MISMANAGEMENT OF ARTIFICIAL FUEL SHORTAGE

Request for proposal gives 4 days to supply 85,000 Barrels of fuel Highlights painful mismanagement

When it comes to fuel shortages, one of the reasons you’ll hear in just about every news report or conversation is “supply and demand.” There will be a main cause—such as weather or political unrest in foreign nations—but there is much more to it than that in Sri Lanka. So it appears. Mismanagement on the part of the Ceylon Petroleum Corporation (CPC) appears to be the most likely scenario why there ‘appears’ to be a fuel shortage. The operative word is ‘appears’.

Sri Lanka is not at war, there are no known shipping strikes in the region, supplies of fuel is unaffected by trouble in the producing regions and so from a fuel supply and transport point of view there are little challenges to energy supply.

However there has been rationing of the fuel supply with a number of dealers complaining that they are not being given the requisite number of bowser loads of fuel they are asking for. They are not given any reasons just that the deliveries will be for much less.

No sooner had concerns been raised with none other than President Sirisena of an impending fuel crisis albeit created artificially, the Ceylon Petroleum Corporation sent out a request for proposals to their registered suppliers.
This gives the game away completely – the document carries a date stamp of 2nd November 2017. The request for proposal state that the delivery of the 85,000 barrels of fuel in any combination must be made in one go and that the delivery period is on the 7th and 8th of November 2017. The RFP (request for proposal) was sent out in the early hours of Thursday – 3rd Nov – in fact at approximately 01:15 hours approximately.

A supplier we spoke to said that this very short period given indicates very clearly that the party who will be awarded this contract most probably have the requirement very close to Sri Lanka’s territorial waters.
In short, it is that old game at play once again – fixing government procurement.

There can be no mitigating circumstances – there is enough money raised by the government to pay for fuel supplies. The CPC is aware of the requirement per day on average for fuel. (6-8,000 Metric tons per day). The management at the CPC is well aware of how to make purchases on time to meet the average demand. Therefore for this emergency situation to arise, it is because there has been a serious flaw in terms of management, charges a supplier who obviously wished to remain anonymous.

We await the standard response from the government – a denial, upholding how professional all the officers are, that this is media over reaction and such like. They will not answer the other more relevant questions.

Remember: the Bonds, the Coal supply, The Central Expressway Section 3, ICTA, Google loon (they said they never spent a cent except there is evidence now of a spend worth several million rupees and we await the explanation), they said there was no wrongdoing in the bond matter (now there is compelling evidence of wrongdoing like the infamous tapes, the refusal to give the iCloud password, the taped conversations, asking the Hon PM for information a day ahead of a bond auction..

Editor’s Note: Corruption is well and truly alive. Think before you vote. Think Again. Use your vote wisely and do not get swayed by ‘election talk’. Once corrupt are elected you are stuck with them for a while!

Click here to read the Cargo Import Proposal