Court petitioned to block LPG price hike

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COURT
Court petitioned to block LPG price hike
THE NATION



Foundation challenges resolution on household gas

BANGKOK: -- The foundation for Consumers yesterday filed a petition with the Central Administrative Court, seeking an order blocking a Cabinet resolution to hike the retail price of household LPG.

The hike of liquefied petroleum gas by 50 satang per kilogram is scheduled to go into effect from Sunday - the same day that the price of electricity and expressway tolls will be raised.

The planned cooking-gas hike is one of the many factors that are increasing the cost of living. The others are higher petrol prices, rising cost of utilities and more expensive food items - all at a time when the baht is getting weaker.

The global price of oil has surged 27 per cent since touching a low of $86.68 on April 17. It was recently propelled higher by the political unrest in Egypt and the threat of US intervention in Syria's civil war, according to the Associated Press. Neither country is a major oil exporter, but traders are concerned that the violence could spread to more important oil-exporting countries or disrupt major transport routes.

The consumers' foundation, claiming the government resolution went against the law and the Constitution, said yesterday that the price of cooking gas should be maintained at Bt18.13 per kg until a legitimate resolution ordered otherwise.

The petition was submitted by the foundation's secretary-general Saree Ongsomwang, Bangkok Senator Rosana Tositrakul, Network of People as Thai Energy Owners coordinator Itthaboon Onwongsa, Confederation of Consumer Organisations chair Boonyuen Siritham and Thai Labour Solidarity Committee chairman Chalee Loysung.

The complaint named five defendants - Prime Minister Yingluck Shinawatra, the Cabinet, the National Energy Policy Council, Energy Minister Pongsak Ruktapongpisa and the Energy Planning and Policy Committee - in relation to the August 13 resolution. The hike reportedly reflects the Bt24.82 per kg cost incurred at gas-separation plants.

The petition said the Cabinet resolution would adversely affect individuals, was discriminatory, created an unnecessary burden on people and was the result of an illegitimate decision.

The group's lawyer Jintana Tositrakul said they were still waiting to see if the court was ready to order an immediate injunction as requested and that the group was ready to present witnesses and evidence if the court was willing to try the case.

Boonyuen, a co-plaintiff, said the group would not object to the hike if it was actually necessary, but they believe the order goes against the law on several aspects and want it to be investigated.

Meanwhile, members of the Network of People as Thai Energy Owners gathered outside the PTT headquarters in Bangkok's Chatuchak area yesterday to rally against the LPG price hike. They vowed to run a campaign from September 1-8 to gather 50,000 signatures demanding the removal of Pongsak as Energy Minister. The group has also threatened to hold a large rally on September 9 to push for his removal.

The group is also demanding the immediate dismissal of the Energy Ministry's permanent secretary and director-general of the Department of Mineral Fuels on grounds that they failed to do their job of ensuring the maximum benefits for the people properly. They also want the government to reveal petroleum concession contracts and what it earns from energy-related businesses, as well as to get officials supervising energy matters to declare their assets.

They also want Energy Ministry officials who sit on the boards of energy-related businesses to quit the civil service due to a conflict of interest, and want the gas and oil-drilling concession system to be changed so the government can ensure the benefits are equally allocated.

Kornkasiwat Kasemsri, a leading member of the network, told a press conference that the plan to hike the cost of cooking gas from Sunday would severely affect people, despite the government's populist policies aimed at helping low-income households.


-- The Nation 2013-08-30

[ChrisY1]

More requests for taxpayers money....At least if approved, the pollies can't steal it!

[lujanit]

I am surprised that the Government has not put a regulation in place to increase the price of 'basics' in line with inflation.

[Zolt]

If the Baht stays down, prices will have to go up by way more than that.

[worgeordie]

The Government is already loosing a lot of money on LPG,as they

subsidize the price a lot.

If the price was to rise by .50 satang a Kg, you could bet the food

sellers would raise there prices by 5 Bht a plate !

Nothing seem to have the correct price here,Rice too high,and the

gas too low, somethings got to give,it cannot go on like this.

regards Worgeordie

[Jimbob1]

While building a small house for myself up in Korat while on holidays the last 2 years, I had to pay my workers this year an extra 25% from 300 a day to 400 ... that stays in line with the minimum wage increase ....

So with so many "cashed-up Thais" why wouldn't you think the government and everyone else doesn't have it's hand out ...

I find it incredibly short sighted that a 25% increase in the minimum wage, rice pledging scheme, first car buyers, loans to farmers, ....no that wouldn't set off inflation..

.

Edited August 30, 2013 by Jimbob1