12/08/2013 (The Nation) - Yodphot Wongrukmit, senior executive vice president for marketing at Bangchak Petroleum, said that the company's refinery, oil depot, and service stations were ready to switch to provide the B7 standard - or the diesel with a 7 per cent palm oil content - from January 1.

However, Yodphot said he was concerned that there would be an adequate supply of palm oil to be mixed with diesel to produce the B7 diesel.

In the past, shortages of palm oil have driven up the market price - pushing up the cost of bio-diesel production. The government should ensure that the parties involved can provide a sufficient supply of palm oil for both consumers and the energy sector, he said.

"Personally I think the energy ministry should introduce the bio-diesel standard step-by-step. For example, next year it should first upgrade to B6. If there is no problem with palm oil shortages after six months, it can then upgrade to B7," he said.

This method should also be applied to B10 upgrade, which would give automakers and palm oil producers time to make adjustments. The important thing was for the government to provide all parties with a clear timeframe for the upgrade.

Surapong Paisitpatanapong, spokesman for the Federation of Thailand Industries' auto-industry club, said that currently diesel-fuelled vehicles could accommodate the B7 diesel, but if there were an upgrade to B10 in 2019, the government would first need to negotiate with the parties involved as automakers would have to invest in upgrading their engine designs. To date, no country has adopted B10.