Bangkok: B20 diesel is now available for sale, marking a significant step in expanding energy options in Thailand. This alternative energy source aims to reduce transportation costs and increase income for Thai farmers.
According to Thai News Agency, the government is actively promoting the use of B20 diesel to cut costs in the transportation and industrial sectors, which are major contributors to commodity prices. This initiative also seeks to generate income for Thai farmers. Ms. Ratchada Thanadirek, Assistant Minister to the Prime Minister, explained that B20 diesel is a blend containing 20% biodiesel derived from Thai palm oil. It can be used in vehicles that support it just like regular diesel, offering benefits such as reduced fuel costs and increased use of domestically produced energy.
The Fuel Fund Management Committee (FFMC) has ensured that the price of B20 diesel is approximately 5 baht per liter lower than regular diesel (B7) to encourage its use. This price difference aims to assist businesses in reducing their energy expenses effectively.
These measures are expected to aid the transportation, logistics, and industrial sectors, which face high energy costs. By managing these costs more efficiently, the initiative aims to alleviate pressure on price increases, ultimately benefiting the public.
In addition, major oil retailers are expanding their B20 distribution points. Bangchak gas stations have started selling it at the Phra Khanong depot, OR gas stations at the Songkhla and Saraburi depots, and Shell is set to begin sales in early April. This expansion provides more convenience and options for vehicle owners.
The promotion of B20 diesel is also anticipated to boost the demand for palm oil, thereby stabilizing prices and ensuring stable income for Thai farmers. It is a step towards reducing reliance on foreign energy imports over the long term. Ms. Rachada emphasized that the government is focused on managing energy costs for both the public and businesses, with B20 diesel playing a key role in benefiting the economy, the agricultural sector, and the country's energy security.