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Wednesday, 31 August 2011

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Government Gazette

CPC petrol fiasco:

Relief for damaged vehicles

*Filling stations too to be compensated

*Guilty companies to be charged


Measures taken

* CPC Chairman directed to recover losses
* Maximum compensation of Rs 50,000
* About 1,800 complaints


The Petroleum Industries Ministry has instructed the Ceylon Petroleum Corporation to take measures to commence payment of compensation to persons whose vehicles were damaged due to the use of substandard petrol, within two weeks, and complete the process within a few days.


Minister
Susil Premajayantha

Petroleum Industries Minister Susil Premajayantha told the Daily News that the CPC chairman has been directed to take steps to recover the financial losses suffered by the CPC from the company that sold the substandard petrol. He added that there were instances of recovering damages from companies that supplied petrol with changes in the content.

A senior CPC official in the Sales Division said that the vehicles that suffered damage due to the use of adulterated petrol would be paid compensation up to a maximum of Rs.50,000 under the recommendations of the committee appointed to investigate the issue.

He added there are only about 15 cars that could claim this compensation.

The officer further stated that there are about 1,800 complaints made stating that the vehicles have been damaged due to use of inferior petrol but most of these damages are estimated at around Rs 13,000 or 15,000. Compensation will be paid to filling stations whose petrol pumps that were damaged for the same reason.

He also stated that those who have lodged complaints directly with the CPC are eligible for compensation and those who made their complaints over the phone will have to submit a written complaint to the CPC along with the reference number handed to them to be eligible for compensation.

The ministry sources stated that the authorities have been directed to take disciplinary action against those officers who are responsible for the import of substandard petrol as the Committee found that they had not followed proper procurement procedures. He also added that the Acting Secretary to the Petroleum Industries Ministry informed the CPC Chairman and the Secretary to the Public Administration and Home Affairs Ministry to take relevant measures in this connection.

Twenty thousand metric tons of inferior quality petrol was imported and 513 metric tons were released directly to the market which caused damage to vehicles and a few petrol pumps.

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