Illustrative image (Photo: Internet) Bangkok (VNA) – Thailand’s Energy Ministry has ordered the EnergyBusiness Department to discuss with domestic oil traders the prospect of usingblockchain to facilitate palm oil trade.
A blockchain system is expected to cut out the middleman between palm plantersand palm oil mills, in theory allowing planters to sell the commodity at higherprices.
Energy Minister Sontirat Sontijirawong said the ministry expects to implement ablockchain system in June as a relief measure for planters struggling with low,unstable palm prices.
"The government is trying to control domestic palm oil prices and raisedthe content of blended biofuel gasoline to 10 percent [B10] and 20 percent[B20] in April 2019 to absorb the surplus volume of crude palm oil [CPO] andkeep the price of fresh palm nuts above three baht per kilogramme," theBangkok Post quoted Minister Sontirat as saying.
The ministry expects the country to produce 2.2 million tonnes of CPO thisyear.
It plans to mandate B10 as a primary diesel, replacing B7 in 2020, while B20 isplanned as an alternative diesel with subsidised prices.
Previously, the ministry ordered the Electricity Generating Authority ofThailand (EGAT) to use CPO for power generation at the Bang Pakong power plantin Chachoengsao province.
Both measures have increased the price of fresh palm nuts to 3.20 baht per kgsince mid-June 2019, from 1.80 baht in April last year.
However, the COVID-19 pandemic affected consumption of palm oil for cooking andbiofuel, especially B100 in April, decreasing by 400,000-500,000 litres per dayfrom March./.
A blockchain system is expected to cut out the middleman between palm plantersand palm oil mills, in theory allowing planters to sell the commodity at higherprices.
Energy Minister Sontirat Sontijirawong said the ministry expects to implement ablockchain system in June as a relief measure for planters struggling with low,unstable palm prices.
"The government is trying to control domestic palm oil prices and raisedthe content of blended biofuel gasoline to 10 percent [B10] and 20 percent[B20] in April 2019 to absorb the surplus volume of crude palm oil [CPO] andkeep the price of fresh palm nuts above three baht per kilogramme," theBangkok Post quoted Minister Sontirat as saying.
The ministry expects the country to produce 2.2 million tonnes of CPO thisyear.
It plans to mandate B10 as a primary diesel, replacing B7 in 2020, while B20 isplanned as an alternative diesel with subsidised prices.
Previously, the ministry ordered the Electricity Generating Authority ofThailand (EGAT) to use CPO for power generation at the Bang Pakong power plantin Chachoengsao province.
Both measures have increased the price of fresh palm nuts to 3.20 baht per kgsince mid-June 2019, from 1.80 baht in April last year.
However, the COVID-19 pandemic affected consumption of palm oil for cooking andbiofuel, especially B100 in April, decreasing by 400,000-500,000 litres per dayfrom March./.
VNA
