Thailand to extend cap on diesel prices to help consumers

[snoop1130]

FILE PHOTO: A worker grabs a nozzle at a PTT gas station in Bangkok, Thailand, January 5, 2016. REUTERS/Athit Perawongmetha

 

BANGKOK (Reuters) - Thailand will extend its diesel price cap of 30 baht ($0.8987) per litre beyond this month, its deputy prime minister said on Wednesday, as global oil prices put a strain on consumers and an economy struggling from the pandemic.

 

The support will be financed by the country's oil fund and a loan, Deputy Prime Minister Supattanapong Punmeechaow, who is also energy minister, told a news conference.

 

He did not provide a timeframe for how long the price cap, which was due to end this month, would be in place.

 

However, the current oil fund of about 9 billion baht ($269.5 million) and a loan of 20 billion baht should support the price freeze for four to five months, if global oil prices stay at $87.5 per barrel, Supattanapong said.

 

"By that time, we expect oil prices to gradually fall due to a warmer climate," he said.

 

If the funds are still insufficient, however, the energy ministry will work with the finance ministry on other measures, including a possible excise tax cut, Supattanapong said.

 

"The government is hoping this will ease consumers' concerns. The situation is unfavourable as global oil prices have risen almost every day in October," he said.

 

The government will also try to freeze prices of liquefied petroleum gas at least until January, he added.

 

-- © Copyright Reuters 2021-10-20

 

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(Reporting by Orathai Sriring and Satawasin Staporncharnchai; Editing by Martin Petty)

[hotchilli]

Lucky Thailand.

[thailand49]

Extend Cap? 

[Scott Tracy]

Excellent. I'll get the buckets and barrels out.

[djayz]

I'm off to fill up the tank! Diesel for everyone! 

[RafPinto]

Just filled up my bathtub and ask management in my condo if there are empty units and if yes, if I can fill those bathtubs as well.

I offered the juristic department free somtum for a week.

[Ralf001]

1 minute ago, RafPinto said:

Just filled up my bathtub and ask management in my condo if there are empty units and if yes, if I can fill those bathtubs as well.

I offered the juristic department free somtum for a week.

I have 205lt drums delivered.

[RafPinto]

Took them a week to fill it up.

 

Should keep me going for a while.

[KhunBENQ]

And gasohol/benzene users pay for it

 

Edited October 21, 2021 by KhunBENQ

[Sydebolle]

The government allows companies to buy and import diesel from various sources. Upon import, a tax is being levied which is, depending on country to country, as much as the initial purchase price. 

The "support" is NOT financed by the country's oil fund or a loan - despite a different statement by yet another Deputy Prime Minister. They just capped the tax rate, so they prove once more again the old saying, that the government has nothing. What they "give" you is taken away from someone else - simple as that! 

If you look at the purchase power of the average Thai, 30 Baht is a ridiculously high amount but, as long as I can see cars with running engines in parking lots of supermarkets - keep up the good work and take, while the taking is good! 

[adexgh]

Energy minister doesn't understand that oil price will skyrocket due to money printing same as everything else.

Also, support is a lie, government is already bankrupt, support comes in form of creating new money which will inflate the currency and screw the people once again. Not much people can do a part buying Bitcoin to protect their savings.