Thailand Maintains LPG Price Cap Amid Oil Fund Deficit

According to a report by Prachachat Business on August 7, 2026, Thailand’s Ministry of Energy has confirmed its commitment to stabilizing domestic energy prices. Despite ongoing volatility in global energy markets, the government is utilizing the Oil Fuel Fund to subsidize Liquefied Petroleum Gas (LPG). This intervention ensures that the retail price for a 15-kilogram cylinder remains capped at 423 baht.

This policy is significant for residents and business owners in Thailand, as it helps mitigate the impact of global price fluctuations on daily living costs and operational expenses. By maintaining a fixed price for cooking gas, the government aims to provide a degree of economic predictability for households and small businesses.

However, this price stability comes at a financial cost to the state. The Ministry of Energy acknowledged that the Oil Fuel Fund’s financial position has weakened, with its deficit increasing to 71.826 billion baht. While the current subsidy remains in effect, the long-term sustainability of this price cap depends on future global market trends and the government's ability to manage the fund's mounting debt. Travelers and residents should monitor official government announcements for any potential adjustments to energy subsidies, as the current fiscal situation remains under pressure.