More PTT outlets to offer E20 gasohol

It expects to offer E20 – motor fuel that is 20-per-cent ethanol – at 1,000 stations before the end of 2013.
Sarun Rungkasiri, vice president for PTT’s fuel business, expects the Department of Energy Business to allow petrol-station operators gradually to reduce the sale of 91-octane for three months after January 1.
“Currently, PTT has about 1,300 stations that distribute 91-octane petrol. We will have about 600 stations offering E20 gasohol by the end of this year and will increase them to 1,000 before 2014. About 150-200 petrol stations will sell 95-octane to cater to motorists whose cars cannot run on gasohol,” Sarun said.
At present, PTT sells 11 million litres of E20 per month, double last year’s average monthly sales of 5 million to 6 million litres, thanks partly to its “Save the Earth, Win a Car” promotion for PTT Blue Gasohol E20. The increasing number of new cars on the road that are compatible with E20 also helped.
In response to a question on the Bt2-per-litre price differential between E20 gasohol and 91-octane petrol, Sarun said it was too soon to evaluate the situation. However, if the government widens the differential to Bt3 per litre, more motorists are expected to switch to E20.
PTT’s marketing margin averaged Bt1.30 per litre for the first nine months. As the margin was very small, many traders refocused their attention on non-fuel businesses such as retailing and services.

RETAIL BUSINESS
PTT plans to establish a coffee-roasting plant. It also plans to expand Amazon Cafe and Jiffy convenience stores via franchising.
Regarding its liquefied-petroleum-gas business, PTT insists that it has no policy to set up LPG stations. However, about 200 LPG distributors for cars have asked to buy the gas from PTT and market it under the PTT brand, Sarun conceded. In such cases, PTT oversees their safety standards, comfort and cleanliness.
The company also plans to expand its LPG business in Vietnam after reaching a 20-year joint-investment agreement with its partner there. Under the agreement, PTT plans to build one more LPG warehouse with 2,000 tonnes’ capacity, increase the number of gas-loading stations in central and southern Vietnam, and expand| marketing of the product to households and the industrial and transport sectors.
The investment is expected to be hundreds of millions of baht and will likely come from retained earnings from its Vietnamese business.
Currently, the company’s LPG sales in Vietnam amount to 4,000 tonnes per month with a market share of 7-8 per cent.
“Next year, we will set up a subsidiary in Vietnam to oversee PTT businesses. We will focus on all [existing] businesses and penetrate new businesses such as lubricants, asphalt and coal,” Sarun said.
Yodpoj Wongrukmit, senior vice president of retail marketing for Bangchak Petroleum, said the company would increase the number of its stations selling E20 gasohol to 600 by the end of this year, up from 525 currently.
The number is expected to reach 800 by 2014. If it achieves that number, Bangchak’s E20 sales will reach 20 million to 23 million litres per month, up 35 per cent from the current monthly sales of 15 million litres.
“About 2.5 million cars can run |on E20 now. We are ready for |the cessation of 91-octane sales,” Yodpoj said.