Cabinet resolved to postpone oil tax increase by another month


BANGKOK, 20 May 2012 – The Cabinet has resolved to further delay its planned increase in the excise tax on diesel to help ease consumer burden. 

Deputy Government Spokesperson Pakdihan Himathongkam said on Sunday that the Cabinet meeting today resolved to keep the current excise tax rate for diesel unchanged for one more month.

Initially, the government has planned to adjust the tax rate up on June 1st. The adjustment will now take place on July 1st.

Mr.Pakdihan said that the postponement is intended to allow the government to monitor the direction of global crude price for some more time, in hopes that the world price may ease.

He added that the delayed upward adjustment is also aimed at helping consumers cope with the higher cost of living, induced by rising world oil price.