The oil fund after bent over to bear debt Hold diesel-LPG, win a loan of 20 billion in the middle of April.

The oil fund following bent over to bear debt Hold diesel-LPG, win a loan of 20 billion in the middle of April.

On March 23, 2022 at 4:18 p.m.

The Oil Fund moves the deposits of 16.5 billion baht to support the diesel-LPG prices for another 3 months in accordance with the government measures. Most recently, the position was negative 32 billion baht. Expected to get a new loan in the middle of April.

Mr. Wisak Wattanasap, director of the Office of the Fuel Fund (NESDB), revealed that the Fuel Fund continues to play a key role in stabilizing the domestic retail oil price during the energy price crisis. The fuel fund still has enough liquidity to compensate for diesel fuel at a price level of not more than 30 baht per liter according to measures to help people’s living expenses in many ways. It will use the fuel fund to help reduce the impact of gas price adjustments. Cooking (LPG) is not too high.

The situation of oil prices in the world market in March There is still volatility due to the Russian-Ukrainian conflict. Most recently, on March 22, 2022, Dubai oil prices were at 111.15 US dollars/barrel. Gasoline price is $133.22/barrel. Diesel prices are at $139.51/barrel, as of March 23, 2022, the diesel compensation rate is 7.97 baht/liter.

Currently, the oil fund’s position is negative 32,831 million baht, divided into oil accounts, negative 4,028 million baht and LPG accounts, negative 28,803 million baht, which to maintain diesel prices for another 3 months will use deposits at the Ministry of Finance and financial institutions in the amount of 16.5 billion baht. baht, expected to use 5,000 million baht per month, with the oil group having 546.12 million baht per day expenditure; LPG gas group with expenses of 87.18 million baht per day

For guidelines for adjusting LPG gas prices There is a plan to gradually increase the price 3 times, with a monthly increase of 1 baht/kg from April 1, 2022, causing the retail price to be raised to 333 baht/bucket, 15 kg. May 1, 2022, the retail price will be raised to 348 baht/bucket 15 kilograms and the retail price will be increased to 363 baht / 15 kg bucket from the current price fixed at 318 baht / 15 kg bucket by this price increase The Oil Fund still has expenditures to subsidize retail prices. In April, 2,418 million baht/month, in May 2022, expenses were 2,133 million baht/month. And in June 2022, the monthly expenses are 1,849 million baht/month.

As for borrowing from financial institutions to enhance liquidity for the Oil Fund. Still in the period of opening for financial institutions to submit proposals until March 31, 2022, which is still good as the target is expected to receive a loan of 20 billion baht in April 2022

Mr. Wisak said that in addition to increasing flexibility in the management of the fuel fund The Cabinet on March 15, 2022, approved the draft fuel crisis response plan 2020-2024, the second revised edition, to increase operational flexibility in terms of fuel fund management rules. There must be a sufficient amount of money for efficient management of the fuel fund under Section 26 of the Fuel Fund Act B.E. Fuel prices are near negative if fuel prices remain at a critical level, leading to negative fuel fund positions. Start implementing a strategy to withdraw fuel funds by reducing aid.