On Monday, Sri Lankan energy companies said they were running low on stocks of liquid petroleum gas mainly used in cooking, as shortages of foreign exchange put renewed pressure on the island nation.

State-run Litro Gas chairman, Vijitha Herath, told Reuters that Sri Lanka’s foreign exchange crisis was causing a severe gas shortage, with the company struggling to find adequate dollars for payments.

“With the president’s involvement, we will get $7 million from the central bank to pay for a 3,500 metric tonne shipment, which is expected to arrive on Tuesday,” he said.

The second player in Sri Lanka’s duopoly, Laugfs Gas, has less than 2000 metric tons of gas reserved for industries and hospitals.

The company was also struggling to find dollars and was currently in talks to use its overseas assets to open letters of credit.

“We are struggling to keep our businesses afloat,” Laugfs chairman, W.H.K Wegapitiya, said.

He estimated it would take at least another week for the company to secure a gas shipment.

Sri Lanka needs a minimum of 40,000 metric tons a month for gas, which costs about $40 million at current prices.

In recent days, long queues for cooking gas had frequently turned into impromptu protests as frustrated consumers blocked roads.

On Monday, several hundred ruling party supporters rallied outside the prime minister’s official residence after local media reported he might step down to alleviate pressure on the president, who was his younger brother.

“Whose power? Mahinda’s power,” they shouted as the compound gates swung open to allow them inside.

Shortages of fuel, food and medicines, have led to more than a month of mostly peaceful anti-government protests. However, Mr Rajapaksa declared a state of emergency for the second time in five weeks on Friday.

Sri Lanka has approached the International Monetary Fund for a bailout and will begin a virtual summit on Monday with officials from the multilateral lender to secure emergency assistance.

(Reuters/NAN)