Sign up | Log in



Home  >>   Daily News  >>   Thailand News  >>   Energy  >>   Thai government to end LPG price cap
NEWS UPDATES Asean Affairs           31   August  2011

Thai government to end LPG price cap

Related Stories

August 22, 2011
Major solar investment in Thailand

August 12,2011
Thailand's largest private power adds capacity

August 4,2011 Thai-Cambodia gas talks to resume

July 20, 2011
Nuclear power remains Thai energy option

June 16, 2011

Thais switch from oil to gas

June 1, 2011

Thai gas to run out in 18 years

May 28, 2011
Thailand moves toward biofuel

The Thai government is planning to revive a policy to float the liquefied petroleum gas price, which has been fixed for more than two decades, and to issue credit cards to low-income earners to alleviate the impacts of the policy.

The Energy Ministry yesterday instructed the Energy Policy and Planning Office (Eppo) to conduct a feasibility study on the plan as the cooking gas price subsidy is now costing the Oil Fund 3.5 billion baht (US$ 116.4 million) a month.

The LPG price had been capped for more than 20 years until the Surayud Chulanont government decided to allow it to gradually rise from December 2007. However, the policy was reversed during the Samak Sundaravej administration, resulting in the price of the product being capped at 18.13 baht per kilogramme, or 280-290 baht for one 15kg cylinder until now.

The subsidy was originally intended to help households and food vendors, but amid the global oil price rise, cheap LPG has encouraged taxi drivers to modify their engines to use the gas.

The state subsidy for LPG has also resulted in it being smuggled to neighbouring countries.

"We may set the retail price at 30 baht per kg, but the government will issue energy credit cards in order to help low-income earners," said Eppo's director-general Suthep Liumsirijarern. He did not elaborate how the credit cards could be used.

Energy Minister Pichai Naripthaphan said the government is poised to revamp the pricing structure on all energy products in order to prevent price distortion in the longer term. This would include the price of compressed natural gas (CNG), which is currently heavily subsidised by the Oil Fund and the national oil company, PTT Plc.

Meanwhile, the energy ministry yesterday agreed to cut the price of premium ethanol-blended gasohol (95 gasohol) by 1.07 baht per litre, effective today.

The price reduction would be achieved by reducing the levies collected from retailers to the Oil Fund from 2.4 baht to 1.4 baht.

The move will bring down the new gasohol 95 price to 35.37 baht per litre, equal to that of regular 91 gasoline.

The ministry also agreed to use money from the Oil Fund to subsidise the prices of 91 gasohol and E20, a gasoline with 20 percent ethanol, by 1.50 baht per litre.


Reach Southeast Asia!
10- Nations, 560- Million Consumers
And $1 -Trillion Market
We are the Voice of Southeast Asia Media Kit
The only Media Dedicated to Southeast Asia Advertising Rates for Magazine
  Online Ad Rates

Comment on this Article. Send them to

Letters that do not contain full contact information cannot be published.
Letters become the property of AseanAffairs and may be republished in any format.
They typically run 150 words or less and may be edited
submit your comment in the box below




1.  Verifier

1. Verifier

For security purposes, we ask that you enter the security code that is shown in the graphic. Please enter the code exactly as it is shown in the graphic.
Your Code
Enter Code

Today's  Stories    31  August  2011 Subsribe Now !
• SCG expands in Asean Subcribe: Asean Affairs Global Magazine
• Australian court voids refugee swap Asean Affairs Premium
• Malaysia disregards bird flu warning
Research Reports
on Thailand 2007-2008

•Textiles and Garments Industry

•Coffee industry

•Leather and footwear industry

•Shrimp industry

• Investment fund likes Philippines
• Peace negotiations deadlock in Philippines
• Thai government to end LPG price cap
• Red shirts receive political appointments
• Vietnam-China increase defense ties pp

Asean Analysis    31  August  2011

Advertise Your Brand
• Vietnam and China talks won’t solve this sea dispute Sponsor Our Events

Asean Stock Watch   31  August  2011

• Asean Stock Watch-August 31 p

ASEAN NEWS UPDATES      Updated: 04 January 2011

 • Women Shariah scholars see gender gap closing
• Bank Indonesia may hold key rate as inflation hits 7 percent

• Bursa Malaysia to revamp business rules
• Private property prices hit new high in Singapore
• Bangkok moves on mass transport
• Thai retailers are upbeat
• Rice exports likely to decline
• Vietnamese PM projects 10-year socioeconomic plan


This year in Thailand-what next?

AseanAffairs   04 January 2011
By David Swartzentruber      

It is commonplace in journalism to write two types of articles at the transition point between the year that has passed and the New Year. As this writer qualifies as an “old hand” in observing Thailand with a track record dating back 14 years, it is time take a shot at what may unfold in Thailand in 2011.

The first issue that can’t be answered is the health of Thailand’s beloved King Bhumibol, who is now 83 years old. He is the world's longest reigning monarch, but elaborate birthday celebrations in December failed to mask concern over his health. More


Home | About Us | Contact Us | Special Feature | Features | News | Magazine | Events | TV | Press Release | Advertise With us

| Terms of Use | Site Map | Privacy Policy  | DISCLAIMER |

Version 5.0
Copyright © 2006-2021 TIME INTERNATIONAL MANAGEMENT ENTERPRISES CO., LTD. All rights reserved.
Bangkok, Thailand