LPG/fuel prices to rise next year
LPG prices for the transport and petrochemical sectors would be raised next year to reflect the actual production cost, according to a resolution today by the Energy Policy Administration Committee (EPAC).
Meanwhile, the committee chaired by Energy Minister Pichai Naripthaphan also approved an increase in fuel prices, following the higher operating cost involved in the oil quality upgrade to meet the Euro 4 carbon-emission standard. Retail prices will be up 50 satang per litre.
Pichai said after the meeting today that LPG retail prices for the two sectors would be raised by 41 satang per month, from Jan 16 onwards. From Jan 1, for every kilogramme of gas supplied to petrochemical plants, one baht would be collected for the Oil Fund.
The Energy Business Department is tasked to monitor LPG consumption in each sector.
Meanwhile, Pichai said that oil retailers are allowed to gradually increse fuel prices in line with actual upgrade cost.
It is expected that all diesel products nationwide would meet the new carbon-emissions standard within 9 weeks from New Year, and all petrol products within 15 weeks.
The Euro 4 standard requires the sulphur content from no more than 500ppm to 50 ppm. The new standard is believed to reduce dust, sulphur by 12,000 tonnes per annum and benzene by 181,000 tonnes per annum. this is also expected to help reduce medical costs on respitory diseases which have ranged from Bt22.7 billion to Bt56.7 billion each year.
