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Lanka workers end strike against proposed oil deal with India

Workers of Sri Lanka's state-run petroleum company said today that they have ended their strike against a proposed deal with India to jointly operate a strategic oil facility following assurance from Prime Minister Ranil Wickremesinghe that he won't sign the pact during his visit to India.

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Workers of Sri Lanka's state-run petroleum company said today that they have ended their strike against a proposed deal with India to jointly operate a strategic oil facility following assurance from Prime Minister Ranil Wickremesinghe that he won't sign the pact during his visit to India.

"We were called by the prime minister for talks and he told us that he would not be signing a deal with India (to this effect) during his visit," said Bandula Saman Kumara, the spokesman of Ceylon Petroleum Corporation (CPC) Trade Union Collective.

Wickremesinghe is set begin his visit to India tomorrow.

Earlier today, the workers had gone on an indefinite strike against the proposed deal with India to jointly operate the strategic oil storage facility at Trincomalee port. The strike had crippled fuel distribution and resulted in long queues at filling stations across the island nation.

Ceylon Petroleum Corporation (CPC) Trade Union Collective workers had yesterday threatened to go an indefinite strike after which Petroleum Minister Chandima Weerakkody had held talks with the workers but was not able to end the impasse.

CPC Managing Director Nadun Fernando said: "Disruption in fuel distribution has been reported due to the strike and long lines of motorists have been observed at filling stations." "There will be no shortage of fuel during the strike as enough fuel has been distributed throughout the country," he said.

Lanka Indian Oil Company (LIOC) had said its operations continue despite the strike launched by CPC.

Lanka and India are expected to sign an agreement to jointly operate an oil storage facility at the strategic eastern port town of Trincomalee.

The workers have three demands which include getting the government to stop granting outright ownership of some 14 World War II-era oil storage tanks in the eastern port district of Trincomalee.

The Petroleum Joint Union Alliance had said it opposes the proposal to transfer operations rights to oil tanks to India since the agreement would benefit the Lanka IOC, Indian Oil's subsidiary, allowing it to expand further and the CPC, which is already in debt, will incur further financial losses.

They had also asked the government to shelve plans to build a new oil refinery with Chinese assistance in the southern port of Hambantota and to immediately begin repairing the existing refinery near Colombo.

The Marxist Janatha Vimukthi Peramuna (JVP) backed the trade union's action saying that they oppose the agreement to be signed between Sri Lanka and India.

Sri Lanka Freedom Party (SLFP) General Secretary Duminda Dissanayake said the move is part of attempts by the Lankan government to sell state assets to foreign companies.

Bandula Saman Kumara, a spokesman for the trade unions, had said by mid-week the Colombo international airport would face the danger of becoming non-operational due to fuel sector strike.

At least 73 of the 99 storage tanks in Trincomalee is to be managed under a new equity arrangement between the two countries, Lankan Petroleum Minister Chandima Weerakkody had said earlier.

The union had taken the decision to strike after President Maithripala Sirisena has reportedly turned down a request for a meeting to discuss the issue.

Lankan Prime Minister Ranil Wickremesinghe, who will visit India on April 25, had said the development of eastern port district of Trincomalee will be discussed during his visit.

 

(This article has not been edited by DNA's editorial team and is auto-generated from an agency feed.)

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