The Energy Ministry is ready to handle high volatility in oil and LNG prices, reaffirming that Thailand has sufficient reserves for 101 days of domestic use, and is preparing continuous measures to ease the cost-of-living burden.
Mr. Weeraphat Kiatfuengfoo, Deputy Permanent Secretary and Spokesperson of the Ministry of Energy, disclosed the situation regarding global oil prices, which are currently facing severe volatility driven by the unpredictable US-Iran conflict that is directly affecting energy supply worldwide. The Ministry of Energy continues to monitor and keep watch on the situation without interruption. It has been found that trading prices for July rose by an average of approximately 7–8 US dollars per barrel compared to June, or an increase of approximately 10–12%.
Although retail fuel prices in neighbouring countries have risen in line with global market prices, Thailand's Ministry of Energy continues to use the Oil Fund mechanism and price regulation at the refinery level in accordance with resolutions of the Energy Policy Administration Committee (EPAC), so as to prevent any impact on the public's cost of living. On the matter of energy security, Thailand currently holds oil reserves as of 30 July 2026 sufficient for 101 days of domestic consumption.
As for imported LNG, which is a key fuel for electricity generation, prices have risen significantly — from approximately 11 US dollars per million BTU before the war broke out to approximately 18–20 US dollars per million BTU, an increase of nearly 60%. This is the result of the market pricing in a sharply elevated supply risk, given that nearly 20% of global LNG supply depends on shipping routes through the Strait of Hormuz. Prices are expected to rise further in the near future as LNG consumption is set to increase during the upcoming winter season.
"Given the high volatility in global oil market prices and LNG prices, the Ministry of Energy continues to closely monitor and assess the global market situation every day. For oil, the Oil Fund mechanism is being used together with refinery-level price regulation in order to maintain domestic retail prices. As for imported LNG prices, which will affect electricity tariffs, management measures will be employed — such as increasing gas procurement from the Gulf of Thailand, short-term renewable energy power purchase agreements, power purchases from the Lao PDR, and increasing operation of the Mae Moh power plant — in order to reduce LNG imports as much as possible, which will help ensure that electricity tariffs are not affected. The Ministry of Energy is ready to implement every necessary measure to reduce the public's cost of living as much as possible."
