Petrol levy raised by Bt1 per litre
The Energy Policy Administrative Committee resolved on Thursday to raise the Oil Fund levy on petrol products by Bt1 per litre, said Energy Minister Arak Chonlatanon.
Arak, who chairs the committee, admitted that higher levy will make petrol products more expensive.
At present, the Oil Fund collects Bt2 per litre from 91-octane and 95-octane petrol, Bt2.20 per litre from gasohol 95, and Bt0.60 from gasohol 91.
Effective today midnight, the levy on 91-octane and 95-octane petrol products as well as gasohol 91 and gasohol 95 will be raised, which will automatically push up their retail prices. No change is made to the levy on gasohol E20, gasohol E85 and diesel.
Arak said that the higher levy will raise the Oil Fund's revenue by Bt9 million per day.
While the Energy Ministry is raising petrol levy, the Finance Ministry plans to extend the waiver on diesel excise tax to the middle of this year.
Of about 70 million litres consumed daily, diesel accounts for 50 million litres.
As of March 15, gasohol 95-E10 is sold in Bangkok at Bt40.23 per litre; gasohol 95-E20 at Bt37.48; gasohol 95-E85 at Bt23.98; gasohol 91-E10 at Bt33.48; and 91-octane petrol at Bt41.51. Diesel is retailed at Bt32.33.
Against Democrat Party's question raised in parliament today how the government takes care of the cost of living in light of higher oil price, Arak said that without the government's subsidies, diesel would have hit Bt37 per litre. Meanwhile, he insisted that it is time to lift LPG and NGV prices, to reflect the actual cost. He said that measures to mitigate the impacts would be concluded in April.
He added that the Oil Fund, which shoulder energy subsidies, now shoulders Bt21.14 billion in debt. The higher levy on petrol products would be a way to ease the debt burden.
