Price Of Oil Significantly Lower

[thaihome]

There is also the fact that the oil refineries like PTT etc didnt pass on all the increases in crude prices to customers at the pumps - indeed, they were selling fuel at a loss for a while. They will doubtless want to recoup some of that while they can.

I'm sure the same applies to airlines.

As usual your take on this is utter BS

PTT's LPG Subsidy Bill Set to Double

PTT Plc will have to continue subsidising liquefied petroleum gas (LPG) prices because the current political drift has delayed government plans to end the cap on retail prices, according to Chaiwat Chooritti, senior executive vice-president for the oil business. Mr Chaiwat said that extending the subsidy until the end of this year would double the company's costs to 10 billion baht from a previous estimate of five billion.

TH

[toptuan]

[quote name='Spee' post='2267612'

For those Americans that are here there are 4.5 Liters in a Gallon which means in the UK right now petrol costs £4.59 per gallon which is equivalent to $7.80 / Gallon, and this is cheap. Aren't we lucky ?

I've always figured 3.78-ish liters to a gallon (1 liter = 0.264172052 gallon)....my last tank of diesel cost about $3.25 a gallon.

Anerican gallon or Imperial Gallon (the latter used by the British and Canadians)?

Maybe that's the reason for the difference in your calculations.

[Spee]

Crude oil prices are back to 13-month lows:

http://news.yahoo.com/s/ap/20081015/ap_on_bi_ge/oil_prices

Currently as low as about $2.70USD/gal in my area.

How long will it take for reduced pump prices in Thailand? Why should diesel still be over 30ThB/l?

[lannarebirth]

Crude oil prices are back to 13-month lows:

http://news.yahoo.com/s/ap/20081015/ap_on_bi_ge/oil_prices

Currently as low as about $2.70USD/gal in my area.

How long will it take for reduced pump prices in Thailand? Why should diesel still be over 30ThB/l?

I paid 27.59 baht today for B5 (biodiesel 5%)

[bendix]

There is also the fact that the oil refineries like PTT etc didnt pass on all the increases in crude prices to customers at the pumps - indeed, they were selling fuel at a loss for a while. They will doubtless want to recoup some of that while they can.

I'm sure the same applies to airlines.

As usual your take on this is utter BS

PTT's LPG Subsidy Bill Set to Double

PTT Plc will have to continue subsidising liquefied petroleum gas (LPG) prices because the current political drift has delayed government plans to end the cap on retail prices, according to Chaiwat Chooritti, senior executive vice-president for the oil business. Mr Chaiwat said that extending the subsidy until the end of this year would double the company's costs to 10 billion baht from a previous estimate of five billion.

TH

Thank you thaihome. I also recall reading similar reports that other fuel had been sold at a loss in Thailand during the days of the highest crude prices.

It stands to reason. Crude prices more than doubled in a very short space of time. The price at the pump rose much slower. Who took up the slack?

Does whatsoever have anything meaningful to add to the debate?

No, I thought not.

[thaihome]

Subsidizing the price of diesel a few year back caused huge fiscal problems for the Thai government a few years back. They are just now paid it off.

Most Thai refineries buy crude on the spot market no more then about 2 months in advance. The oil bought at the price drop over the past couple of weeks as not come close to being at the pump yet.

[Heng]

Whatsoever: owned.

[mumbojumbo]

There is also the fact that the oil refineries like PTT etc didnt pass on all the increases in crude prices to customers at the pumps - indeed, they were selling fuel at a loss for a while. They will doubtless want to recoup some of that while they can.

I'm sure the same applies to airlines.

Bullshit

[bendix]

There is also the fact that the oil refineries like PTT etc didnt pass on all the increases in crude prices to customers at the pumps - indeed, they were selling fuel at a loss for a while. They will doubtless want to recoup some of that while they can.

I'm sure the same applies to airlines.

Bullshit

It's quite obvious that your reading skills (see above) are on a par with your powers of expression.

Do you often feel frustrated or awkward in social situations?

[bendix]

So let's try this again.

On January 2 2008, the price of oil reached $100 per barrel (although it didnt consolidate over that point until later in January). The price of Gasohol 95 (to take just one grade on 3 January 2008) in was 29.29 baht per litre. www.pttplc.com/en/nc_oi.aspx

Crude oil prices peaked on 11 July 2008 at $147.27 an increase of 47% from the start of the year.

Pump prices for Gasohol 95 in Bangkok peaked on 10 July at 39.19 per litre, an increase of 33.7%

In other words, the full extent of the crude price rises were NOT passed onto the consumer.

[JUDAS]

Figures from the US Energy Information Administration show that the price paid for crude oil only played a 57% part in the final pricing at the pumps. Therefore if crude was 100 US dollars a barrel and increased to 147 a barrel I would only expect to see 57% of the additional 47 US dollar per barrel at the pumps. Is this a fair assumption?

Yes, these are US figures and I'm using them as an example as I cannot find relevant info to costs in Thailand.

Source: http://www.eia.doe.gov/bookshelf/brochures...nepricesprimer/

[Misplaced]

as far as i can tell airline prices and other items from food to clothing prices have stayed the same?

whats the deal?

inflation?

did they just decide that they can make more money charging more on less volume?

