Cooking gas duopoly puts housewives, restaurants on the burner
Homemakers are incensed at the increase in the price of cooking gas and so are the commercial users.
A 12.5 kilogram Litro gas cylinder would cost Rs 1,431 in Colombo, up by Rs 110 from this week. The same applies to a Laugfs gas cylinder.
The Consumer Affairs Authority, took the decision in favour of the bottom line of dominant liquified petroleum gas suppliers.
Households will have to bear an additional financial burden and cut down on the use of cooking gas.
Some restaurant operators say they will not increase prices despite the extra cost to their operations.
Some admit the price increase is an added cost, but others are concerned that they could drive away diners if prices are jacked up.
Still, an industry group has announced price increases for tea, hoppers and lunch.
Roadside restaurant operator, Mr
We appealed to all relevant authorities not to touch consumer items and instead increase taxes on luxury items. However the responses were negative."
Nimal Kulasekara, who has been in the business for 25 years in Slave Island, said he would increase prices, though not immediately. He said the cost of gas was not the only factor that will affect the prices of food and beverage.
His restaurant uses up one gas cylinder a day to make about 250 hoppers, 400 cups of milk tea and about 200 cups of black tea.
T. M .Muneer, who has operated a restaurant for seven years in Colombo, said he would not raise prices of meals, because that would drive diners away. But he noted, prices vary from one to restaurant to another. His restaurant uses up five gas cylinders a day.
“People are angry and worried at the same time. But we cannot afford to lose customers by increasing prices,’’ he said.
The chairman of the National Movement for Consumer Rights Protection, Ranjith Vithanage told the SundayTimes that LPG producers have been lobbying the Government to increase prices.
“The request was a long standing one that had been ignored until recently when they decided to increase prices considering global market price,’’ he said.
But he noted, prices are not reduced when prices in the global market drops. “This price hike is another burden on many households,’’ he said.
Mr Vithanage said the group has asked the Government to negotiate and discuss with the LPG producers.
Meanwhile, with effect from last Thursday, the Association of Sri Lanka Restaurant Owners has decided to increase prices.
Milk tea will cost Rs 40, a Rs 5 increase and a hopper will cost Rs 15 compared with Rs 12 before. A cup of black tea will cost Rs 20, up from Rs 15. A packet of rice will cost Rs.130.
National organiser of the Association of Sri Lanka Restaurant Owners, Asela Sampath, suggested a price formula for food items.
He also said prices of food should be controlled.
Suhaila Hussain, president of the Housewives Association, said many are upset at the cooking gas price increase. “We appealed to all relevant authorities not to touch consumer items and instead increase taxes on luxury items. However the responses were negative,’’ she said.