Sapugaskanda oil refinery earlier produced 50 tons of Liquid Petroleum gas per day to meet the 25 percent of the LP gas consumption in the country.
Sources say that the import of LP gas will cause another price increase.
Ceylon Petroleum Corporation says that Sapugaskanda petroleum refinery will be closed until November 15th due to the shortage of crude oil supply.
The refinery used crude oil imported from Iran and the sanctions against Iran have created a dire situation in Sri Lanka's power sector.
The government says the country is incurring an additional cost of US$ 1.2 billion due to the inability to order Iranian crude and the government will discuss the matter with UN, US and EU to find a solution.