Thailand: PTT to reduce its CNG fuelling business
Thailand's PTT Plc has announced plans to reduce its dominating compressed natural gas (CNG) retail business in the country.
The national oil and gas company has controlled the CNG retail market since 2006, enjoying a full monopoly of the alternative fuel. PTT has seen the demand for CNG grow from a few tonnes a day in 2006 to almost 3,000 tonnes a day in 2013, reported the Bangkok Post..
High international oil prices boosted the demand for CNG in Thailand over the last years. However, the current low prices and the reduced subsidies on CNG are seeing motorists go back to gasoline.
PTT has decided to suspend its CNG expansion plans and will limit its retail business to 500 stations.
Once the CNG price is floated, PTT will focus its efforts on the marketing of liquefied natural gas.
