Cabinet Meeting Synopsis -- April 20, 2011

World News Wednesday April 27, 2011 15:58 —Cabinet Meeting Synopsis (English)

The cabinet meeting on Wednesday 20, April 2011 has come to the following decisions:

Agenda No.1: Draft Ministerial Announcement of the Ministry of Finance on the Reduction of Excise Tax Rate

The Cabinet has given its approval for the Minister of Finance to issue a ministerial announcement on a temporary reduction of excise tax on diesel fuel. The revised diesel excise tax rate will be effective from April 21 to September 30 B.E.2554 (2011).

The Ministry of Finance and Ministry of Energy has jointly proposed the reduction of the diesel excise tax rates as a measure to alleviate the rising fuel costs. The move is aimed at containing inflation, which is having a negative effect on the transport and manufacturing industries and the general public. Excise tax on diesel fuel with less than 0.035 percent of sulphur content will be reduced from 5.31 Baht per liter to 0.005 Baht per liter, while excise tax on biodiesel with more than 4 percent of Methyl Ester content will be reduced from 5.04 Baht per liter to 0.005 Baht per liter. The Excise Department has been instructed to accelerate the implementation of these measures by promptly carrying out the necessary legal procedures.

Agenda No.2: Thai Airways Public Company Limited’s Plan to Acquire Aircrafts during Fiscal Years B.E. 2554 — 2565 (2011 — 2023)

The Cabinet has endorsed the Ministry of Transport’s proposal regarding Thai Airways Public Company Limited’s plan to acquire aircrafts during fiscal years B.E. 2554 — 2565 (2011 — 2023) under a 457.127 billion Baht budget. The aircrafts will be acquired over two phases:

1st Phase: (B.E.2554-2560) (2011-2018): 215.075 billion Baht has been earmarked for the acquiring of 37 aircrafts and back-up engines.

2nd Phase: (B.E.2561-2565) (2019-2023): A total of 38 aircrafts will be acquired through an arrangement comprising of a Firm Order for 21 aircrafts valued at 125.992 billion Baht and an Option Order for 17 aircrafts valued at 103.081 billion Baht. 11.979 billion Baht has been set aside for the purchase of back-up engines.

Agenda No. 3: Approval of Source of Funding to Hire of Management and System Supervision Consultant for Purple Line Railway Route (Bangyai- Bangsue) Project

The Cabinet has granted permission for the Mass Rapid Transit Authority of Thailand (MRTA) to use part of the loan it received from the Japan International Cooperation Agency (JICA) for the construction of the Purple Line railway route to hire a management and system supervision consultant. The consultant fee is to be capped at 382 million Baht. The Cabinet has instructed the Ministry of Finance to provide the necessary and appropriate loan insurance in accordance with actual expenses. The government will shoulder the responsibility of repaying the principle amount, interest and other relevant expenses.

Agenda No. 4: Army Requests Authorization to Sign Agreement to Purchase Armored Vehicles

The Cabinet has given its authorization for the Army Commander or his representative to be the Thai signatory to the agreement to purchase armored vehicles from Ukraine. The purchase is valued at US$141,999,900 or 4,418,216,959 Baht. The Army Commander or his representative is also authorized to make any necessary changes to the terms of the agreement with the exception to the total contract value.

Agenda No.5: Amendment to the Structure of WIPO IGC Committee and Draft WIPO IGC Negotiation Framework

The Cabinet has agreed to the following proposals by the Ministry of Foreign Affairs:

1. The Ministry of Foreign Affairs will be responsible for the issues of indigenous knowledge, genetic resources and traditional culture expressions at the meetings of WIPO Intergovernmental Committee on Intellectual Property and Genetic Resources, Traditional Knowledge and Folklore (IGC)

2. The WIPO IGC Meeting Preparation Committee will be under the supervision of the National Committee on Intellectual Property Policy. This would allow the WIPO IGC committee to receive policy guidance on the issues of indigenous knowledge, genetic resources and traditional culture expressions directly from the Prime Minister. The composition of the committee will remain unchanged while the Minister of Foreign Affairs will char the sub-committee.

3. Approved Thailand’s negotiation framework for the WIPO IGC on the issues of indigenous knowledge, genetic resources and traditional culture expressions. The WIPO IGC Meeting Preparation Committee has previously endorsed the negotiation framework which provides the guidelines for Thai negotiators participating in the Eighteenth Session of the Intergovernmental Committee on Intellectual Property and Genetic Resources, Traditional Knowledge and Folklore to be held in Geneva, Switzerland from 9-13 May B.E. 2554 (2011).

4. The WIPO IGC Committee shall act in accordance with the Article 190 of the Thai Constitution. It will present its proceedings and negotiation framework to the Cabinet and Parliament for further approval.

--Cabinet Meeting (Abhisit Vejjajiva) April 20, 2011--

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