Lpg Subsidies : 460 Millions/day

[cclub75]

Energy Ministry postpones floating of LPG price

Energy Ministry has postponed a move to float the price of liquefied petroleum gas, previously scheduled for July 1, and will continue to subsidize the gas to lessen the burden of high oil prices on consumers.

To determine the right timing for such a flotation, the ministry needs to consider global gas price levels as well as other conditions, Deputy Permanent Secretary Pornchai Rujiprapa told reporters late Tuesday.

LPG subsidies currently total Bt460 million a day, or Bt2 for every kilogram of gas.

The Nation 21/06/2006.

"As well as other conditions"... Might be electoral ones ?

Anyway, they won't never change. For them, a hole in the pocket is better than a full brain.

[poorfarang]

460 Million a day?

Looks like Im in the wrong business

Edited June 21, 2006 by poorfarang

[TokyoT]

One could finance the building of quite the mass transit system in Thailand for 460 million baht PER DAY.

[cclub75]

One could finance the building of quite the mass transit system in Thailand for 460 million baht PER DAY.

You are right, it's a matter of... choice.

It would make sense to subsidize "mass transit systems" (you save on oil, you put the money on BTS, it help people, overall it's a good scheme).

But the thai politicians are like their peers in the West : really really short sighted.

And probably the best part : eventually, they will stop the subsidy of LPG !

Look at what happened with the gasoline subsidy.... 100 billions bath of debt. But it was good for face, and good for the general elections in 2005.