Refineries agree to help Oil Fund with THB8 billion monthly handout
The government has managed to talk operators of oil and gas refineries into contributing up to 8 billion baht per month from July to September to the Oil Fuel Fund.
“Increasing the Oil Fuel Fund’s liquidity will help ease people’s financial burden during the fuel price crisis, as it can continue providing a 20-billion-baht monthly subsidy,” Energy Ministry’s permanent-secretary Kulit Sombatsiri said on Thursday.
The government panel tasked with easing the impact of rising fuel prices and inflation met with operators of gas and oil refineries on Thursday. The committee is chaired by Prime Minister Prayut Chan-o-cha.
The meeting agreed that diesel refineries will contribute up to 6 billion baht per month, and benzine and gas refineries will contribute up to 1 billion baht each per month.
Kulit said this should immediately bring the price of benzine down by 1 baht per litre.
“Operators have agreed to fully cooperate with the government and there is no need to issue a ministerial announcement,” he added.
Separately, Danucha Pichayanan, secretary-general of the National Economic and Social Development Council, said the meeting on Thursday also agreed to extend subsidy measures expiring on June 30. This extension does not include the reduction of contributions to the Social Security Fund, which will be decided upon by the Cabinet next week.