Sri Lanka’s state-run Ceylon Petroleum Corporation (CPC) on Sunday reduced the diesel and petrol retail prices, the first decrease after five hikes since February as the severe foreign exchange shortage hampered the import of fuel in the country reeling under its worst economic crisis since independence in 1948.

The new prices will be effective from 10pm on Sunday.

The diesel and petrol retail prices have been reduced by Rupees 20 each. At the end of May, there was an increase of Rs 50 and Rs 60.

The Indian Oil Company's local operation, the Lankan Indian Oil Company (LIOC), also said that they would effect the price reduction.

The state fuel entity is still unable to make supplies available. Since the end of June, their supplies had been limited to essential services while the LIOC is serving the individual customers.

On Saturday, the Sri Lankan government introduced fuel passes to provide fuel to the public in an orderly manner amidst its worst energy crisis.

The passes will guarantee a weekly quota to every vehicle owner.

“Today we have introduced the national fuel pass. This will guarantee a weekly quota for each vehicle,” power and energy minister Kanchana Wijesekara said after the initiative was launched on Saturday.

National Fuel Pass was developed with the assistance of leading tech companies in Sri Lanka and the Institute of Communication and Information Technology (ICTA) without any cost to Ceylon Petroleum Corporation (CPC) or the government, the Colombo Page reported.

He said the public are advised to register with the fuel pass website fuelpass.gov.lk with their personal identification.