Thailand: Policymakers expect to restructure power tariffs

• Apr 25, 2019

Energy policymakers are planning to restructure power tariffs for many power-generating resources to handle disruptive technologies in the sector. 
The restructuring will apply to solar, biogas and petroleum gas generated from independent power suppliers (IPS). 
The Energy Regulatory Commission has been told to study the restructuring plan and a new committee has been set up, comprising experts and stakeholders. 
A final draft is expected to be complete by September. 
Energy Minister Siri Jirapongphan said the IPS platform encourages many companies to install their own power generation sources. 
Policymakers are worried energy storage may challenge the power sector’s capacity as companies and households distribute power and serve as backup sources in the near future. Although this platform is in the trial stages, it is unavoidable, he said. 
“These obstacles for policymakers and must be addressed when determining spending for power utilities and the long-term outlook for state power grid,” said Mr Siri. 
He said the new structure would include a backup tariff and wheeling charge. 
The revision will serve as a deregulation plan of power generation in the near future, said Mr Siri. 
Solar panels are more popular among property owners. Mr Siri said many companies and industrial operators have installed solar panels, generating 8,600 megawatts as of 2018, some 15% of the country’s power generation of 56,034MW. 
Capacity from this platform grew nearly 300% from 3,200MW in 2017. 
Peak hours of power consumption this year now extend from daytime to nighttime in the summer season. Solar panels only generate electricity during the daytime, while some state power plants are on standby during the day. 
“This affects the country’s power generation, which is a mix of natural gas, which makes up 60%, followed by coal [18%] and imports from Laos and renewable energy [22%],” said Mr Siri. 

Source: https://www.bangkokpost.com/business/news/1666708/policymakers-expect-to-restructure-power-tariffs