Thailand reduces gasohol levy

The Energy Ministry of Thailand has reduced the levy collected from oil companies on gasohol by 20 satang (US$.006) a liter to encourage the use of the fuel, according to Anusorn Sangnimnuan, president of Bangchak Petroleum Plc, the Bangkok Post reports. The levy paid to the state oil fund from gasohol 95, a mixture of 10% ethanol and premium petrol, has been reduced to 70 satang (US$.022) from 90 satang (US$.029) a liter, and the levy on gasohol 91 has been halved to 20 satang (US$.006). Anusorn said policymakers wanted to encourage more production and use of gasohol as the local surplus of ethanol had become a serious concern. In a related development, cabinet ministers on October 2 agreed to cut import taxes almost in half for passenger buses imported for conversion to natural-gas systems. Ministers also agreed to waive import taxes for completely knocked-down (CKD) passenger buses to encourage manufacturers to set up assembly plants locally. Pannee Sathavarodom, the director-general of the Fiscal Policy Office, said mass-transit buses now used in Greater Bangkok were mostly old, affecting both passenger safety as well as the environment. She said the Finance Ministry proposed reducing import taxes to encourage local operators to switch from diesel-powered vehicles to NGV (natural gas for vehicles) systems. (October 4, 2007)