PTT to cut back on NGV station investment

Nattachart Jaruchinda, PTT's executive vice president, said yesterday that the decline in oil prices had reduced NGV consumption. The Energy Ministry had decided to reduce promotion of  NGV following a suggestion from PTT.

PTT has revised down the NGV consumption estimates in 2012 from 20 per cent to 13 per cent, while the NGV installation in vehicles will be revised to 220,000 from 320,000 in the same year.

Moreover, PTT will scale down the NGV station expansion to 595 stations from 700 stations, he said. The revision is based on the Dubai crude oil price at US$55 (Bt2,000) per barrel.

He said PTT will also allow private companies to invest in NGV stations. The move will complement PTT's scaled-down investment.

PTT early had allowed Siam Rajathanee Corp to launch the first NGV station.

"It is in the company plan to allow private firms to build mother NGV stations and compressed gas, which will help us to reduce the investment budget to Bt600 million," he said.

PTT yesterday signed contracts with three private firms to set up mother NGV stations.

He said PTT plans to encourage private firms to set up about 50 NGV stations a year.