Sri Lanka threatens to nationalise Indian Oil over price spat

Sri Lanka has threatened to nationalise the local unit of Indian Oil unless it reduces the retail price of diesel, local officials said.

Petroleum Minister A.H.M. Fowzie said the government will take over the 160 fuel retail depots operated by Lanka IOC, the local subsidiary of India’s state-owned Indian Oil Corporation (IOC), unless it makes the reductions.
Diesel is commonly used by public transport.

“Steps could be taken to re-vest the filling stations given to the IOC,” the minister was quoted as saying in the state-run Daily News.

Sri Lanka sold a third of its petroleum distribution network to the IOC in 2003 as part of a move to end the monopoly on retail sales.

Asia Times