LPG compensation process 'can be set before price hike'

The agency plans to ask the Energy Policy and Planning Office to approve an LPG price hike for the household sector as of July 1, director-General Veerapol Jirapraditkul said yesterday. 

In raising the price of LPG for the sector, the government has had to find a way to compensate for two low-income groups – households without electricity, or those who consume no more than 90 units of power a month; and hawkers and makeshift/sidewalk vendors – so that they can consume LPG at the same subsidised price of Bt18.13 per kilogram. 

Low-income households consuming less than 90 units of power a month will get a special code via their monthly electricity bills late this month, which they can then use to obtain LPG from distributors at the subsidised price.

Hawkers and makeshift/sidewalk vendors can also get such a code, via SMS, by contacting the Energy Ministry’s call centre.

LPG distributors will be able to verify buyers with the special code by phoning the call centre.

No advance payment is involved for each sales transaction, as the LPG price compensation will take place upstream – where distributors can obtain a supply of the subsidised gas from designated LPG plants. 

The refund/compensation process will then take place within 60 days, with clearing supported by the Oil Fund, which will also absorb the SMS cost and applicable taxes.

For the greatest possible convenience of consumers, about 20,000 registered and unregistered LPG distributors nationwide are being encouraged to join the scheme ahead of the expected LPG price hike next month.