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11
Energy Efficiency and Conservation Energy Efficiency and Conservation
in Thailandin Thailand
Department of Alternative Energy Department of Alternative Energy
Development and Efficiency (DEDE)Development and Efficiency (DEDE)
Ministry of EnergyMinistry of Energy 6th January 2005
22
Presentation OutlinesPresentation Outlines
• Thailand Energy Policy and Strategies
• Energy Situation in Thailand
• Energy Conservation Promotion Act
• Energy Conservation Scheme
• Renewable Energy Strategic Plan
33
Thailand Energy Policy and VisionThailand Energy Policy and Vision
To conserve, develop and promote the efficient consumptionof energy, while balancing the development with indigenousNatural resources and the environment, with ultimate goal toReduce the degree of reliance on energy imports
HE. Dr. Thaksin Shinawatra, Feb 26, 2001
National Policy
Strategic objectives
Enhancecompetitivenessof the real sector
Supply the kingdomwith clean and
continuous energy
Energy forbetter
living for all
Thailand asSE ASIA
Energy Hub
1 2 3 4
44
Thailand Energy Strategies Thailand Energy Strategies for Economic Development and Regional Integrationfor 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
55
0
10,000
20,000
30,000
40,000
50,000
60,000
1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003
ktoe
Transportation 37%
Industry 36%
Residential & Commercial 21%
Agriculture 6%
Industry=Manufacturing+Mining+Construction
Final EnergyConsumptionby Economic Sectors 5Total Consumption of 6,28 2229 200 3
Source: Thailand Energy Situation Report 2003 , DEDE
Energy Situation in ThailandEnergy Situation in Thailand
66
Energy Consumption Energy Consumption in Transportationin Transportation
Air Transport
16%
Land Transport
79%Water Transport
5%
Total Consumption of 20,927 ktoe in year2003
Source: Thailand Energy Situation Report 2003 , DEDE
77
Energy Consumption Energy Consumption in Industryin Industry
Metal5.3%
other6.5%
Chemical12.8%
Non-Metallic 28.3%
Metal Fabrication
6.6%
Textile5.7%
Paper3.5%
Food & Beverage
30.5%
Wood & Furniture
0.8%
Total Consumption of 19,988 ktoe in year2003
Source: Thailand Energy Situation Report 2003 , DEDE
88
Energy Consumption in ResidentialEnergy Consumption in Residential
Rural Area 79%
Bangkok Metropolitan
13%
Municipal Area 8%
Total consumption of 8,173 ktoe in year 2003
Source: Thailand Energy Situation Report 2003 , DEDE
99
Energy IntensityEnergy Intensity
6http:/ / www.eia.doe.gov/ pub/ international/ iealf/ tablee1g.xls
Energy Intensity [Total Primary Energy Consumption Per Dollar of Gross Domestic Product]
02,0004,0006,0008,00010,00012,00014,00016,00018,000
1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002Btu pe
r 1995
US D
ollars
Using
Mark
et Ex
chang
es Ra
tes
World Primary Energy Consumption Per Dollar of Gross Domestic Product, 1991-2002
Thailand
USA
UKGermanyJapan
(Compare with Developed Countries)
1010
Energy IntensityEnergy Intensity
6http:/ / www.eia.doe.gov/ pub/ international/ iealf/ tablee1g.xls
Energy Intensity [Total Primary Energy Consumption Per Dollar of Gross Domestic Product]
0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002Btu pe
r 199
5 US
Dollar
s Usin
g Mark
et Ex
chan
ges R
ates
Malaysia
China
India
Thailand
Vietnam
World Primary Energy Consumption Per Dollar of Gross Domestic Product, 1991-2002
(Compare with Developing Countries)
1111
Customer Service
Customer Service
Workshop &
Training
Workshop &
Training
Low InterestSource of Fund
Low InterestSource of Fund
ListOf
Experts
ListOf
ExpertsDirectory
of Technolo
gy Provider
s
Directory of
Technology
Providers
Promotion of
ESCOs
Promotion of
ESCOs
Promotion
Campaign
Promotion
Campaign
Demonstration Project
Demonstration Project
Access to Funds
Technical Assistance
Raise up Confidence Perfect Information
Regulations
Grant for small investm
ent
Grant for small investm
ent
Free Energy Audit and
consulting
Free Energy Audit and
consulting
Tax Incentive
s
Tax Incentive
s
Incentives & SubsidiesEnergy Codes
Energy Codes
Create Conducive Environment for EE Create Conducive Environment for EE InvestmentInvestment
1212
EC Implementation SchemeEC Implementation Schemess
ECEC
Standard &
Regulations
Financial
Incentives
Technical
Assistance
Awareness
Raising
Information
Service
1313
Designated FacilitiesDesignated Facilities
Appoint Person Responsible for Energy
Submit Energy Consumption Data
TARGET&PLAN
Investment in EC Projects
Designated FacilitiesBuildings/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 andEvaluation
-Tax Incentive , Soft Loan, ESCOs
1414
ObjectivesObjectives
Set up Energy Set up Energy Conservation Promotion Conservation Promotion FundFund
Target & Plan for Energy Target & Plan for Energy ConservationConservation
Energy Performance Energy Performance StandardsStandards
R & DR & D
HRDHRD
Promotional CampaignPromotional Campaign
Energy Conservation Energy Conservation Promotion Act 1992Promotion Act 1992
ENCON FundENCON Fund
Sources of fundSources of fund– Initial from Oil FundInitial from Oil Fund
(~ 40 million USD)(~ 40 million USD)– Tax from gasoline, Tax from gasoline,
diesel, etc. diesel, etc. (~ 0.1 (~ 0.1 cents/lt )cents/lt )
– Interests Interests Applications Applications
– Grants for R&D, Pilot Grants for R&D, Pilot projects, Training, projects, Training, Higher EducationHigher Education
– Soft Loan for Soft Loan for Investment Investment
i.e. Revolving Fundi.e. Revolving Fund
1515
OngoingOngoing Programs Programs
Standard & Regulations– Designated Facilities
Financial Incentives– Low Interest Loan– Grant for small
Investment– Import Duty Reduction
Technical Assiatance– Workshop & Training – Energy Audit and Cons
ulting– Techno. Demonstration
Awareness Raising– Public Relations
Information Service– Directory of Technology Prov
iders– Database of Energy Experts– Guidelines– One Stop Service Unit
1717
Cooperative Efforts on Energy Cooperative Efforts on Energy ManagementManagement
Objective: Sustainable energy management through internal cooperative efforts
Methodologieso Educate on concept & method + evaluationo Help create and implement EC measures
AchievementImplemented factory 95 plantsIntroduced house-keeping measuresEnergy saving of 5-10% for each facility
( simple payback of 2.5 yrs)
1818
Revolving Fund for EC ProjectsRevolving 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
1919
Technical Assistance via Free Technical Assistance via Free Energy AuditEnergy Audit for SMEsfor 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
2020
FutureFuture EC EC ProgramsPrograms
• Standard & Regulations– Designated Facilities– Energy Management StandardEnergy Management Standard
• Financial Incentives– Low Interest Loan– Import Duty Reduction– Tax IncentivesTax Incentives
• Technical Assiatance– Workshop & Training – Free Energy Audit and Con
sulting– Technology Demonstration– Promotion of ESCOsPromotion of ESCOs
• Awareness Raising– Public Relations– Competition for Best Competition for Best
Practices in ECPractices in EC
• Information Service– Directory of Technology
Providers– Experts data base– One Stop Service Unit– Energy Display CenterEnergy Display Center