Thaksin drives Seat van

Thaksin drives Seat van

BANGKOK (AP): Billionaire Prime Minister Thaksin Shinawatra has given up his luxury Mercedes Benz for a Seat van fueled by a locally developed blend of palm oil and diesel.

Thaksin arrived at the Parliament on Thursday in the 7-seater green van, catching lawmakers and reporters by surprise.

"There was some smoke when the engine was started but after that it ran smoothly," Thaksin told reporters.

He said he switched to the seven-seat van to encourage motorists to use the blended fuel to cut down the country's oil import bill.

"I want to show the public that the Thai developed palm oil diesel is safe for car and free of pollutants," Thaksin said.

The Petroleum Authority of Thailand, or PTT, started selling palm oil-blended diesel fuel two months ago, pricing it a little lower than diesel. The blend contains no more than 10 percent refined palm oil, a specification that does not require any changes in automobile engines.

Thailand is promoting research and use of alternative fuels to reduce its reliance on imported petroleum products and shore up prices of agricultural commodities.

Initially, PTT expects to sell around 200,000 liters (52,835 gallons) of the blend a month. The government expects about 50,000 tons a year of crude palm oil to be blended with diesel annually.

"The government is promoting development of fuel from palm oil because we can buy the raw material from local farmers and also from Malaysia," Thaksin said.

He said he will continue to drive the van, but did not say until when.

PTT and another oil distributor Bangchak Petroleum Pcl. also sell gasohol, a mixture of crop-based ethanol and gasoline.