Bangkok: The Energy Policy and Planning Office (EPPO) has approved a major energy package aimed at reducing production costs and setting a home electricity rate of 3.94 baht per unit to alleviate the cost of living.
According to Thai News Agency, Ms. Sasikarn Wattanachan, Deputy Government Spokesperson, disclosed on the "Singing from the Heart of Thai Khu Fa" program that the National Energy Policy Council (NEPC) meeting, presided over by Acting Prime Minister Mr. Phumtham Wechayachai and attended by Deputy Prime Minister and Minister of Energy Mr. Pirapan Salirathavipak, approved significant energy measures impacting energy stability and cost of living in several areas.
The council approved the acquisition of additional electricity from renewable sources, such as wind and solar projects, with relevant authorities required to finalize price negotiations with the private sector within 45 days. The Commercial Operation Date (SCOD) was extended to 2030 to facilitate an increase in the share of clean energy in Thailand's power system.
The Energy Regulatory Commission (ERC) granted a six-year extension for the Nam Phong Power Plant, Units 1 and 2, from January 2026 to September 2031, which is anticipated to reduce net electricity production costs by over 28.358 billion baht. The EGAT also sanctioned management guidelines for Mae Moh Power Plant, delaying the decommissioning of Units 8 and 11 until the end of 2031 and renovating Units 12 and 13 for extended use until 2048. This strategy aims to reduce new investments, decrease spot LNG imports, and lower the Ft rate by an average of 3.67 satang per unit, saving approximately 9.566 billion baht annually.
Additionally, the council approved a cap on residential electricity rates under the standard tariff at 3.94 baht per unit from September to December 2025 to reduce household expenses. The EPPO and ERC were tasked with reassessing the electricity usage ceiling criteria to ensure equitable coverage of the discount.
The ERC reaffirmed that electricity sales prices to neighboring countries must not be lower than domestic prices to prevent negative impacts on Thai electricity costs. The EGAT also rescinded plans to separate the Electricity Generating Authority of Thailand, maintaining the Enhanced Single Buyer (ESB) structure that aligns with international standards. Furthermore, the ERC approved the continuation of the Demand Response (DR) project to manage electricity costs and reduce LNG imports, with DR compensation expenses included in the new Power Development Plan (PDP).
"The government confirms that this energy measure will help alleviate people's cost of living, reduce overall economic costs, and ensure sustainable national energy stability," stated Ms. Sasikarn.