Service stations now number 18,000, well above demand, said ministry official Viraphol Jirapraditkul, He said demand growth had dropped from 7-8 per cent per annum before the oil price spikes to 2-3 per cent. Small service stations in particular will not survive.

Tiraphot Vajarabhaya, chairman of Shell Thailand, said service stations would survive if the average marketing fee was Bt1.80 per litre. He also criticised PTT for funding low marketing fees with returns from other businesses, saying that such a practice forces other oil retailers to maintain low marketing fees at their own cost.

Treasury Dept to revive controversial project

The Treasury Department will soon revive its controversial construction of a Bangkok commercial complex and mass-transport connection point at a Mor Chit site worth Bt18 billion because the National Economic and Social Development Board (NESDB) has backed the project.

Treasury Department director-general Panthip Surathin said yesterday that the NESDB would give its opinion about the investment next week.

Panthip said that the NESDB had agreed in principle to the project but she would wait for full details of the recommendations from the state planning agency. 

Earlier, the department had sent the investment plan of the project to the NESDB after Finance Minister Chalongphob Sussangkarn suggested that large investment projects should be approved by the NESDB.

Thailand Post launches heavy delivery service

Thailand Post will launch a new delivery service on July 1 which will cover items weighing in excess of 200 kilograms.

Its existing delivery service covers only items not exceeding 20 kilograms in weight. Thailand Post has 1,178 branches nationwide.