BANGKOK, 7 Aug 2013– Energy Minister Pongsak Raktapongpaisan has revealed a plan to readjust contributions to the Oil Fund from the sales of Benzene, E20, and Diesel to better reflect the current global fuel situation.
The decision came after his meeting with the Committee on Energy Policy Administration (CEPA) on the matter.
He said that the contribution from Benzene increases from 9.70 baht to 10 baht per liter, E20 increasing from 0.90 baht to 1.30 baht and Diesel decreasing from 1.30 baht to 0.90 baht per liter. Mr. Pongsak explained that the move is necessary as the global fuel market fluctuates, citing the oil price for Dubai’s crude was at 105.44 dollars a barrel as of Monday, a significant jump from 101.76 dollars a barrel on July 8.
The Energy Minister explained however that the adjustment would trimmed down the Oil Fund’s income to 56 million baht per day from the earlier 78 million baht, ensuring the total revenue would be decreased from the latest August 4’s 6.2 billion baht.
He expressed his concerns that the fluctuation in global fuel market has cast shadow of doubt over the Oil Fund’s financial future as the CEPA may use the budget to regulate local fuel prices.
