Best Practices and Experiences on Thailand s Energy Policy for Sustainable Development
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1 Best Practices and Experiences on Thailand s Energy Policy for Sustainable Development Dr. Poonpat Leesombatpiboon Chief, Strategic International Energy Cooperation Ministry of Energy, Thailand Policy Dialogue on Energy for Sustainable Development UNESCAP Pullman King Power Hotel Bangkok, Thailand 18 December2013 1
2 Contents Energy Situation in Thailand Energy Policy in Thailand Renewable Energy Policy and Showcases Energy Efficiency Policy and Showcases
3 Energy Situation in Thailand
4 Final Energy Consumption in Thailand thousand barrel oil equivalent/day Domestic 66% Import 34% Hydropower 3% Coal/Lignite 17% Domestic 31% Import 69% Natural Gas 44% Import 19% Domestic 81% Domestic 15% Oil 36% Import 85% p Preliminary Consumption Oil Natural Gas Coal/Lignite Electricity Total Growth (%) Source : Ministry of Energy
5 Thailand s Energy Import Value Million baht Energy Import value NG+LNG 10% Coal 3% Electricity 1% Petroleum product 9% 2012 Crude oil 77% p Elec. Coal Natural gas+lng Petroleum Crude oil P : Preliminary Import value in 2012p 1,441,790 million baht Approx. 48 Bil USD equivalent 13% of GDP 2012 Crude oil Petroleum product NG+LNG Coal Electricity Total Import value(million baht) 1,115, , ,952 46,770 18,069 1,441,790 Growth (%) Source : Ministry of Energy
6 Energy Policy in Thailand
7 Country Strategy Green Economy Growth & Competitive ness People/Quality of life /Knowledge/Justice Balance & Develop Public management Infrastructure/ Production/R&D Economic Growth Sustainable Development Environmental Friendly Inclusive Growth Green Growth Laws & Regulations Fostering economic growth and development in environmental friendly way 7
8 Renewable energy Plan & Policy Thailand s Energy Policies Develop Infrastructure to be Regional Energy Center Land Bridge Smart Grid Gas Pipeline Power Grid Secure Thailand Energy supply Power Plant / Oil Storage International Cooperation Participation Fair Energy Pricing Energy Price Restructure Prime Minister Yingluck Shinawatra Up-scaling RE mix to 25% in 10 years CBG Feed in Tariff Distributed Green Generation Research & Development Target Energy Intensity reduction by 25% within 20 years (based on 2010 level) Energy Conservation Law & Regulation CDM
9 Renewable Energy
10 Alternative Energy Development Plan (AEDP) Rev 1 Committed to the development of low-carbon society Government Funding On R & D & D Activities Alternative Energy Development Plan (AEDP : ) Target 25 % of RE in Total Energy Consumption By 2021 Private-Led Investment Solar Wind 3,000 MW 1,800 MW 100 ktoe 4,800 MW, 100 ktoe Bio-Energy Biomass Biogas MSW 4,800 MW 3,600 MW 400 MW 8,500 ktoe 1,000 ktoe 200 ktoe 8,800 MW, 9,700 ktoe Bio-Fuel Ethanol Biodiessel 2 nd gen 9 ML/Day 7.20 ML/Day 3 ML/Day Mini Hydro Micro Tidal wave New-Energy Geothermal 324 MW 2 MW 1 MW 3 MW
11 AEDP Status Technology Unit Target in 2021 (MW) Status Q1-Q2 / 2013 Electricity MW 13,927 3,343 Solar MW 3, Wind MW 1, Small Hydro MW Biomass MW 4,800 2, Biogas MW 3, MSW MW New Energy MW 3 - Heat Ktoe 9,800 2,622 Solar Ktoe Biomass Ktoe 8,500 2,334 Biogas Ktoe 1, MSW Ktoe Biofuel ML/Day Ethanol ML/Day Biodiesel ML/Day nd Generation (BHD) ML/Day 3 Total RE Ktoe 24, Final Energy Consumption 99, RE Consumption : Energy Consumption 25% 10.6 %
12 Final Energy Consumption Q2/2013 Fossil fuels Alternative Energy & Traditional RE Power Generation 1.64 % (Solar/Wind/Biomass /MSW/Biogas) Small Hydro Power 0.03% Imported Hydro power Large Hydro power Heat 6.9% (Solar/Biomass /MSW/Biogas) Alternative & Renewable Energy 10.6 % Biofuels 2.0%
13 Best RE community based projects Conserve nature Sustainable Development Natural resources Opportunity & income Economic development with environmental protection
14 Biofuels
15 Biofuel : Ethanol AEDP Target 2021 Ethanol uses L/day Molasses Cassava Current level Ethanol uses L/day Gasoline blended (Gasohol) Interesting facts Plenty of energy plants, cassava and sugarcane : for ethanol production system Promote plan of action to increase the usage of ethanol in transportation sector Amending the laws and regulations to support ethanol free trade in AEC
16 Thailand Ethanol Feedstock
17 Ethanol Production Capacity
18 Ethanol Uses
19 Supporting Policies
