Energy Efficiency Promotion Measures in Thailand
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1 Energy Efficiency Promotion Measures in Thailand Prasert Sinsukprasert Ministry of Energy, Thailand 5 th International Energy Forum For Sustainable Development 4-7 November 2014 Tunisia 1
2 Final Energy Consumtion (ktoe) EEDP Plan and Target Thailand 20-Year Energy Efficiency Development Plan ( ) ktoe 162,715 EI (2010) 15.6 ktoe/billion baht (BAU) 25% reduction EE Plan EI (2030) 11.7 ktoe/billion baht 38, ,515
3 Highlights of EEDP Plan Being a long term plan to promote EE in Thailand (20 years from ) Master Plan was approved by National Energy Policy Committee in April 2011 Target to reduce Energy Intensity by 25% in 2030 (based on 2010) Action Plan has been approved by the Cabinet in March 2013 for full implementation Result from EEDP will contribute to; 38,200 ktoe energy reduction from BAU in 2030 Saving energy expense up to 707 billion Baht Reduce CO 2 emission around 130 million ton 3
4 Current Main EE Programs Standards & Regulations EE Designated Facilities MEPS & HEPS & Labeling Building Energy Code Financial Incentives Revolving Fund Direct subsidy (20-30%) Tax incentive ESCO scheme Awareness Raising Thailand Energy Award Campaign & Media Technical Support Training & Seminar Tech. Demonstration Guideline & Handbook EE Networking Voluntary Agreement R&D with Universities Partnership with Professional Associations 4
5 Energy Conservation Act Energy Conservation Act Energy Management in designated buildings and factories Appointing Person Responsible for Energy (PRE) Energy Management Auditors Apply to large buildings and factories w 1 MW peak demand Energy Efficiency Standard Of Equipments and Machinery - air conditioners - refrigerators - motors - boilers - lighting - insulation materials - stoves etc. Building Code for New Constructed Big Buildings 2000 sq.meter - Hotel - Shopping malls - Offices - Hospitals
6 ENCON Fund Energy Conservation Promotion Fund since
7 ENCON Fund Small levy from the consumption of gasoline, diesel, fuel oil and kerosene average income : 240 Million US$/year average spending : 150 Million US$/year 2014: amount approximately 1,000 Million US$ 7 7
8 ENCON Fund Research and Development Policy studies Feasibility Studies & Pilot Projects Leverage EE Investment grants & soft loan Promotion campaign Capacity Building 8 8
9 EE Revolving Fund Energy Efficiency Revolving Fund since
10 Barriers and Concept Barriers Limited access to funds Not a priority Banks were not interested Stimulate Investment and Stimulate Interest among Banking Community Commercial Lending Simplified Procedures Concept and Approach
11 Objectives Stimulate commercial investment for EE Improvement Familiarize commercial banks with EE lending market and opportunities Bank Bank Bank RF Bank
12 Terms and Conditions 1 USD = 32 Bath Loan Period Eligible Borrowers Eligible Projects Loan Size from RF Interests charge to customers 7 years maximum Facilities Owners, ESCOs and Project Developers EE improvement or RE development Up to 1.5 million USD / project ( 50 million Baht / project) Not more than 4%
13 11 Participating Banks 1. Bangkok Bank (BBL) 2. Bank of Ayudhya (BAY) 3. CIMB Thai (CIMB) 4. Thai Military Bank (TMB) 5. Siam City Bank (SCIB) 6. Siam Commercial Bank (SCB) 7. Thai Farmers Bank (TFB) 8. Exim Bank (Exim) 9. Krung Thai Bank (KTB) 10. SME Bank (SME) 11. UOB 6 Banks participating in the 1 st Phrase 11 Banks participating in 2 nd 3 rd Phrase 9 Bank participating in 4 th 5 th Phrase
14 Project Financing by Revolving Fund Type of Enterprise Projects RE, 40% Factory 247 Building 43 ESCO 5 Total 295 EE, 60% Investment From Energy Conservation Promotion Fund 7,232 Million Baht / y From Finance Institutions 8,727 Million Baht / y Total Investment 15,959 Million Baht / y most Factory proposal Factory Type 1. Food & Beverage 2.Textiles 3. Chemical most Buildings proposal Building Type 1.Hospital 2.Hotel 3.Office
15 Types of RE Measures Implemented 8% Renewable Energy Investment 0% 7% 12% 48% 25% Co-Gen Power Produce Plant Fuel Changs Biogas Biomass solarcell Gasification
16 Types of EE Measures Implemented 9% Energy Efficiency Investment 1% 1% 0% 0% Machine Changes 19% Manufacturing Improvement Air-Conditioning System Boilers 70% Energy Management Electrical Lighting
17 Samples of Projects Nun-Yang Textile Factory Change of High Efficient Dyeing Machine Investment 47 mill baht Saving 11 mill baht/y Payback 4.3 year Bua-Sommai Rice Polishing 6 MW Biomass Power Plant Investment 150 mill baht Saving 37.5 mill baht/y Payback 4 year
18 Samples of Projects Viphavadee Hospital Demand Control, Building Automation System Investment 18 mill baht Saving 3 mill baht/y Payback 6 years
19 Samples of Projects Asian Chemical High EE Boiler Investment 2.2 mill baht Saving 0.4 mill baht/y Payback 6 years Asian Supreme Food gas turbine cogeneration 2.7 MW Investment 200 mill baht Saving 50 mill baht/y Payback 4 years
20 Recommendations to UN regional commission Establish Energy Committee Monitor energy efficiency progress in the regions Exchange and share EE experiences Successful Cases Handbook / Guidelines Capacity building training programs Encourage banking sectors / development banks
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