Same causes, same effects…
Subsidies, and prices controls, are always good on short term. And inevitably bad on the long term. Inevitably
But the politicians will never learn. And eventually… people will pay. There is no free lunch. Never.
PTT President Prasert Bunsumpun has warned that the government must spend Bt15 billion through next year to subsidise up to 1 million tonnes of liquefied-petroleum-gas (LPG) imports.
He said this was because of the wide gap between the domestic and the global prices for LPG. At present, domestic LPG is fixed at US$332 (Bt10,500) per tonne, compared with $800 on the global market, a gap of $468.
Prasert said he feared the burden would be too large for the government to shoulder and passed on to consumers without comprehensive measures covering the entire LPG industry.
“LPG consumption will rise significantly by the end of next year, because of the Energy Ministry’s price-fixing policy, persistently high oil prices and the smuggling of LPG out of the country. (Nation)
Diesel is subsidized… until july. Meanwhile… price of crude oil is going to the roof, breaking record over records.
This is how we can summarize the policy of the new government -so far : the big void.
No imagination, no courage, no intelligence… Just easy-feel-good-short-term-fixes-of-dope-we-will-see-tomorrow.
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