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B20 and E20 Bioenergy Alternatives for Cost Reduction

B20 and E20 Bioenergy Alternatives for Cost Reduction

MGR Online•Economy•1h ago

Reader Briefing

The Thai government is promoting B20 diesel and E20 gasohol as bioenergy alternatives to reduce fuel costs and import reliance.

  • •B20 diesel contains 20% biodiesel from crude palm oil, while E20 gasohol contains 20% ethanol from sugarcane and cassava.
  • •The Cabinet reduced excise taxes for B20 and E20 for three months from October 28, 2026, to January 27, 2027.
  • •The Oil Fuel Fund Administration Committee adjusted compensation rates on November 6, 2026, affecting retail prices of B20 and E20.
  • •PTT Station provides B20 at 515 stations and E20 at 2,369 stations nationwide.

Overview

  • •B20 and E20 are biofuels developed by Thailand by mixing agricultural products with petroleum fuels to reduce reliance on imported oil.
  • •E20 consists of 20% ethanol and 80% gasoline, whereas B20 consists of 20% B100 biodiesel and 80% diesel.
  • •The Cabinet reduced the B20 excise tax by 5.50 baht per liter to 0.431 baht and the E20 excise tax by 5.60 baht per liter to 0.358 baht.
  • •The excise tax reductions are effective from October 28, 2026, to January 27, 2027.
  • •On November 6, 2026, the Oil Fuel Fund Administration Committee reduced B20 compensation by 1.45 baht per liter and increased E20 compensation by 0.23 baht per liter.
  • •PTT Innovation Institute consulted on a Department of Energy Business study that tested B20 in large trucks for 100,000 kilometers over 540 days from June 2013 to December 2014.
  • •Users are advised to check vehicle manuals or manufacturer stickers to ensure their specific car or motorcycle model is certified for B20 or E20.
  • •The use of B20 and E20 increases demand for palm oil, sugarcane, and cassava, creating value for the Thai agricultural sector.

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Key Entities

Organization

Cabinet(คณะรัฐมนตรี)
The body that resolved to reduce excise taxes for B20 and E20 fuels.
Oil Fuel Fund Administration Committee(คณะกรรมการบริหารกองทุนน้ำมันเชื้อเพลิง)
The committee that adjusted the fuel compensation rates for B20 and E20 on November 6, 2026.
Department of Energy Business(กรมธุรกิจพลังงาน)
The agency that sets the B20 flow point standard and conducted a study on B20 use in large trucks.
PTT Station
A service station network providing B20 and E20 fuels across Thailand.
PTT Innovation Institute(สถาบันนวัตกรรม ปตท.)
The research and development unit that served as a consultant for the B20 truck study.
Ministry of Energy(กระทรวงพลังงาน)ℹ️
The ministry that announces certified vehicle brands and models for bioenergy use.
PTT(ปตท.)
The organization involved in developing and promoting biofuels since 2001.