fuel-makers call for

Surathian Chaktharanon, chairman of E-Ester Co Ltd, told a seminar on alternative energy that some of these producers have closed shop in the past few years, particularly biodiesel producers, as operating costs have been rising along with fuel prices.

These producers also suffer from the small market, now that oil retailers - which control service stations - prefer to buy biodiesel from their affiliates rather than from small producers, he said.

The government should be consistent with its policy to promote alternative fuels, not just during periods when fuel prices are high, he said.

The government should also promote biodiesel more than gasohol, since diesel is dearer than petrol in the Kingdom, he said, adding that biodiesel should have been put on the national agenda, not E85, or petrol mixed 85 per cent with ethanol.

Suvit Tia, a chemical engineering lecturer at King Mongkut's University of Technology Thonburi, presented the results of his comparative study of energy savings of gasohol E10, E20 and E85.

Compared to other fuels, E85's savings scale is not greater. And although it is cheaper than other fuels, its mileage is worse.

He urged the government to review its fuel policy properly before going ahead with the promotion of E85. His report would be submitted to the Energy Ministry next month.

Surathian insisted that bright opportunities do not await biomass fuels in Thailand.

They would be popular for only 10 years, and then hydrogen would take over.

Biomass fuels are currently in demand as the world is reeling from high oil prices and the hydrogen system is still being developed. Alternative fuels can in no way substitute for conventional fuels, as that would hurt the refineries.

"Today, the energy market depends on large retailers like PTT and Bangchak Petroleum. Regardless of what the policy is, if PTT and Bangchak disagree, it would go nowhere.

I perceive that retailers are taking alternative fuels as an 'alternative' in a high oil price period, without serious thought to using them as real alternative fuels," he said.