Minister of Energy Udaya Gammanpila has refuted a news report published by the Aruna Newspaper yesterday claiming that he had proposed an increase in fuel prices.

He pointed out that the news report is factually incorrect, adding that he had not submitted a proposal to increase fuel prices at the cabinet meeting held on Monday.

Issuing a statement, Minister Gammanpila said he had only pointed out that the price of crude oil has reached US$ 58 and as a result, the Ceylon Petroleum Corporation is facing a loss of Rs 10 for a litre of diesel and Rs. 17 for a litre of petrol.

The Minister said he had further explained that if the tax imposed earlier during the time of a drop in fuel prices, is not reduced, it will lead to the increase in fuel prices in the future.

The President had thereafter instructed to reduce the tax imposed on fuel, which Minister Gammanpila said was his intention, and the reason why he had directed attention to the price of fuel at present. (NewsWire)