The widespread practice of powerful politicians of both the SLFP and UNP `gifting’ Petroleum Corporation owned filling stations to their kith and kin will soon come to an end.
These filling stations, some in prime locations in Colombo, were given lock stock and barrel to favourites without charging a cent even though everything down to supervision, spares, maintenance and replacement of broken equipment were taken care of by the CPC. Despite the services provided, dealers running these filling stations are entitled to a commission of 2.25 percent of the value of the fuel they sell.
Sources said a previous President was brazen enough to grant two filling stations in Colombo to two of his brothers in law and a third in Colombo 07 to a close friend of his wife.
“This third shed even to this day is being run by the friend on same terms with CPC incurring all the expenses”, a top official said.
Another President gifted a filling station also in Colombo to a chief security officer for services rendered.Those `services’ landed the officer concerned in prison recently.
Whatever fault incumbent Chairman of the Corporation, Harry Jayawardena might have, sources said he is the ideal man to clean up the place and this has not gone down too well with political bosses who want to continue with past practices.
Recently, according to insiders, the CPC had written to about 90 filling stations requiring them to undertake upgrading and maintenance according to CPC specifications and standards in return for the normal commission of 2.5 per cent as with other dealers.
It costs between Rs 12 to 25 million to upgrade a filling station with modern equipment and the Corporation had not upgraded most of these stations because they were among about 100 sheds identified by a previous regime for a third player to enter the petroleum distribution sector.
Since petrol sheds are money spinners, at least 30 dealers have already agreed to this proposal, while the rest have asked for further discussions.
Sources said the balance 60 odd dealers are likely to be given a hearing later this month.
Meanwhile the Corporation will open an ultra modern filling station at Mahatma Gandhi Road, Jaffna today. It is said to be on par with any filling station in Colombo offering among other things top of the range super diesel, 95 octane petrol and payment by credit card. The entire cost of upgrading the station that had remained closed for about 25 years has been met by the dealer.
The Island: