1. 1 Energy Efficiency and Conservation in Thailand Department of Alternative Energy Development and Efficiency (DEDE) Ministry of Energy 6 th January 2005

2. 2 Presentation Outlines Thailand Energy Policy and Strategies Energy Situation in Thailand Energy Conservation Promotion Act Energy Conservation Scheme Renewable Energy Strategic Plan

3. 3 Thailand Energy Policy and Vision To conserve, develop and promote the efficient consumption of energy, while balancing the development with indigenous Natural resources and the environment, with ultimate goal to Reduce the degree of reliance on energy imports HE. Dr. Thaksin Shinawatra, Feb 26, 2001 National Policy Strategic objectives Enhance competitiveness of the real sector Supply the kingdom with clean and continuous energy Energy for better living for all Thailand as SE ASIA Energy Hub 1 234

4. 4 Thailand Energy Strategies for Economic Development and Regional Integration Strategy for Efficient Use of Energy Reduce Energy Elasticity from 1.4:1 to 1:1 by 2007 Strategy for Energy Security Ensure sufficient and reliable energy supply for at least 30 yrs Strategy for Thailand as a Regional Energy Center Develop Strategic Energy Land Bridge and Energy Hub Strategy for Renewable Energy Development Increase share of RE from 0.5% to 8% of total final energy by 2011 Strategy for Development of Energy Information Technology Be an modern energy center in providing domestic and international energy information Strategy for Participation and Environment Concern Promote utilizing of clean fuels i.e. ethanol, biodiesel and nat. gas

5. 5 Total Consumption of 56,289 ktoe in year 2003 Source: Thailand Energy Situation Report 2003, DEDE Energy Situation in Thailand

6. 6 Energy Consumption in Transportation Total Consumption of 20,927 ktoe in year 2003 Source: Thailand Energy Situation Report 2003, DEDE

7. 7 Energy Consumption in Industry Total Consumption of 19,988 ktoe in year 2003 Source: Thailand Energy Situation Report 2003, DEDE

8. 8 Energy Consumption in Residential Total consumption of 8,173 ktoe in year 2003 Source: Thailand Energy Situation Report 2003, DEDE

9. 9 Energy Intensity Thail and USA UK Ger man y Jap an (Compare with Developed Countries)

10. 10 Energy Intensity (Compare with Developing Countries)

11. 11 Customer Service Workshop & Training Low Interest Source of Fund Low Interest Source of Fund List Of Experts List Of Experts Directory of Technology Providers Promotion of ESCOs Promotion Campaign Demonstration Project Access to Funds Technical Assistance Raise up Confidence Perfect Information Regulations Grant for small investmen t Free Energy Audit and consulting Tax Incentives Incentives & Subsidies Energy Codes Create Conducive Environment for EE Investment

12. 12 EC Implementation Schemes EC Standard & Regulations Financial Incentives Technical Assistance Awareness Raising Information Service

13. 13 Designated Facilities Designated Facilities Appoint Person Responsible for Energy Submit Energy Consumption Data TARGET&PLAN Investment in EC Projects Designated Facilities Buildings/Factories  Installed power meter of > 1000 kW  Total Transformer Capacity of 1175 kVA  Annual Energy Consumption > 20 mill MJ Designated : 1800 Buildings 2600 Factories Achievement : >70% Energy Audit ~40% Target&Plan ~10% Investment Goal : Saving 440 ktoe (2008) Monitoring and Evaluation -Tax Incentive, Soft Loan, ESCOs

14. 14 Objectives  Set up Energy Conservation Promotion Fund  Target & Plan for Energy Conservation  Energy Performance Standards  R & D  HRD  Promotional Campaign Energy Conservation Promotion Act 1992 ENCON Fund  Sources of fund –Initial from Oil Fund (~ 40 million USD) (~ 40 million USD) –Tax from gasoline, diesel, etc. (~ 0.1 cents/lt ) –Interests  Applications –Grants for R&D, Pilot projects, Training, Higher Education –Soft Loan for Investment i.e. Revolving Fund i.e. Revolving Fund

15. 15 Ongoing Programs Ongoing Programs  Standard & Regulations –Designated Facilities   Financial Incentives –Low Interest Loan –Grant for small Investment –Import Duty Reduction  Technical Assiatance –Workshop & Training –Energy Audit and Consulting –Techno. Demonstration  Awareness Raising –Public Relations  Information Service –Directory of Technology Providers –Database of Energy Experts –Guidelines –One Stop Service Unit

16. 16 Highlighted Programs

17. 17 Cooperative Efforts on Energy Management Cooperative Efforts on Energy Management  Objective: Sustainable energy management through internal cooperative efforts  Methodologies oEducate on concept & method + evaluation oHelp create and implement EC measures  Achievement Implemented factory 95 plants Introduced house-keeping measures Energy saving of 5-10% for each facility ( simple payback of 2.5 yrs)

18. 18 Revolving Fund for EC Projects Revolving Fund for EC Projects  Budgets allocation from ECP Fund  Loan approval by Bank  Technical assistance by DEDE  Key conditions Loan size < 1.2 mill USD/project Interest rate less than 4% (fixed rate) Repayment in the defined time frame (7yr) Present Status  43 approved and under construction projects with leverage 40 million USD of EC Investment  Average investment 1 mill USD / a project & average payback 2.26 yrs  Annual savings > 132 GWh and 37 mill. liter of fuel oil

19. 19 Technical Assistance via Free Energy Audit for SMEs Provide free energy Audit for SMEs Recommend EC measures for implementing More than 500 SMEs have been audited during 2002-2003 Expect energy saving of 6.5 mill USD/year

20. 20 Future EC Programs Standard & Regulations –Designated Facilities –Energy Management Standard Financial Incentives –Low Interest Loan –Import Duty Reduction –Tax Incentives Technical Assiatance –Workshop & Training –Free Energy Audit and Consulting –Technology Demonstration –Promotion of ESCOs Awareness Raising –Public Relations –Competition for Best Practices in EC Information Service –Directory of Technology Providers –Experts data base –One Stop Service Unit –Energy Display Center

21. 21 More Information Visit www.dede.go.th More Information Visit www.dede.go.th www.dede.go.th Thank you