Krabi, Thailand (dpa) - Thailand will enforce the mandatory use of bio-diesel at 10,000 petrol stations nationwide on April 1, next year, the minister of energy said Saturday.
"Initially we will make B2 mandatory for the whole country by April 1, 2008," said Energy Minister Piyasvasti Amranand, referring to the bio-diesel fuel consisting of a mix of 2 per cent palm oil and 98 per cent diesel.
As part of Thailand's efforts to reduce oil imports and assist in cutting carbon emissions and global warming, the kingdom plans to replace 20 per cent of its vehicle fuel consumption with renewable energy sources such as ethanol and palm oil within the next five years.
Photo: EPA
"Our target is to cut our consumption of gasoline and diesel by 20 per cent within five years, substituting them with ethanol and palm oil," said Piyasvasti.
"That is better than the US target of 20 per cent replacement by renewable energies in ten years," noted the minister.
After making B2 mandatory in April next year, Thailand will thereafter push petrol pumps and vehicle owners to accept B5, or a 5 per cent palm oil and 95 per cent diesel mix, soon thereafter.
Piyasvasti, who was on a tour of palm oil plantations and factories in Krabi, which accounts for 40 per cent of the country's palm oil supply, revealed that all major automobile dealers in Thailand had agreed last week to provide warranties on new cars despite the fact that all vehicles will be forced to use B2 bio- diesel by April, 2008.
A similar government effort to force petrol stations and auto users to switch to gasohol in January, this year, failed because the automotive industry refused to provide warranties on their autos if they were using gasohol in their tanks, said Piyasvasti.
The minister said that gasohol, a mix of 95 per cent petrol and 5 per cent ethanol, was becoming more popular among consumers since the government had reduced its price by 10 per cent at petrol stations last March.
More than 60 per cent of Thailand's vehicles use diesel, because of the popularity of the one-ton pickup truck. By April 1, 2008, palm oil will account for 1 million liters of the 50 million liters of diesel now consumed by motorists.
The energy ministry is convinced that palm oil producers will be able to provide sufficient supplies to meet demand by the April deadline.
"Currently we have sufficient raw materials to produce 0.8 million liters of palm oil, but by the end of the year it will be up to 1.2 million," said Panich Pongpirodom, director-general of the department of alternative energy development and efficiency. dpa pj ds
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