Court rejects NGV plea

TUESDAY, JANUARY 17, 2012
Court rejects NGV plea

The Central Administrative Court last night turned down consumers' petition for an injunction over the hike in gas prices.


 The court ruled that the injunction would disrupt the government's energy policies.
 In the petition, the Foundation for Consumers and 4 others aimed their arsenals against five defendants - the prime minister, the Cabinet, the energy minister, the National Energy Policy Committee, and PTT Plc. They referred to the NEPC's resolution on Sept 30, 2011 over the floatation of retail prices of natural gas for vehicle (NGV) and liquefied petroleum gas (LPG) and the Cabinet's endorsement on October 4. They said that the floatation, taking effect on Jan 16, was illegal and asked for the court's injunction until the case is legally through.
 The court acknowledged that the NEPC is in charge of national energy policies accordingly to the National Energy Policy Committee Act BE2535. Meanwhile, PTT is tasked to provide sufficient supply of NGV and LPG, in line with the policy to promote alternative energy. The Cabinet and NEPC have so far subsidised the two fuel prices all along, and the suspension of price floatation has caused burden to the Oil Fund and others who consume other types of fuel. This runs against the policy to maintain reasonable and fair energy prices, to reflect the actual costs.
  The court ruled that the plaintiffs' reasons that the policy is illegitimate are not convincing. It added that the injunction, if issued, would obstruct the government's policy and public services.