Solar power in Thailand: Even households to sell energy to the govt

Selling solar power to govt getting underway. Big companies already selling. Farm cooperatives & households set to sell soon.

The day when even small households wll be able to sell the solar power they generateback to big power companies and the government, and make a profit from it, is fast approaching.


Companies are already selling electricity generated from solar power to Thailand’s big electricity companies, the Electricity Generating Authority of Thailand (EGAT) and the Provincial Electricity Authority.

One such company is BCPG, a subsidiary of Bangchak Petroleum, which also operatessolar farms in Japan.

BCPG’s plan for renewable energy was drawn up after Bangchak suffered huge oil inventory losses in 2007 as the price of oil declined, forcing the company to diversifyinto non-oil businesses, including ethanol, biodiesel, solar farms and upstreampetroleum production.

BCPG is now preparing for a future initial public offering (IPO) and listing on the Stock Exchange of Thailand (SET).

Bangchak is also in talks with several renewable energy operators, including geothermal power plants in Malaysia and Indonesia, as well as domestic operators of biomass and biogas facilities for possible mergers and acquisitions in the future (source here).


Sixty-seven farm cooperatives have won the right to sell a combined 281.32 megawatts (MW) of solar power to the national electricity grid.

A lucky draw was held on Thursday to choose the cooperatives to receive the electricity selling rights.

A total of 167 cooperatives with a combined output of 835MW qualified to enter Thursday’s lucky draw. The official results will be announced on Tuesday.

The electricity available to sell in some areas is greater than current feed-in capacities and that is why there was a lucky draw, to ration the limited capacity.

In the future, if there are surplus feed-in capacities, suppliers next in line will have a chance too.

Of the 67 winners, six will supply to the electricity grid through the Metropolitan Electricity Authority in Bangkok and the rest through the Provincial Electricity Authority.

The feed-in tariff is 5.66 baht a unit (one kilowatt-hour)

After the names are officially announced next week, the qualified suppliers will sign 25-year power purchase agreements within 120 days and commercial operation will begin no later than Dec 30 this year.


To promote the use of alternative energy, authorities offered to buy renewable energyfrom households and very small producers who will be paid relatively high feed-intariffs as an incentive.

[It planned to buy 800MW from government agencies and farm cooperatives. In the first stage of which selection was made on Thursday, 300MW will be bought from state agencies and farm cooperatives. However, no agencies were qualified in this round because they would have violated the public-private partnership law.

In the second phase, 500MW will be bought from state agencies (400MW) and farm cooperatives (100MW). The screening of suppliers will be done late this year or early next year.

Authorities also plan to buy 36MW of biomass power in feed-in tariff bidding in the South next month before the second round will buy from sources all over the country.]

Source: The Bangkok Post. Date: 22 April 2016