Diesel Prices In Thailand Set To Increase After Subsidy Reduction

By Kenny Teng Khoon Hock

BANGKOK, April 2 (Bernama) -- Thailand’s retail diesel prices are set to rise by 3.50 baht (RM0.43) per litre from tomorrow (April 3), following a reduction in subsidy rates by the Oil Fuel Fund Management Committee (OFFMC) amid a sharp surge in global diesel prices.

In a statement on Thursday, the committee said the subsidy for Diesel B7 would be reduced by 3.51 baht per litre, from 17.78 baht to 14.27 baht per litre, while the subsidy for Diesel B20 would be cut by 3.48 baht per litre, from 20.12 baht to 16.64 baht per litre.

The committee attributed the adjustment to a significant increase in global diesel prices, which have surged beyond US$292 per barrel, leading to higher refinery costs.

“The adjustment of subsidy rates is necessary to reflect the current market situation,” the statement said, adding that the decision was made after careful consideration.

As a result, the retail price of Diesel B7 will increase to 47.74 baht (RM5.90) per litre, while Biodiesel B20 will rise to 42.74 baht per litre.

The OFFMC emphasised that the move aims to strike a balance between maintaining national energy security and mitigating the impact on the public, while urging people to use energy efficiently and prudently amid the ongoing global energy price volatility.

This marks the second consecutive day diesel prices have increased, after a 3.50-baht hike on Thursday.

Meanwhile, petrol prices are also expected to increase by 0.70 baht (RM0.09) across all types of petrol in Thailand, effective April 3.

As of April 2, the price of Gasohol 95 stood at 43.25 baht (RM5.34) per litre, Gasohol 91 at 42.88 baht (RM5.29) per litre, while Diesel B7 was priced at 44.24 baht (RM5.46) per litre.

-- BERNAMA