A fare increase ahead of provincial council polls in September is said to be disadvantageous to the government.
Also, allowing the use of kerosene oil instead of fuel is against the green budget concept, say political analysts.
Meanwhile, CPC employees union secretary Ananda Palitha says the CPC was incurring a Rs. 37 per litre loss from kerosene oil sales.
Buses are already using kerosene oil as fuel, raising the daily requirement to 800 mt from 300 mt, he said.
This will adversely affect Samurdhi beneficiaries and fishermen, said Palitha.
Private bus owners association president Anjana Priyanjith said 30 pc of buses are run using kerosene oil.
Lanka private bus owners association chief Gemunu Wijeratne said they haven’t asked permission to use kerosene oil to run buses, which he said, was illegal.
Attempts to obtain a comment from finance ministry advisor Deshal de Mel failed.