With fuel prices being hiked again in Sri Lanka, United People’s Shakti United Federation of Trade Union Co-Ordinator Ananda Balitha has made serious allegations about the government’s actions behind this price hike.
Speaking to the media following the hike in fuel prices, he blamed the global market situation and regional conflicts and accused the government of setting high prices for old fuel already in stock in the country.
According to him, the current price revision is a move to further increase the cost of living of the public. He also criticized the government for raising fuel and electricity tariffs while claiming to provide relief to people.
As there may be a different interpretation on the part of the government regarding these allegations, the comments made by Ananda Palitha should be seen as allegations based on his political position.
Ananda Palitha’s review on fuel price hike
New fuel prices have come into effect in Sri Lanka from 1st October. According to this, the price of octane 92 petrol has been increased by Rs 15 to Rs 414 per litre. The price of regular diesel has gone up by Rs 10 to Rs 392. Meanwhile, the price of Super Diesel has increased by Rs 50 to Rs 528 in one go.
Ananda Balitha has presented his criticism regarding this change. He said it was unacceptable to raise fuel prices citing global situations and regional conflicts.
In particular, he alleged that not all the fuel that was hiked was newly imported at that time and the fuel that was already in stock in the country was also charged with the new price.
Ananda Balitha also said that the Sri Lankan Petroleum Corporation and the government are working together to make foreign private companies more profitable. He also said that money is being indirectly collected from the public through this.
Another important aspect of his criticism is related to subsidies. He alleged that every time the fuel and electricity charges are increased, the government creates an impression of subsidizing the people, but the tax money accrued to the government is then given to the people in the name of subsidy.
He said that due to this, people have to pay higher taxes on the one hand and face higher prices on the other hand.
Questions raised regarding procurement activities
Related to the fuel price issue, Ananda Palitha has also raised questions about the government’s procurement practices.
He alleged that additional burdens were being imposed on the public to cover the alleged financial losses incurred in certain activities including coal procurement. He also said that a lot of money is being collected from the people to protect the ministers and officials.
However, it should be noted that these are all political allegations made by him. Official investigations or relevant documents are necessary to ascertain whether irregularities have taken place in the said procurement activities.
Earlier, Ananda Pallitha had criticized the government over fuel prices. In another of his comments published in June 2026, he had said that given the prevailing situation in the country, petrol and diesel prices could be reduced. He had also alleged that the explanations given by the government to the people regarding fuel prices were contradictory.
In that context, he has strongly opposed the current price hike.
Meanwhile, it remains to be seen how the new fuel price change will impact the daily lives of the public. An increase in fuel prices is likely to impact the cost of transportation, delivery of goods and various services.
People’s expense and government’s responsibility
Rising fuel prices are not just an issue affecting vehicle owners. Fuel costs are directly related to vehicles carrying goods, commercial establishments, agricultural activities and public transport.
Thus, the change in fuel prices may be gradually reflected in various sectors. The new price hike could also put pressure on households’ monthly budgets, especially as people worry about the already high cost of living.
Meanwhile, the National Transport Commission has said that there will be no immediate increase in bus fares after the new fare hike. It has been informed that at least the bus passengers will not incur additional fare burden immediately.
But if fuel costs continue to rise in the long run, the question arises whether it will have an impact on the costs of the transport sector.
The government has to consider many factors like international market price, import cost, taxes, currency exchange rate and country’s fuel reserves while fixing the fuel price. At the same time, there is an expectation that basic information on pricing should be clearly provided to the public.
If the official clarifications about the truth of the allegations made by Ananda Palitha are released, more clarity on this matter can be had. Public questions regarding price hikes may be answered if information such as how the new price was determined for old fuel stocks, the cost of procurement, the revenue to the government and the actual cost to the petroleum companies are made transparent.
At present, severe criticism has been leveled against the government by the opposition party regarding the increase in fuel prices. On the other hand, explanations regarding the government’s reasons for pricing and the international market situation also gain importance.
Thus, the issue has moved beyond political charges to focus on how fuel prices are determined and to what extent the burden ultimately falls on the public.