Why Is Petrol Price So High ?

[Ta22]

Now the BAHT is ALL time STRONG is 34-35 baht PER USD .

the OIL price is ALL time LOW >. hovering at 58-60 USd

3-4 month ago .. when OIL price is ALL TIME HIGH at 70-78 USD ..

is was as LOW as 50usd use per Barrel

and Thai bath still at 37-38 to 1 USD

i see Petrol price at 27-28 baht per LItre of 95 octive

during

BUT WHY IS THE PETROL 95 - selling at 28-29 Baht . ( NOW 16th march 2007 )

WHEN OIL PRICE IS LOW and THE THAI BATH IS STRONG >

Suppose to be Cheaper . bet someone is pocketing this huge Sum of money

--------------------------------------------------------------------

Edited March 16, 2007 by Ta22

[ronw]

Now the BAHT is ALL time STRONG is 34-35 baht PER USD .

the OIL price is ALL time LOW >. hovering at 58-60 USd

3-4 month ago .. when OIL price is ALL TIME HIGH at 70-78 USD ..

is was as LOW as 50usd use per Barrel

and Thai bath still at 37-38 to 1 USD

i see Petrol price at 27-28 baht per LItre of 95 octive

during

BUT WHY IS THE PETROL 95 - selling at 28-29 Baht . ( NOW 16th march 2007 )

WHEN OIL PRICE IS LOW and THE THAI BATH IS STRONG >

Suppose to be Cheaper . bet someone is pocketing this huge Sum of money

--------------------------------------------------------------------

Because prices almost never fall...this is a worldwide phenomena....and is fueled by good capitalistic principles......otherwise known as GREED!

[ThaiPauly]

He's not wrong.....whenever prices go up at the pumps if the price of oil goes back to the same level pre the price increase it NEVER goes back to what it was.

Not just here but all over the world.

It costs me TWICE as much to fillup my car now as it did 3 years ago !

[SamSipEt]

Good question but perhaps the wider question is why is the Baht so strong?

[CobraSnakeNecktie]

Now the BAHT is ALL time STRONG is 34-35 baht PER USD .

the OIL price is ALL time LOW >. hovering at 58-60 USd

3-4 month ago .. when OIL price is ALL TIME HIGH at 70-78 USD ..

is was as LOW as 50usd use per Barrel

and Thai bath still at 37-38 to 1 USD

i see Petrol price at 27-28 baht per LItre of 95 octive

during

BUT WHY IS THE PETROL 95 - selling at 28-29 Baht . ( NOW 16th march 2007 )

WHEN OIL PRICE IS LOW and THE THAI BATH IS STRONG >

Suppose to be Cheaper . bet someone is pocketing this huge Sum of money

--------------------------------------------------------------------

Because prices almost never fall...this is a worldwide phenomena....and is fueled by good capitalistic principles......otherwise known as GREED!

its very cheap in some countries. You could move to Libya or Venezuela and its dirt cheap.

Lots of other factors affect price. Oil has to be refined and that is significant portion of cost. Different times of the year require different refined products for reduced air pollution. Takes many months for the prices to work thru the system.

Oil was $12 a barrel in 1999. With the higher prices extraction capacity will increase with investment and in a few years might see more supply and lower prices again. After the oil shock in the 1970's then much investment build up supply and by the mid 1980's oil got very cheap until 2003. During the 90's when oil was cheap then investment greatly declined and after some years the supply decreased.

[DragonLad]

Now the BAHT is ALL time STRONG is 34-35 baht PER USD .

the OIL price is ALL time LOW >. hovering at 58-60 USd

3-4 month ago .. when OIL price is ALL TIME HIGH at 70-78 USD ..

is was as LOW as 50usd use per Barrel

and Thai bath still at 37-38 to 1 USD

i see Petrol price at 27-28 baht per LItre of 95 octive

during

BUT WHY IS THE PETROL 95 - selling at 28-29 Baht . ( NOW 16th march 2007 )

WHEN OIL PRICE IS LOW and THE THAI BATH IS STRONG >

Suppose to be Cheaper . bet someone is pocketing this huge Sum of money

--------------------------------------------------------------------

Because prices almost never fall...this is a worldwide phenomena....and is fueled by good capitalistic principles......otherwise known as GREED!

that is the only thing feuling, Sorry for the pun the high prices of oil around the world. You think about considering what "we" have to do as opposed to what the oil companies have to do to get the gas to the pump, it's actually a bargain. All we have to do is reach for the pump and put it into our cars the oil companies have to do way more to get the oil to the pump. Think about it.

