Relationship Between Thailand's Energy Policy and Climate Change
The energy policy of the Ministry of Energy of Thailand has three main strategy aims: energy security, promotion of alternative energy and increased energy efficiency in the enduse sectors, as follows:
1. The energy security strategy aims at development and promotion of endogenous energy resources to satisfy domestic consumption. It includes cooperation with nearby countries in the development of energy sources and utilisation of renewable energy resources such as small hydroelectricity generation, development of nuclear power and utilisation of clean coal technologies.
2. The alternative energy strategy was announced by the Thai government as a national agenda in 2008. Promotion and utilisation of alternative energy supplies include biofuels, biomass, biodiesel and waste to energy. In addition, renewable electricity generation from solar, wind and hydro has been targeted in the 15-year Alternative Energy Development Plan (AEDP) of the Department of Alternative Energy Development and Efficiency (DEDE), Ministry of Energy. The first 15-year AEDP plan made in 2011 is divided into three periods: 2008– 2011, 2012–2016 and 2017–2022. This plan will result in cumulative energy savings of 19,799 ktoe by 2022 and will account for 20 % of total final consumption in 2022.
3. The increased energy efficiency strategy of DEDE aims at targeting energy savings in the residential, industrial, commercial and transport sectors. It includes promoting awareness and understanding of energy conservation, providing financial incentives to the private sector in retrofits of energy equipment for energy savings, peak load cutting in the commercial sector and R&D on minimum energy performance standards, building energy codes and mass transit systems. Efficient use of energy results in less investment in the energy supply (DEDE, 2009).
Revised Alternative Energy Development Plan: AEDP 2012–2021
As mentioned above, the first AEDP is divided into three subperiods and aims to promote renewable electricity generation such as biomass power, biogas power,
Table 6.1 Potential of renewable power generation in the AEDP plan
Source: aDEDE (2010)
small hydropower, solar power, wind power and waste to power. In January 2012, DEDE increased the target of 2012 AEDP to 25 % by 2021. To achieve this target in the revised AEDP plan, Ministry of Energy has provided financial support and mechanisms to promote renewable electricity generation in the form of 'adders' on the top of buy-back rates. Adders of different renewable energy sources will be given by different rates. The concept of these incentives is to make the renewable energy investment yield sufficient profits within given lifetimes under specified economic criteria. The target of renewable electricity generation in its first AEDP plan was 5604 MW, in which biomass power will share about 3700 MW and will account for 66 % of the total capacity by 2022 (see Table 6.1).
In 2012, the National Energy Policy Committee (which includes the prime minister) announced the revised AEDP plan. Total renewable power generation was to be 13,927 MW in 2021 with expected annual energy generation of 63,035 GWh in 2021. The largest share of power capacity will be represented by 4800-MW from biomass electricity generation (see Table 6.1).