ABSTRACT
Energy efficiency is relevant to industrial competitiveness; hence, national competitiveness. It reduces operating costs for businesses which leads to productivity increase. As a result, growth in GDP could then follow. However, energy efficiency requires innovative technologies which business sectors may not be able to afford. Thus, the government’s investment in these technologies is essential.
The energy plan is a part of Thailand’s 20-Year National Strategy. Prime Minister of Thailand, General Prayute Chan-o-Cha, declared to the National Legislative Assembly of Thailand on 12 September 2014 that ‘“…we have to raise the awareness of our people to use energy efficiently. We have to create a secure and reliable system to ensure the energy efficiency in Thailand, both in manufacturing, transportation, and household sectors….’” This 20-Year National Strategy places energy efficiency directly with national competitiveness.
The Ministry of Energy of Thailand has integrated Thailand’s energy plan into five central plans as follows: (1) Power Development Plan (PDP); (2) Energy Efficiency Plan (EEP); (3) Alternative Energy Development Plan (AEDP); (4) Gas Plan; and (5) Petroleum Plan. The Ministry of Energy of Thailand as a policymaker on one side, alongside with the Electricity Generating Authority of Thailand (EGAT) as the one who is implementing those policies on the other, are the main characters in Thai’s policy on energy efficiency. Many demand-side management (DSM) programmes, such as ‘“Label No. 5 Campaign’” by the Ministry of Energy and EGAT proved to be successful by the outstanding result in decreased carbon-dioxide emissions and electricity consumption, which are both still decreasing by a substantial amount. Several more DSM programmes shall be further examined in this chapter.
This chapter focuses on the role of EGAT as the leading player in the industry, mainly on its roles on DSM, incentives for small power producers (SPPs) and also its failures. It will determine whether or not EGAT’s DSM and incentives provided for the SPPs impact the country’s EE.