20 Biodiesel Biodiesel AEDP Target Current level 2021 Biodiesel uses L/day Palm Oil Current level Biodiesel uses L/day Development of Oil Conversion Technology New Fuel for Diesel Substitution New Energy Crop Jatropha Micro Algae BTL BHD 20
21 Biodiesel Feedstock
22 Thailand B100 Capacity
23 Biodiesel uses
24 Supporting Policies
25 Solar Energy
26 Solar Energy Targets by ,000 MW 100 KTOE Power Generation Thermal use Solar Cell (PV) Solar Thermal (CSP) Solar Water Heater (SWH) Solar Dryer
27 Solar Radiation Map of Thailand Average total solar radiation of 18 MJ/m 2 /d (5.0 kwh/m 2 /day) The solar radiation map from satellite data together with the real ground measurement data The most potential areas (19-20 MJ/m 2 -day) are in the central and north eastern regions with about 11% of total area of Thailand Potential Area 27
28 Measures to promote solar energy Investment subidy for solar thermal Investment subsidy Solar Water Heater-for large system hotel, hospital, farms, apartment, factory up to 30% of initial investemt and gradually decreased Solar Dryer-for individual and SME up to 60% of initial investment and gradually decreased Promotion results no. of solar water heater installations of 137 sites with total 36,872 m 2 with 159 million bath subsidy -70% of installation were factories and hotels total solar dryer installed was 6,000 m2
29 Measures to promote solar energy Adders and FiT for solar power generation Promote the RE generation under the small power producer (SPP) more than 10 MW but less than 90 MW and very small power producer (VSPP)-less than 10 MW program using price incentives for all RE Generation from solar energy Adder price - 8 baht/kwh or 26 US cent /kwh for 10 years since Reduced to 6.5 baht/kwh or 21 US cent/kwh for 10 years in 2010 and stop taking new proposal since then
30 Solar SPP and VSPP Status Proposed Project Waiting for PPA Signed PPA Already sell to grid Total Technology Project (no.) Selling Capacity (MW) Project (no.) Selling Capacity (MW) Project (no.) Selling Capacity (MW) Project (no.) Selling Capacity (MW) Project (no.) Selling Capacity (MW) Solar Energy , , VSPP , PV , Thermal SPP SPP = small power producer >10 MW and <90 MW VSPP = very small power producer < 10 MW **ERC,Oct
31 Solar Farm in Thailand Many solar farms were established due to adder measures 31
32 Cumulative PV installation[mw] Solar Power Installation up to 2013 Cumulative PV Installation in Thailand since off grid grid-connected Solar Home Program Beginning of Adder Policy 0 Year 32 32
33 Measures to promote solar energy Solar PV Rooftop National Energy Policy committee resolution on July 16 th,2013 => Feed-in Tariff (FIT) for Solar PV Rooftop => Objectives - Encourage private individuals & SME investment in solar power - Minimize Peak Load - Energy security Solar Rooftop Target 200 MWp 100 MWp 100 MWp FIT Price 1. Household (0-10 kwp) = 6.96 baht/kwh 2. Small Enterprise ( kwp) = 6.55 baht/kwh 3. Medium & Large Enterprise /Factory (250 1,000 kwp) = 6.16 baht/kwh Household SME & Factory supported period 25 years and COD in December
34 List of the 13 Consultant Installing Solar Roof System by DEDE Solar Power Roof Company Limited Surehome Co. Ltd SOLARTRON PUBLIC COMPANY LIMITED TSUS EXCELLENT ENGINEERING CO.,LTD. SPCG Public Company Limited Leo Electronics Co., Ltd. LEONICS ESCO Co., Ltd. McTricity Co., Ltd. Annex Power Ltd Process Engineering Services Co., Ltd. B W H (Thailand) Ltd. 34
35 Measures to promote solar energy Solar Community National Energy Policy committee resolution on July 16th,2013 => Joint project : MOEN + National Village & Urban Community Fund Office => Objectives - Encourage community participation - Job creation & generate incomes for community - Promote distributed RE power or Distributed Green Generation) Target for Community Scale Solar 800 MWp Village/Community Invest 60 Mbaht 1 Government Savings Bank 2 Bank for Agriculture and Agricultural Cooperatives Community Fund 15 Mbaht Loan from GSB 1 /BAAC 2 45 Mbaht 1 MW Supported period 25 yrs COD in December
36 Measures to promote solar energy Solar Community FIT Rate for Community Scale Solar FIT (baht/kwh) Project IRR : 13.6% Pay back period 6 yrs Year 1-3 => Loan payment ability Year 4-10 => Avg. income 2 MBaht/yr Year => Avg. income 4 MBaht/yr Year * Supported period 25 yrs * COD in December
37 Thank you for Your attention
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