Energy Minister affirms Thailand has sufficient oil reserves and is ready to propose a loan to boost the liquidity of the Oil Fund.

The Minister of Energy affirmed that Thailand has sufficient oil reserves and is preparing to propose borrowing options to improve liquidity if global oil prices continue to rise due to tensions in the Middle East.

Date 9 March 2569 at 10.31:XNUMX p.m. Energy Minister Attapol Rerkpiboon confirmed that Thailand has sufficient oil to meet its needs. The government can also manage prices during these 15 days through the fuel fund subsidy mechanism. We believe that even after 15 days, the fuel fund will still have the capacity to manage prices for some time longer, which we will reassess closer to the end of the 15-day period.

"The Oil Fund still has the capacity to manage the situation. Today, the Oil Fund is experiencing a negative outflow of over 700 million baht per day. The Oil Fund is necessary to act as a buffer during periods of high oil prices." Mr. Atthapol gave an interview on a television program this morning.

Mr. Atthapol stated that if the Oil Fund needs to borrow money to improve its liquidity as in the past, there are procedures for obtaining approval and preparations are already in place. However, a Cabinet resolution is required. During the period of a caretaker government, if absolutely necessary, approval can be sought from the Election Commission (EC).

The Minister of Energy stated that in the past, the Oil Fund had a negative balance of up to 1.2 billion baht during crises. Fortunately, at the beginning of the conflict, the Oil Fund was still slightly positive, so it had enough reserves to cope with the current situation.

Global oil prices depend on the conflict in the Middle East, which Thailand must closely monitor. However, analysis suggests that if the war ends, oil prices will likely fall, as global oil production capacity is sufficient. The war and disruptions in transportation have caused prices to rise significantly.

Regarding the possibility of Iran attacking two oil pipelines, Mr. Atthapol acknowledged that anything can happen in a state of war. However, in the war room, they manage risk under the assumption that Thailand relies on oil from the Middle East. Therefore, they are constantly seeking new sources of oil to replace existing ones. It must be admitted that oil prices are likely to rise, as evidenced by crude oil prices reaching $100 per barrel and diesel at $150 per barrel.

The Minister of Energy addressed the issue of provincial gas stations setting the retail price of diesel at 40.50 baht per liter, stating that the Ministry of Energy will discuss this issue this morning (February 9th). He explained that fuel in the provinces already includes transportation costs, and there are issues with smaller gas stations that may not deal directly with suppliers but instead use intermediaries. When there is a fuel shortage, these intermediaries may prioritize regular customers, potentially impacting occasional customers.

Regarding the possibility of stockpiling fuel, such as for agricultural users, and how to address the issue when the government prohibits stockpiling, Mr. Atthapol stated that they are trying to foster understanding through provincial energy offices. He added that, in reality, most customers in the provinces are already familiar with each other and continue to receive service as before. However, they will not sell fuel to strangers, and each case will be considered individually.

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