Mohamed Uvais, the former Chairman of the Ceylon Petroleum Corporation (CPC), has called on the government to consider reducing taxes on fuel to help stabilize prices amidst ongoing global tensions. 

Speaking at a recent press conference, Uvais highlighted the current disruptions in the Strait of Hormuz and warned that if Iran closes another strategic maritime route between Yemen and Africa, it could have severe repercussions for many countries, including Sri Lanka.

He emphasized that Sri Lanka, which imports 100 percent of its petroleum needs, is vulnerable to such international developments. 

With recent fuel price hikes of Rs. 25 across all varieties and global oil prices expected to rise further, Uvais stressed the importance of effective communication with fuel suppliers, efficient stock management, and strategic coordination to mitigate risks.

Uvais advocated for government intervention through tax reductions, arguing that such measures could prevent excessive fluctuations and provide relief to both industry and consumers. 

He warned that if Iran or its allies obstruct additional key trade routes accounting for approximately 35% of global oil transportation the resulting disruptions could severely impact Sri Lanka’s economy. He urged the adoption of modern strategies to ensure uninterrupted fuel supply amidst these geopolitical uncertainties.