Molly Ayala
Thailand's energy policy is characterized by increasing energy consumption efficiency, increasing domestic energy production, increasing the private sector's role in the energy industry, and allowing market mechanisms to set energy prices. In 2016, Thailand generated 181,519,000 MWh of electricity, covering 97% of its annual consumption needs. The country has seen an increase in access to electricity over the years, with 100% of the population having access in 2016, up from 75.899% in 1990. This development is a result of Thailand's efforts to improve energy accessibility and efficiency, with a focus on transitioning from fossil fuels to low-carbon sources of energy.
| Characteristics | Values |
|---|---|
| Access to electricity (% of population) in 2023 | 100% |
| Access to electricity (% of population) in 2016 | 100% |
| Access to electricity (% of population) in 2015 | 99.6% |
| Average access to electricity (% of population) from 1990 to 2016 | 90.282% |
| Electricity generated in 2016 | 181,519,000 MWh |
| Electricity exported in 2016 | 1,385,000 MWh |
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What You'll Learn
Thailand's electricity access
Thailand's energy policy is characterised by four main objectives: increasing energy consumption efficiency, boosting domestic energy production, increasing the private sector's role in the energy industry, and enhancing the role of market mechanisms in determining energy prices. These policies have been consistent since the 1990s, despite changes in government.
Thailand's energy mix is diverse, including fossil fuels, nuclear energy, and renewables. As of 2016, the country generated 181,519,000 MWh of electricity, covering 97% of its annual consumption. This includes electricity generated from geothermal, wind, solar, biomass, waste, and imported sources. Thailand's electricity generating capacity is primarily conventional thermal, with fossil fuels such as coal, oil, and gas playing a significant role in energy production. However, the country is transitioning towards low-carbon sources, including hydropower, solar, and wind.
Access to electricity in Thailand has improved significantly over the years. Data from 2016 indicates that 100% of the population had access to electricity, up from 99.6% in 2015 and 75.899% in 1990. This access to electricity is measured by the percentage of the population with the ability to utilise electricity in their daily lives, powering essential appliances and technologies.
To meet the growing demand for electricity, Thailand has planned to build additional gas-powered and "clean coal" power stations, as outlined in its Power Development Plan for 2015-2036. The country also intends to incorporate renewable energy sources, such as hydro, with a target of up to 5% of nuclear power generation by 2036. Thailand's commitment to environmental sustainability is evident, with efforts to phase out fossil fuel subsidies and implement policies to reduce its carbon footprint.
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Energy consumption
Thailand's energy consumption has remained stable since 2019, at around 105 Mtoe, after a 3.8% decrease in 2020. Between 2010 and 2019, it grew by 2.3% per year. The country's energy mix is a combination of coal, oil, gas, nuclear energy, and renewable sources. The production of liquid hydrocarbons (crude oil and NGL) has been decreasing since 2016, reaching 11.9 Mt in 2023, a 6.9% decrease per year.
Thailand's energy policy aims to reduce dependence on natural gas to enhance energy security and accommodate the shift towards alternative sources, such as solar, wind, and hydropower. The 20-year Alternative Energy Development Plan (AEDP 2018-2037), reviewed in 2020, targets a 30% share of renewables in final energy consumption by 2037. This includes 15.5 GW of solar, 4.7 GW of biomass, 3.1 GW of hydropower, 3 GW of wind, and 1.8 GW of solid waste and biogas.
The country's total electricity generation is influenced by population size and average incomes. While no specific data was found on the percentage of the population with access to electricity, it is safe to assume that a significant majority of Thailand's population has access to electricity, given the country's focus on transitioning to renewable energy sources and the importance of electricity in daily life.
Thailand's energy consumption per capita reflects the sum of all energy uses, including electricity, transport, and heating. The transition to clean fuels and technologies for cooking and overall energy consumption offers significant health and environmental benefits, reducing indoor air pollution and associated health risks.
Overall, Thailand's energy consumption trends indicate a move towards reducing fossil fuel dependence and increasing the share of renewable energy sources in line with global efforts to mitigate climate change and improve human health.
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Energy sources
Thailand's energy policy has four main goals:
- Increasing energy consumption efficiency
- Increasing domestic energy production
- Increasing the private sector's role in the energy sector
- Increasing the role of market mechanisms in setting energy prices
Thailand's energy resources are modest and being depleted. The country imports most of its oil, as well as significant quantities of natural gas and coal. Thailand's consumption of renewable energy has been increasing, with renewable energy consumption in 2018 reaching 4 Mtoe, with a compound annual growth rate of 0.7% during the period 2008–2017. The leading contributor of renewable energy was biomass, followed by solar and wind.
The Thai government has been promoting the production of biodiesel from palm oil to reduce petroleum imports, with a production goal of 5.97 million liters per day in 2021. In March 2016, the government also approved the installation of solar panels in homes and commercial buildings, with each house permitted to generate 10 kW and each factory 40 kW. As of 2021, Thailand is considered one of the most successful ASEAN countries in promoting and deploying solar energy.
Thailand has no nuclear power plants, although it has been exploring nuclear power generation technology with other countries. The country plans for up to five percent of its power generation to be generated from nuclear power by 2036. Thailand's energy consumption has grown at an average rate of 3.3% from 2007 to 2017, and the country aims to reduce its dependence on natural gas to enhance energy security.
