The government has revealed a sequence of diesel price support measures for 2026, involving multiple rounds of price reductions at refineries and the use of the oil fund to lessen price shocks. It highlights that Thailand's diesel prices remain below the general market prices in Malaysia and Indonesia.
On 21 September 2026, Ms. Lalida Perseevivatana, Deputy Spokesperson of the Office of the Prime Minister, stated that the government has continuously managed diesel prices throughout 2026 to prevent global energy market volatility from immediately fully impacting the cost of living for citizens and business expenses. The Ministry of Energy, under Minister Eknat Promphan's supervision, has closely monitored crude oil prices, refined oil prices, and refining margins. It has employed multiple tools simultaneously, including reducing refinery prices and managing compensation payments from the oil fuel fund, to help cushion retail fuel price shocks at service stations.
Ms. Lalida explained that the latest measure from the Energy Policy Administration Committee (EPAC), under the Ministry of Energy’s policy, is a 4 baht per liter refinery price cut for diesel fuels B0, B7, and B20 from 16 September to 31 October 2026. This aims to address oil price volatility and reduce cost pressures in the pricing structure, preventing retail prices at service stations from rising significantly above current levels. Minister Eknat has been continuously monitoring the situation and prioritizes using available mechanisms to ease the burden on the public while maintaining long-term energy system stability.
The Deputy Spokesperson added that the September measure is not the first action the government has taken this year. The Ministry of Energy, under Minister Eknat, has managed prices periodically according to the situation. From 24 April to 9 May 2026, EPAC reduced refinery diesel prices by 5 baht per liter before lowering the discount to 3 baht per liter between 10 and 19 May, following an increase in refining margins averaging about 14 baht per liter in early April. Later, from 24 July to 15 August, another 2.40 baht per liter refinery price cut was applied, using excess refining margin profits to support prices, before increasing the discount to 4 baht per liter in the current measure.
“Looking at the timeline, it is clear that the government and Ministry of Energy did not only start managing diesel prices recently but have implemented measures since April, continuing through May, July, August, and September. Minister Eknat and the Ministry have been monitoring costs and refining margins continuously. As conditions change, measures must also adjust to prevent full cost transmission from the global market to the public all at once,” Ms. Lalida said.
Ms. Lalida noted that data from the Energy Policy and Planning Office (EPPO) on 18 September 2026 shows that regular diesel benefits from a 4 baht per liter refinery price discount and compensation payments from the oil fuel fund of 8.62 baht per liter, resulting in a retail price of 40.69 baht per liter in Bangkok and its vicinity, excluding local maintenance taxes.
Based on the price structure on that date and assuming other components remain constant, without the 4 baht per liter refinery price discount, retail prices would face an upward pressure of about 4.28 baht per liter including value-added tax, increasing from 40.69 baht to approximately 44.97 baht per liter. Without both the refinery price discount and oil fund compensation, the pressure would rise by about 13.50 baht per liter, reaching roughly 54.19 baht per liter.
These figures of 44.97 baht and 54.19 baht per liter are hypothetical calculations based on the price structure of 18 September 2026, intended only to illustrate the scale of the measures. They are neither official announced prices nor forecasts of actual diesel prices, as changes in policy or other price components and market conditions could alter outcomes.
“What Minister Eknat and the Ministry of Energy are doing is not eliminating energy costs but managing the impact so that the entire burden does not fall on the public at once. Diesel prices affect not only vehicle users but also transportation costs, agriculture, manufacturing, product prices, and the broader cost of living,” Ms. Lalida explained.
Regarding regional comparisons, EPPO data on average ASEAN fuel prices as of 18 September 2026 indicates that Thailand’s diesel price at 40.69 baht per liter is lower than Malaysia’s general market price of 42.96 baht and Indonesia’s 44.73 baht per liter. Thailand’s price is approximately 2.27 baht and 4.04 baht lower per liter than those countries respectively, while Vietnam’s price at 40.75 baht per liter is similar to Thailand’s.
Additionally, the same EPPO data shows the percentage change in Thailand’s diesel price at 35.9%, compared to 80.0% in Malaysia and 77.4% in Indonesia, according to the infographic’s calculation base and method. This reflects that global market pressures have not been transmitted to Thai diesel prices to the same extent as in some other countries.
However, Ms. Lalida emphasized that international fuel price comparisons must be made carefully, as each country has different tax structures, fuel quality standards, exchange rates, subsidy systems, and eligible beneficiary groups. Malaysia and Indonesia provide special fuel prices for certain entitled groups or specific programs. Therefore, the above comparison refers only to “general market prices” based on EPPO data, not implying that Thai diesel prices are lower than all subsidized prices in those countries.
“The government does not claim that Thai diesel is the cheapest in ASEAN, but the fact from EPPO data as of 18 September shows Thai diesel prices are below the general market prices of Malaysia and Indonesia. This outcome results from continuous multi-faceted management measures. Minister Eknat and the Ministry of Energy must monitor global market prices, refining margins, and the oil fund’s financial status to balance supporting citizens’ cost of living with maintaining energy stability,” Ms. Lalida concluded.