Diesel was still pretty high when I was up at the house last week, something like 30baht per liter. Gasoline prices where I'm at in the US are down about 25% from the highs, from about $4/gal to about $3/gal. I'm hoping to see prices below $3/gal very soon. It would also be nice to see similar drops in LoS.

I filled my car up at Tesco in England the other day, if I remember correctly the price of regular unleaded was £1.02 / liter which means it has gone down quite a bit. It cost around £58 instead of the £65+ I was paying a couple of months ago.

For those Americans that are here there are 4.5 Liters in a Gallon which means in the UK right now petrol costs £4.59 per gallon which is equivalent to $7.80 / Gallon, and this is cheap. Aren't we lucky ?

I was complaining this morning of paying $130 for a tank of diesel. After reading your post I feel much better.

[Gumballl]

...

In the UK, filling the tank once a week for 50-60gbp, that's roughly an additional 1500 quid per year in taxes. For someone only making 15k-30k a year and trying to feed, house and educate a family, that is nothing less than highway robbery.

No wonder the British Empire lost half of its interests. Pounds (or is that Pence), quid and K all in one sentence. F8cking amazing that the locals (in the UK) keep it straight.

Robbery... yes, let's just take the heads off the wealthy, and feed it to the poop, err poor. Please forgive the Chang.

Here's the true sin... people thinking that what they are buying/renting is actually worth more than they actually think. They pay more than they can afford, and thus demand that their employers pay a higher salary. The employers then in turn charge more for the products they market. Those buying these products cannot afford it, thus ask their respective employers for a salary rise. And thus the cycle begins.

What does this have to do with the price of a barrel of oil? Absolutely nothing. If the oil is pricey... then blame your gov't, and perhaps yourself for voting for them! The gov't (especially in Europe) are responsible for tacking on exorbitant taxes on your petrol. Maybe that is so the "unwilling to work" can collect unemployment and health benefits?

Edited October 16, 2008 by Gumballl

[Gumballl]

...

What is the 'Physical' consumption of fuel to facilitate your daily needs for work , visits to the beach etc , Americans accumulate something around 100% more mileage than a Brit , so despite the cost of fuel at the pump , Brits hold the advantage on overall driving costs , therefore cost per gallon becomes irellevant .

"<deleted>" is the infamous expression from the Brits, so I use it now.

Many Americans, in major cities, spend most of their fuel idling in traffic, and this I agree this is a waste. I cannot speak for the Brits, but undoubtedly this also holds true, unless they have invented a new transport method that allows vehicles to jump to new locations without impeding or damaging the vehicles in front of them.

In London, and other major cities in the UK, there is the rail system. In the US, some cities have them too. But many people in the US wish to drive their own vehicles, and in essences remain independent (ring a bell???)... and thus do not rely on public transportation.

As for the cost of driving, it is hard to compare. In the Europe for instance, high levels of taxes are levied on fuel. In the US, much less. But we all know the game... where one is taxed less (say for fuel), there is surely a commodity where they are taxed more.

Anyhow, the only thing going for the Brits at the moment is that they are able to drive about their little island in short time. In the US, it would take a "wee bit" longer. Oh, and by the way. the US has more scenic places to visit than the UK. Ha ha ha!

[Spee]

As for the cost of driving, it is hard to compare. In the Europe for instance, high levels of taxes are levied on fuel. In the US, much less. But we all know the game... where one is taxed less (say for fuel), there is surely a commodity where they are taxed more.

Every time the concept of flat income tax comes up, the first line of defence from the liberal socialists is that it is a regressive tax that penalizes the middle, lower middle and poorer classes of people because it takes up more of their income. Yet we are subjected to these massive flat fuel taxes which do more to hamper and restrict the lifestyles of these very same people. It's government hypocrisy at its finest.

Everyone from America to the UK to Thailand is complaining about economies being in recession, people losing money to inflation, yada yada yada. Yet no one wants to call on their governments to reduce or eliminate the most regressive flat tax known to man, the fuel consumption tax.

If every government in the world cut their fuel tax rate in half, does anyone care to speculate what would happen? I would envision a huge economic boom as people would have substantially more money available to spend.

[Denim]

So let's try this again.

On January 2 2008, the price of oil reached $100 per barrel (although it didnt consolidate over that point until later in January). The price of Gasohol 95 (to take just one grade on 3 January 2008) in was 29.29 baht per litre. www.pttplc.com/en/nc_oi.aspx

Crude oil prices peaked on 11 July 2008 at $147.27 an increase of 47% from the start of the year.

Pump prices for Gasohol 95 in Bangkok peaked on 10 July at 39.19 per litre, an increase of 33.7%

In other words, the full extent of the crude price rises were NOT passed onto the consumer.

I seem to recall that on the date you mention or thereabouts , Bensin 91 was just over 40 baht a litre. Now down to about 27.

When Samak was PM, oil prices were soring and so in order to help out the poor the govournment decided to subsidise petrol prices for 6 months and to run a few free bus services around the city. They also started paying for poor peoples water bills and helping out with electric bills too. I guess all this will come to an end in about 4 months time ?