Thailand's energy mix includes a combination of coal, oil, gas, nuclear energy, and renewables. Hydro accounted for approximately seven percent of Thailand's power output in 2015 and is expected to rise to 15-20% by 2036, with additional hydro imported from neighbouring countries. Thailand also aims to transition to electric cars, with plans for all new cars sold to be electric by 2035.
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Energy production
Thailand's energy policy is characterised by four main goals:
- Increasing energy consumption efficiency
- Increasing domestic energy production
- Increasing the private sector's role in the energy sector
- Increasing the role of market mechanisms in setting energy prices
Thailand's energy resources are modest and are being depleted. The country imports most of its oil and significant quantities of natural gas and coal. Its energy consumption grew at an average rate of 3.3% from 2007 to 2017.
Thailand first began producing oil in 1981, starting with 2,000 barrels (84,000 US gallons) per day. By 2013, daily production had increased to 459,000 barrels. However, indications are that Thai oil peaked in 2016 at 486,000 barrels per day. As of 2018, Thailand's oil reserves were estimated at 0.3 thousand million barrels, giving it a reserves-to-production ratio (R/P) of 1.8, meaning that its oil is virtually exhausted. Thailand produces roughly one-third of the oil it consumes and is the second-largest importer of oil in Southeast Asia.
Thailand is a producer of natural gas, with proven but limited reserves of at least 0.2 trillion cubic meters as of 2018. Natural gas fuels approximately 60-65% of Thailand's electrical power generation.
Thailand trails Indonesia and Vietnam in coal production, and the coal it produces is of mediocre quality. It must import coal to meet domestic demand, primarily for electricity generation. As of 2018, Thailand had proven reserves of 1,063 million tonnes of sub-bituminous coal and lignite. In 2018, it produced 3.8 Mtoe, down 8.5% from 2017.
Renewable energy in Thailand relies primarily on domestic production, including solar, wind, small and large hydropower projects, biomass, biogas, and waste-to-energy. The country also imports hydropower from Laos. Renewable energy capacity is around 23% of the total installed capacity, and the Thai government has renewed its focus on increasing this to meet the country's climate goals of carbon neutrality by 2050 and net-zero greenhouse gas emissions by 2065.
The Royal Thai Government is preparing the Thailand National Energy Plan (NEP), a strategy that envisions the future of Thailand’s energy system through the 2040s. The NEP 2023, which is awaiting approval by the new cabinet, is expected to increase renewable energy use to over 50% in support of carbon and net-zero greenhouse gas emissions goals.
Demand-side measures such as energy efficiency, fuel switching, and load shifting may become increasingly important in Thailand's energy sector. The country also plans to transform the full use of transportation to green electricity through the promotion of electric vehicles (EVs) and the 30:30 policy, a plan for Thailand to produce 30% of EVs in the country by 2030.
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Energy policy
Thailand's energy policy is focused on reducing dependence on natural gas and transitioning to renewable energy sources to enhance energy security and combat climate change. The country is currently working on pilot projects to develop an advanced grid system that can better manage the volatility associated with renewable energy sources. Thailand's energy policy is also aimed at reducing the use of solid fuels for cooking, such as charcoal, crop waste, and dung, which are major risk factors for indoor air pollution and ill health.
The Royal Thai Government is preparing the Thailand National Energy Plan (NEP), which provides a strategy for the country's energy system through the 2040s. The NEP aims to increase the share of renewable energy to over 50%, with a focus on hydropower, solar, wind, and biomass sources. It also promotes more efficient energy use, with goals to cut energy consumption by 30% in 2030 and 40% in 2050. The NEP combines five action plans: the Gas Plan, Power Development Plan (PDP), Alternative Energy Development Plan (AEDP), Oil Plan, and Energy Efficiency Plan (EEP).
The AEDP and EEP, which are included in the National Energy Plan 2024, focus on clean energy. Under the new Power Development Plan, the ministry aims to procure 77,407 megawatts (MW) of electricity to meet Thailand's forecasted peak demand in 2037. The plan also includes sourcing new electricity, backup electricity generation, and electricity from power plants contracted to the ministry. To reduce reliance on gas imports, the ministry plans to increase liquefied natural gas (LNG) procurement from the Gulf of Thailand and Myanmar.
Thailand is also promoting the use of electric vehicles (EVs) and has a 30:30 policy, aiming to produce 30% of EVs in the country by 2030. The country is exploring other energy and energy-related technologies, such as Carbon Capture, Utilization, and Storage (CCUS), hydrogen, Sustainable Aviation Fuels (SAFs), grid modernization, digitalization, power system operation and management, and Small Modular Reactors (SMR). These initiatives demonstrate Thailand's commitment to transitioning to cleaner and more sustainable energy sources while improving energy efficiency and reducing environmental impacts.
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Frequently asked questions
100% of Thailand's population has access to electricity as of 2016. This is an increase from 99.6% in 2015 and 75.899% in 1990.
Thailand generated 181,519,000 MWh of electricity as of 2016, covering 97% of its annual consumption needs.
Thailand's electricity comes from a mix of sources, including fossil fuels, nuclear power, and renewable energy. Ninety percent of Thai electrical generating capacity is conventional thermal. Thailand is also a producer of natural gas, with proved reserves of at least 0.2 trillion cubic meters as of 2018.
