Government targets to start selling B7 on January 1, 2014

To promote usage of alternative fuel, the Ministry of Energy aims to push for the sale commencement of B7biodiesel, a mixture of 7% biodiesel with diesel oil, from January 1, 2014, in comparison to B5, a mixture of 5% biodiesel, currently.

The move will also help aiding palm growers as crude palm oil stock tends to increase significantly both locally and in Malaysia, causing a slump in crude palm oil (CPO) price at just  THB21-22/Kg currently. The larger portion of biodiesel mixture in B7 will consequently lift usage of B100 biodiesel from 50,000 tons a month, or 2.8 million liters a day, to 70,000 tons a month, said Mr. Praphon Wongtharua, Director of DEDE’s Biofuel Development Bureau.

To ensure that B7 is applicable to existing diesel engines, the DEDE will consult with domestic auto makers on their readiness for the planned implementation on January 1, 2014.

On the other hand, daily ethanol usage in the first quarter rose to 2.3-2.4 million liters from 1.3 million liters previously, following the termination of domestic sale in regular gasoline 91 in January 1, 2013.

Ethanol usage tends to continue rising as foreign fuel distributors have gradually adjusted their fuel nozzles to accommodate more of E-20 gasohol, whose price is THB3/liter lower than gasohol 91, given that over one million domestic vehicles