Petrol price falls Bt2 today as contribution to fund adjusted

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Petrol price falls Bt2 today as contribution to fund adjusted
WATCHARAPONG THONGRUNG
THE NATION


Energy Minister Narongchai Akrasanee

BANGKOK: -- THE ENERGY Policy Administration Committee has resolved to reduce petrol's contribution to the Oil Fund by Bt2 per litre from the present Bt9.15, that of gasohol 95 to Bt2.25 per litre from Bt3.25, and that of gasohol 91 to Bt1.25 per litre from Bt2.25 currently.

Energy Minister Narongchai Akrasanee said that global oil prices were trending upwards again, the committee had to use the Oil Fund as an instrument to keep retail fuel prices at appropriate levels.

The Oil Fund will also subsidise the retail price of E20 by 80 satang per litre instead of collecting 20 satang per litre and reduce the E85 subsidy to Bt7.23 per litre from Bt8.23.

The committee cut the diesel contribution to the fund to Bt3.15 per litre from Bt3.35.

All these changes will take effect today. The Energy Ministry has asked motor-fuel retailers to cut their petrol prices by Bt2 per litre, gasohol 95, 91 and E20 by Bt1 per litre, and diesel by 50 satang per litre. The price of E85 remains unchanged.

As a consequence of these changes, Oil Fund revenue will fall by Bt3.155 billion per month from the present Bt7.821 billion per month.

The Finance Ministry will propose to the Cabinet today that the excise on diesel be raised to Bt4.25 per litre from Bt3.25 currently, but this will not affect the retail price as it will be compensated by the Oil Fund. The diesel contribution to the fund will be cut to Bt2.05 per litre from Bt3.15 per litre once the excise goes up.

Despite the rising price of liquefied petroleum gas in the world market, the committee also resolved to maintain this month's retail LPG price at Bt24.16 per kilogram by reducing the contribution to the LPG Fund by 19 satang per kilogram to 34 satang from 54 satang, effective today.

Source: http://www.nationmultimedia.com/business/Petrol-price-falls-Bt2-today-as-contribution-to-<deleted>-30255657.html


-- The Nation 2015-03-10

[Srikcir]

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"Yet, too much optimism over the plunge [in crude oil prices] is a dangerous trap for beneficiaries like Thailand. Everybody loves to pay less for energy, but it would be a disaster if Thai authorities were hasty and backtracked on certain energy policies."

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Looks like hasty decisions are the order of the day.