The Joint Standing Committee on Commerce, Industry, and Banking has requested a reduction in electricity rates to Bt4.25 per unit, but according to Komkrit Tantravanich, secretary-general of the Energy Regulatory Commission (OERC), the office must wait for the new administration to make a decision.
He stated that the OERC does not have enough cash to absorb the electricity rate reduction, stating that a 500-600 million baht budget will be required if the rate is dropped by one satang, and up to Bt15 billion would be required if the rate is cut by 20 satang. As a result, the question should be decided by the next government.
However, he also stated that the power tariff is determined by the price of liquefied natural gas (LNG), the amount of gas accessible in the Gulf of Thailand, and the liquidity of the energy Generating Authority of Thailand (EGAT), the country’s main energy generator.
According to Komkrit, EGAT has informed the office that due to the drought, electricity generation by hydroelectric dams in Laos may decrease next year, forcing EGAT to turn to LNG and coal to fill the gap.
