BANGKOK, Thailand – Officials from Thailand’s Department of Energy Business and the Department of Special Investigation inspected a major oil storage facility operated by Shell Thailand in Khlong Toei to assess fuel reserves amid concerns over supply disruptions.
The inspection followed an order from the prime minister to verify national fuel stock levels and ensure adequate supply ahead of the upcoming Songkran holiday travel period.
Officials said records show that Shell significantly increased fuel distribution from its depot during March, particularly during the first week of the month. Although deliveries slowed slightly in the second and third weeks, overall fuel dispatch from the depot remained higher than in February, reflecting strong demand during the recent fuel crisis.
Authorities noted that the situation is not due to an actual shortage of fuel but rather a surge in demand. Thailand’s refineries typically produce about 77 million liters of diesel per day, while normal consumption is around 67 million liters. However, recent panic buying and fuel hoarding have pushed demand above 100 million liters per day, with some days reaching as high as 107 million liters.
This surge has strained production and delivery capacity, causing temporary shortages at some petrol stations.
Officials also confirmed that fuel prices at storage depots are currently close to retail pump prices, suggesting that operators are not making excessive profits during the crisis.
To ease supply pressure, the government has adjusted regulations requiring oil companies to increase fuel reserves injected into the distribution system. Authorities expect the additional supply to improve market liquidity and stabilize fuel availability within the next week.
The government remains confident that fuel supplies will be sufficient for travelers during the Songkran holiday, when millions of people traditionally return to their hometowns.
Meanwhile, authorities warned against stockpiling fuel in containers. While some flexibility has been granted to farmers who need fuel for agricultural machinery, large-scale hoarding remains illegal.
Investigators are also examining the entire supply chain—from refineries and storage depots to fuel stations and maritime transport routes—to ensure there are no illegal diversions or smuggling operations contributing to the current situation.
A meeting scheduled for Monday will bring together more than 200 oil traders, depot operators, and fuel distributors to discuss supply management and strengthen oversight across the country. (TNA)
