Politics
Thai Government Responds to Democrat Party Proposal on Fuel Subsidies
The government has addressed a proposal to reallocate 50 billion baht from the 'Thai Chuay Thai Plus' project to subsidize fuel prices, citing concerns over equitable distribution.
On September 20, 2026, Deputy Government Spokesperson Lalida Periwattana responded to a proposal from the Democrat Party’s energy team. The opposition had suggested reallocating approximately 50 billion baht from the existing 'Thai Chuay Thai Plus' initiative to reduce fuel prices, alongside a two-month, 7-baht-per-liter reduction in diesel excise taxes.
According to Khaosod Online, the government acknowledged that the proposal is under consideration but emphasized the need for a balanced approach. Spokesperson Lalida noted that the 'Thai Chuay Thai Plus' project, approved by the Cabinet on May 19, 2026, with a total budget of 175.7 billion baht, was specifically designed to support low-income earners and state welfare cardholders. She argued that reallocating these funds would exclude vulnerable groups who do not own vehicles, and clarified that the 50 billion baht cannot be immediately accessed for other purposes.
For residents and travelers, this debate highlights ongoing government efforts to manage the cost of living and energy prices. While the proposal aims to provide immediate relief at the pump, the government remains focused on broader social welfare objectives. It remains to be confirmed whether any alternative measures to address fuel costs will be introduced or if the current budget structure will remain unchanged.
