The Oil Fuel Fund Office (OFFO) is preparing to propose fund utilization to keep retail diesel prices not exceeding 30 baht per liter.
April 19 marks the first day after the expiration of the diesel tax reduction measure, causing diesel prices to potentially adjust according to market mechanisms.
The OFFO reports monitoring the global oil market situation, which remains at high levels with various factors impacting oil prices, notably the escalating tensions between Iran and Israel.
Moreover, the end of the 1 baht per liter diesel tax reduction measure on April 19 will possibly affect diesel retail prices.
The OFFO believes that to mitigate the impact of the expired tax reduction measure on diesel retail prices, the Fuel Fund Executive Committee should utilize the Oil Fuel Fund mechanism to intervene. The committee will consider the proper rate and timing to do so. Therefore, the public can trust that the Oil Fuel Fund will maintain domestic retail oil prices within reasonable stability.
As of April 14, 2024, the fund posted a loss of 103.62 billion baht, comprising 56.41 billion baht spent on subsidizing oil prices and 47.21 billion baht for Liquefied Petroleum Gas (LPG). (TNA)
