“You can increase your fuel prices, but we won’t”: Govt tells private suppliers
COLOMBO, October 11, 2026 — The Sri Lankan government has ruled out increasing fuel prices to accommodate the demands of private fuel suppliers, with Energy Minister Anura Karunathilaka warning that companies restricting supplies could face appropriate action.
The minister said the government would not shift the cost burden onto consumers by raising fuel prices solely to meet the commercial requirements of private operators.
Under the agreements governing their operations, private fuel companies have the option of determining their own selling prices based on their respective costs, Karunathilaka said, distinguishing their pricing decisions from the government’s approach to fuel pricing.
The government’s position highlights the tension between private-sector operating costs and the need to maintain affordable fuel prices for consumers, businesses and the wider economy.
Fuel prices have direct implications for Sri Lanka’s transport, logistics, manufacturing and distribution sectors, influencing business operating costs and the prices of goods and services. Any increase can therefore place additional pressure on household budgets and business margins, particularly among fuel-intensive industries.
The minister also warned that the government would take appropriate measures if private suppliers continued to restrict fuel supplies, signalling that supply disruptions would not be accepted as a means of pressing for changes to pricing arrangements.
The remarks come amid concerns over restrictions imposed by private fuel companies and their demands relating to selling prices.
The outcome of the dispute could have implications for fuel availability, competition among suppliers and the operating environment for businesses that depend on reliable fuel supplies.
While the government has reaffirmed its position against raising prices to satisfy private suppliers, the immediate impact on fuel distribution will depend on how the companies respond and whether supply restrictions persist.
