Bangkok – The Ministry of Energy has decided to limit the price of diesel fuel to no more than 30 baht per liter while revealing Biodiesel B20 will be introduced at 3 baht less than normal diesel in July.
Energy Minister Siri Jirapongphan said a meeting of the Energy Policy and Planning Office (EPPO) commission this week would discuss measures in response to the growing cost of fuel on the world market with an emphasis on maintaining diesel fuel at 30 baht per liter. The fuel is currently 29.79 baht per liter and any rise beyond 30 could impact the cost of living.
Among coming measures is an increase in the proportion of palm oil in biodiesel, from seven to 20 percent, which will help transport trucks by lowering the retail price of the fuel to 27 baht per liter. The adjusted fuel will hit the market in either late June or early July. In the interim, the National Fuel Fund, which is currently worth 30 billion baht, will be used to maintain diesel at the current price level. Use of the fund may continue if the fuel’s global cost continues to rise.
Liquefied Petroleum Gas (LPG) has also risen in cost but is not expected to have any lasting impact. The onset of summer is projected to cut demand for LPG in the northern hemisphere.