborating further, he stated: “We have informed the Energy Ministry that we would like a further allocation of around 100 fuel sheds. The response so far has been positive; they are presently considering our request.”
Gupta stated that from the 50 new fuel sheds recently allocated to the LIOC, 39 sheds had already been commissioned and that the remaining 11 sheds would be commissioned shortly.
Responding to a query put forward by The Sunday Morning Business on whether the LIOC would consider establishing refining facilities in Sri Lanka, he stated: “I cannot comment on this right now. These things are in a premature state. Discussions are ongoing and some studies and data are being collated for that.”
All attempts by The Sunday Morning Business to contact Minister of Power and Energy Kanchana Wijesekera on the matter proved futile. Similarly, the Secretary to the Minister of Energy also declined to comment.
On Monday (27), the Minister of Power and Energy on his official Twitter handle revealed that the Cabinet had approved the awarding of licences to Sinopec (China), United Petroleum (Australia), and RM Parks (the US) in collaboration with Shell, to enter the retail market in Sri Lanka.
The three companies will each be allocated 150 dealer-operated fuel sheds currently operated by the State-owned Ceylon Petroleum Corporation (CPC) and obtain 20-year licences to import, store, distribute, and sell petroleum products in Sri Lanka. A further 50 fuel stations will be established at new locations by each company.