Thailand approves support measures to cope with high energy prices

BANGKOK : Thailand’s cabinet on Tuesday approved a raft of measures including fuel subsidies to counter the impact of high energy prices caused by the Russia-Ukraine conflict, the prime minister said.

The measures come after weeks of protests against rising fuel and living costs and will be in place from May to at least July.

The government will offer 3.6 million welfare card holders a monthly subsidy of 100 baht (US$3) for cooking gas, while 157,000 motorcycle taxi drivers will be given 250 baht a month for fuel, Prayuth Chan-ocha told a news conference.

Diesel prices will continue to be capped at 30 baht per litre until the end of April and be subsidised thereafter. The price of natural gas for vehicles will continue to be frozen at about 15.6 baht per kg, while some electricity bills will be reduced between May and August, he said.

The contribution rates of employers and employees to the social security fund will also be lowered.

“The government is working hard on plans to help all the people as much as possible to get out of this crisis,” Prayuth said.

The cabinet also agreed to suspend half the 9.3 billion baht (US$278 million) debt that thousands of farmers owe to state banks, with the rest to be restructured within 15 years, Commerce Minister Jurin Laksanawisit said in a statement.

(US$1 = 33.4900 baht)

(Reporting by Panarat Thepgumpanat and Satawasin Staporncharnchai; Writing by Orathai Sriring; Editing by Kanupriya Kapoor)