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Tuesday November 6, 2007

Thailand to double ethanol content in petrol



BANGKOK: Thailand, the world's second biggest sugar exporter, plans to double the ethanol content in petroleum next year to lower import bills and domestic fuel prices.

Most gas stations in Thailand would start selling petrol with 20% ethanol, or so-called E20, early next year, Deputy Prime Minister Kosit Panpiemras said in an interview.

PTT Pcl, Royal Dutch Shell Plc and other oil companies currently sold petrol with 10% ethanol, he said.

Thailand, which imports almost all of its crude, has promoted the use of ethanol and palm oil in motor vehicle fuel to reduce reliance on crude oil as futures trade near US$100 a barrel.

“This government has pushed very hard to promote the use of gasohol,'' or petroleum blended with ethanol, Kosit said. “We have a serious long-term plan for this alternative fuel to cut crude oil imports.''

The country's crude and fuel imports in the first nine months this year fell 3.7% to US$18.5bil as consumption of gasohol increased, according to the commerce ministry data. – Bloomberg


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