India sends 40k MT diesel to Sri Lanka; rice supply soon

The Ceylon Electricity Board (CEB) also announced the resumption of power berating operations at Kerawalapitiya Thermal Power Plant after the receipt of supplies from LIOC, the Lankan subsidiary of the Indian Oil Corporation (IOC).

A consignment of 40,000 metric tonnes of diesel from India reached Sri Lanka on Saturday, while traders have started loading 40,000 tonnes of rice for prompt shipment as the island national faces an unprecedented economic and energy crisis caused due to shortage of foreign exchange, officials said.

Power cuts lasting over 13 hours were imposed on Thursday, the longest cut since 1996 when a strike by the state power entity employees caused a 72-hour black out. (PTI)

Power cuts lasting over 13 hours were imposed on Thursday, the longest cut since 1996 when a strike by the state power entity employees caused a 72-hour black out. Officials of the state fuel entity, Ceylon Electricity Board (CEB), said the Indian diesel supplies would ease the ongoing power cuts. The power cuts effective Saturday are over 8.5 hours.

“More fuel supplies delivered by #India to #SriLanka! A consignment of 40,000 MT of diesel under #Indian assistance through Line of Credit of $500 mn was handed over by (the) High Commissioner to Hon’ble Energy Minister Gamini Lokuge in #Colombo today,” the Indian High Commission here tweeted.

“This is the fourth consignment under the LoC. Fuel delivered from #IndianWells to people of #SriLanka in (the) last 50 days is about 200,000T,” the High Commission said.

The CEB also announced the resumption of power berating operations at Kerawalapitiya Thermal Power Plant after the receipt of supplies from LIOC, the Lankan subsidiary of the Indian Oil Corporation (IOC). The LIOC is to supply 6,000 MT diesel to the thermal plant.

The Indian Ocean island nation of 22 million people is struggling to pay for essential imports after a 70% drop in foreign exchange reserves in two years led to a currency devaluation and efforts to seek help from global lenders.

Meanwhile, the shipment of rice comes before a key festival in Sri Lanka.

India, the world’s biggest rice exporter, last month agreed to provide the $1 billion credit line to help ease crippling shortages of essential items, including fuel, food and medicine.

The rice shipments could help Colombo bring down rice prices, which have doubled in a year, adding fuel to the unrest.

“Rice loading has started in southern ports,” said B.V. Krishna Rao, managing director of Pattabhi Agro Foods, which is supplying rice to Sri Lanka State Trading (General) Corp under the Indian Credit Facility Agreement.

“We are first loading containers for prompt shipments and vessel loading will start in a few days.”