The government has spent Rs. 98 billion on fuel subsidies this year while evaluating whether to extend financial relief into the coming month, Labour Minister and Deputy Minister of Finance and Planning Dr Anil Jayantha Fernando said.
He made these remarks in parliament recently.
He said that State relief mechanisms have cushioned key power sectors alongside general consumers, with specific measures preventing electricity tariff hikes for households consuming under 180 units.
Financial relief has also been directed to the Ceylon Petroleum Corporation (CPC) and subsidiaries of the Ceylon Electricity Board (CEB) during monthly adjustments guided by the national pricing formula.
Addressing concerns over global market volatility, Minister Fernando stated that the government had acted to secure domestic fuel reserves and maintain domestic price stability following the outbreak of conflict in the Middle East.
Treasury allocations reserved for the final quarter of the year stand at Rs. 41 billion, forming part of the total expenditure incurred to cushion energy costs.
However, current funding for the fuel subsidy programme will be completely exhausted by 31 December, leading officials to examine the feasibility of extending treasury support into January if conditions require further intervention.
