BANGKOK, 11 July 2011 – The Committee on Energy Policy Administration (CEPA) has approved the quarterly price increase for liquefied petroleum gas (LPG) for industrial use by 3 THB per kilogram, beginning on 19 July.
According to Permanent Secretary for Energy Norkhun Sitthipong, CEPA has given a green light to the measure to raise the collection from LPG for industrial purpose towards the State Oil Fund by another 3 THB per kilogram every quarter for one year, or altogether 12 THB per kilogram. The measure was included in the Prime Minister’s order dated 1 July 2011 and was announced in the Royal Gazette on 8 July.
Mr Norkhun stated that the Energy Ministry had thus assigned the Department of Energy Business to convene with distributors of industrial LPG to create an understanding about the upcoming price adjustments. In the meantime, the Energy Policy and Planning Office will be responsible for drafting all related details.
The first adjustment will be executed on 19 July, causing the industrial LPG price to rise from 18.13 THB per kilogram to 21.13 THB, while three more increases are set to follow on 1 October, 1 January and 1 April.
Considering the current usage of LPG in the industrial sector of about 60,000 tons or 60 million kilograms a month, the quarterly price increase by 3 THB a kilo will help boost the total collection from the fuel towards the Oil Fund to 180 million THB a month.