Edited March 17, 2007 by DragonLad

[ThaiPauly]

Now the BAHT is ALL time STRONG is 34-35 baht PER USD .

the OIL price is ALL time LOW >. hovering at 58-60 USd

3-4 month ago .. when OIL price is ALL TIME HIGH at 70-78 USD ..

is was as LOW as 50usd use per Barrel

and Thai bath still at 37-38 to 1 USD

i see Petrol price at 27-28 baht per LItre of 95 octive

during

BUT WHY IS THE PETROL 95 - selling at 28-29 Baht . ( NOW 16th march 2007 )

WHEN OIL PRICE IS LOW and THE THAI BATH IS STRONG >

Suppose to be Cheaper . bet someone is pocketing this huge Sum of money

--------------------------------------------------------------------

Because prices almost never fall...this is a worldwide phenomena....and is fueled by good capitalistic principles......otherwise known as GREED!

that is the only thing feuling, Sorry for the pun the high prices of oil around the world. You think about considering what "we" have to do as opposed to what the oil companies have to do to get the gas to the pump, it's actually a bargain. All we have to do is reach for the pump and put it into our cars the oil companies have to do way more to get the oil to the pump. Think about it.

We dont even have to "Reach for the pump" in LOS either

[solo siam]

Isn't this more to do with the fact that government here subsidise high fuel prices to try to keep the high prices down at times, when the oil prices ease the subsidies are removed and so the "price" at the pump doesn't change so much.

[jackr]

Now the BAHT is ALL time STRONG is 34-35 baht PER USD .

the OIL price is ALL time LOW >. hovering at 58-60 USd

3-4 month ago .. when OIL price is ALL TIME HIGH at 70-78 USD ..

is was as LOW as 50usd use per Barrel

and Thai bath still at 37-38 to 1 USD

i see Petrol price at 27-28 baht per LItre of 95 octive

during

BUT WHY IS THE PETROL 95 - selling at 28-29 Baht . ( NOW 16th march 2007 )

WHEN OIL PRICE IS LOW and THE THAI BATH IS STRONG >

Suppose to be Cheaper . bet someone is pocketing this huge Sum of money

--------------------------------------------------------------------

Because prices almost never fall...this is a worldwide phenomena....and is fueled by good capitalistic principles......otherwise known as GREED!

that is the only thing feuling, Sorry for the pun the high prices of oil around the world. You think about considering what "we" have to do as opposed to what the oil companies have to do to get the gas to the pump, it's actually a bargain. All we have to do is reach for the pump and put it into our cars the oil companies have to do way more to get the oil to the pump. Think about it.

Be that as it may, the main factor is the price per barrel and it has now gone way down yet the 'powers that be' airline tossers in los still charge that ridiculous 400-baht fuel surcharge! ronw is right on the money on this one

[BlissfullyIgnorant]

Isn't this more to do with the fact that government here subsidise high fuel prices to try to keep the high prices down at times, when the oil prices ease the subsidies are removed and so the "price" at the pump doesn't change so much.

The only type of fuel currently subsidised by the Thai government is Gasohol 95 (E10) - the subsidies on diesel went about 2 years ago, and I haven't been here long enough to even know if regular gasoline was ever subsidised.

[Donnyboy]

He's not wrong.....whenever prices go up at the pumps if the price of oil goes back to the same level pre the price increase it NEVER goes back to what it was.

Not just here but all over the world.

It costs me TWICE as much to fillup my car now as it did 3 years ago !

Consider yourselves lucky youre not paying NZ prices $1.55-1.60 litre = 37.2-38.4 baht/litre

NZ govt adds several taxes into the price to cover the welfare system & accident compensation scheme there & other stuff

England and the rest of europe is probably up there as well.

