Natural shutdown looms as millions in queues and economy losing billions

Monday, 4 July 2022 02:32 -     - {{hitsCtrl.values.hits}}

 

  • Schools closed yet again for a week; public transport, healthcare among critical sectors impacted by worsening fuel shortage
  • Activists renew call for 225 MPs to resign over failure to resolve crisis as Parliament meets this week
  • 1.6% contraction in economy in 1Q, food inflation soaring to 80% in June along with Bar Association legal action adds more pressure on interim-Govt. and politicians  

A natural shutdown of the country or key sectors looms as millions of people languish in queues and the economy loses billions of rupees as the fuel shortage worsened over the weekend with no signs of the situation improving for many weeks.

The Government yesterday announced a week-long shutdown of all schools as public transport with minimum service remains inaccessible. The private sector operators are also scrambling in long queues to source fuel.

Private sector sources said that business activities are likely to be further hampered this week with the entire supply chain poised to come to a grinding halt due to the fuel crisis. In a major setback to the resilient export sector, the container transportation sector warned that inability to find fuel would force them to suspend operations. 

Due to unsatisfactory public transportation as well as no diesel for generators, a large number of offices have reverted to work from home as well. 

The Energy Minister Kanchana Wijesekera yesterday announced a 40,000 ton diesel consignment procured by CPC will arrive by Friday or Saturday whilst Lanka IOC said a shipment of diesel and petrol will reach by 13 or 14 July.

As “worst three weeks” prophesied by Prime Minister Ranil Wickremesinghe is coming to an end the announcement by the Energy Minister implies the Government has failed to ensure a more regular supply of fuel from the first week of July.  Public anger is also on the rise as people are queuing up for three to five days to obtain rationed fuel. With Parliament slated to meet this week and Prime Minister also scheduled to give his now standard crisis resolution status update, agitated activists are renewing their call on all 225 MPs to resign over their collective failure to reduce hardships on the people.

An adjournment debate moved by the Opposition on the prevailing crisis situation in the country is scheduled for Wednesday.

Activists said the Parliament has been only good at debating the crisis and its impact which the masses are going through, rather than uniting to find urgent solutions.

Given the collective failure of the President Gotabaya Rajapaksa – Prime Minister Wickremesinghe interim Government, civil society and the clergy are pressuring the current administration to resign and form a credible all-party interim Government. 

The Bar Association of Sri Lanka (BASL) on Friday filed a motion in the Supreme Court, asking the latter to take up today for interim relief the Fundamental Rights (FR) petition lodged on behalf of the citizens over the continuous violation of the fundamental rights due to the ongoing shortages.

The Petitioners, including BASL President Saliya Peiris PC and three of its office-bearers, moved the court to consider the case as a matter of extreme urgency and national importance and have this case listed for support for interim relief today.

The Petitioners also sought a permanent Bench of the SC be appointed to hear and determine this case, as there is a need for continuity in the proceedings due to the critical importance of the matters referred to in the Petition.

The Petitioners have cited 43 Respondents including the Prime Minister, Cabinet of Ministers and secretaries to various ministries.

The Petitioners stated that since the date of filing of the application on 24 March, adequate and timely steps have not been taken by one or more of the Respondents to ensure an uninterrupted and continuous supply of petrol, diesel, kerosene oil, LP Gas, electricity and medicines which are vital to the life and survival of the people of Sri Lanka. As a result, people have been compelled to languish in long queues and are subject to fuel quotas.

The motion said that one or more of the Respondents have failed to duly and responsibly inform the public of the measures, if any, that have been taken to alleviate the continuing and unbearable hardship and suffering experienced by the public, due to the continued unavailability of fuel, LP Gas, electricity and medicines.

It stated that the fundamental rights of the people of Sri Lanka including that of the Petitioners are being continuously violated by the action and/or inaction of the Respondents, and that unless immediate steps are taken to ensure the uninterrupted supply of fuel, LP Gas, electricity, food and medicines, the fundamental rights of the Petitioners and the people of Sri Lanka, including their right to life would continue to be infringed.

The Department of Census and Statistics last week revealed that the economy in the first quarter had contracted by 1.6% and the dismal performance was, despite the 2021 fourth quarter, registering a 1.8% growth amidst the COVID-19 pandemic and 3.3% growth overall last year.

Inflation as per the Colombo Consumer Price Index crossed the psychological 50% mark to 54.6% in June from 39% in May. Food inflation (Y-o-Y) increased to 80.1% in June 2022 from 57.4% in May 2022, while Non-Food inflation (Y-o-Y) increased to 42.4% in June 2022 from 30.6% in May 2022.

 

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