Thailand’s Energy Ministry is considering a second cut to refining margins this week, potentially lowering fuel prices by more than 2 baht per litre, as part of ongoing efforts to ease the country’s cost of living. Energy Minister Akanat Promphan indicated that officials are reviewing actual cost data to adjust refining margins, following an initial reduction of 2.14 baht per litre implemented in March.

The review comes amid a significant increase in refining margins observed in early April, which rose sharply to an average of 15 baht per litre between April 1 and 15—more than double the March average of just over 7 baht. The minister described the spike as irregular and said that the Energy Policy Administration Committee is scheduled to meet soon to finalize any revised rates, which are expected to take effect this Thursday.

In recalculating margins, the ministry will factor in additional expenses such as war risk premiums, transportation, and insurance reflecting actual conditions during the first half of April. Mr. Akanat expressed confidence that the reduction would exceed 2 baht per litre.

Addressing public concerns about the disparity between falling fuel prices in the Singapore market—down approximately 20%—and the relatively modest retail price decreases domestically, the minister pointed to the financial strain on Thailand’s oil fund. The fund, which has actively intervened to moderate retail fuel prices during periods of global price volatility, has accumulated debts surpassing 60 billion baht. Although daily disbursements from the fund have decreased from over 2 billion baht to about 100 million baht, the minister emphasized the need to proceed with price adjustments cautiously to maintain the fund’s financial stability.

Separately, Thailand’s Maritime Enforcement Command Centre has intensified crackdowns on illegal activities in Thai waters in line with directives from Prime Minister Anutin Chanvirakul. According to government spokeswoman Rachada Dhnadirek, authorities confiscated more than 335,000 litres of illicit fuel and gasohol, seized over 1.2 tonnes of cannabis buds, and uncovered other contraband between February and April.

Investigations have revealed theft and irregularities involving approximately 57 million litres across 20 oil shipments. Some vessels reportedly disabled their automatic identification systems and carried out ship-to-ship transfers to avoid detection. The Department of Special Investigation has now taken charge of the case.

Meanwhile, diplomatic efforts have successfully resolved the situation of one of two vessels operated by Siam Cement Group that had been stranded in the strategically significant Strait of Hormuz. The Foreign Affairs Ministry confirmed the safe departure of the vessel following negotiations.