What I dont understand is why doesnt the government promote green cars (give toyota and honda etc incentives to build green & smaller cars here) and reduce the tax rate further on small engine cars so we import less foreign oil. -self sufficiency model.

Petrol prices up again

Thursday March 15, 2007

The price of petrol has risen again with oil companies raising it by 3c a litre.

Unleaded 91 octane is now selling at 155.9c a litre and 96 octane at 160.9c.

Shell spokeswoman Jackie Maitland said today that the company put its price up this afternoon by 3 cents a litre.

"The price increase only affects petrol -- regular and super but not diesel. But I understand our competitors have moved on diesel as well."

Ms Maitland said that the increase was due to the increased cost of products.

"We have a commitment to review our prices daily," she said.

Caltex spokeswoman Sharon Buckland confirmed the company had increased its petrol prices by 3c a litre.

"However, our price on diesel is unaffected and remains the same."

She attributed the rise to international price increases for refined fuel.

BP spokeswoman Diana Stretch confirmed it had also increased its petrol prices by 3 cents a litre.

The price of diesel remained unaffected.

-NZ Herald

[PeaceBlondie]

Ta22, you are so right. I am now paying $3 per gallon (US), for the first time in my life. Between the baht being 34.91 (yesterday, at the ATM) and the 91 benzene without ethanol being 27.54 baht per liter, that equates to exactly $3 per gallon. Ouch! Also, the landlady just raised my rent 500 baht to cover the moobahn fees, and I just paid 1000 baht to service the a/c unit, about 2000 baht to reinsure, re-register and re-inspect the car, and..and...this lifestyle isn't as cheap as it used to be.

[Ricardo]

Isn't this more to do with the fact that government here subsidise high fuel prices to try to keep the high prices down at times, when the oil prices ease the subsidies are removed and so the "price" at the pump doesn't change so much.

The only type of fuel currently subsidised by the Thai government is Gasohol 95 (E10) - the subsidies on diesel went about 2 years ago, and I haven't been here long enough to even know if regular gasoline was ever subsidised.

Taksin subsidised the price of fuel here heavily in the run-up to the 2005 election, when world prices were rising rapidly, this ceased shortly after he was re-elected.

Then they cut the subsidy, and started to add 1.5 B/litre charges, to recover the tremendous deficit which had been built up, 'stabilising' the price in Thailand. This recovery still continues today.

So you are correct to say that prices have not fallen, as they ought to have done, in line with world oil prices.

[Austhaied]

that is the only thing feuling, Sorry for the pun the high prices of oil around the world. You think about considering what "we" have to do as opposed to what the oil companies have to do to get the gas to the pump, it's actually a bargain. All we have to do is reach for the pump and put it into our cars the oil companies have to do way more to get the oil to the pump. Think about it.

I work in the oil and gas business and this reply is spot on.. The massive logistics involved in getting it from below the sea-bed to the petrol pump is staggering to say the least. The vessel i work on costs the oil companies 80,000 USD a day to hire, and we are only one of thousands just in SE Asia alone.. It's ALL very heavy construction work so the materials alone are hugely expensive, then you can factor in the adverse conditions we have to work in then it does seem cheap at the petrol station..

[Ta22]

Hello adam happy for you to join in and reflect another point of view

here my take -

As long as it profit - there is no shame in taking it .

The large investment is balnce out - as Petrol for the first time in the history of man kind made profit that is

9-10 digit that is a figure so hard to imagine .

- so to work back ..

80k usd a day operation . is a huge sum . if we covert it into Baht it would be close to 3 million baht a day .

for a common thai this would be scary number ..

But if we compare it with the scale of operation .

at 28 baht a litre -

Oil barrel: 42 U.S. gallons, 158.9873 litres

i am not sure really how many litre of petrol it can juice out of one barrel of cruel Oil ..

But i know alot of the by-product is sold at price higher then petrol . - to dupont and other large chemical product firm .

the profit is part of the risk ..

so before this get too far .

I agree that the oil price float and the factor to it price changes -

i miss those day when the petrol price is reasonable .

I am ok with people who make profit .

but i am not ok with people who take the common people for a ride cos we lack the knowledge or power to react to such taking