Restructuring of energy prices takes effect in Thailand

BANGKOK, April 20 (TNA) - The Thai government's move on restructuring energy prices on the domestic market and reducing the proportion of financial contribution to an official fund established to the promotion of energy conservation will take effect on April 21, 2018 when retail fuel prices in the country will also be cut by 0.60-0.80 baht per liter consequently. Thai Energy Minister Siri Jirapongphan told journalists of the update on Friday, after his ministry's committee in charge of national policy on energy management approved the new restructuring of domestic energy prices and the reduction of financial contribution to the energy conservation fund. Siri said that the new move is legitimate and based on the Thai government's financial and fiscal disciplinary principles, in which any populist measure is banned, following a three-year study conducted by his ministry's Energy Policy and Planning Office (EPPO). The minister explained that the newly-restructured energy prices on the domestic market remain to be relied on those traded in neighboring Singapore, but they are now based on the Euro IV-exhaust emission standard, which is considered more realistic, instead of the Euro III-exhaust emission standard previously. According to the minister, the new restructuring of domestic energy prices leads to a cut in the prices of diesel fuel and gasohol 91 (E10) by 0.40 baht and 0.61 baht per liter respectively, if sold at oil refineries, and the reduced proportion of financial contribution to the energy conservation fund by 0.15 baht per liter for gasoline, gasohol and diesel should result in a cut of the wholesale prices of the three types of fuel by 0.60-0.80 baht per liter as of April 21. The minister noted that the newly-restructured energy prices and the reduction in the financial contribution to the energy conservation fund should ease impacts on Thailand from the rising global crude oil prices equivalent to about 3-4 US dollars per barrel. (TNA)