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Office of the Energy Regulatory Commission. Energy Regulation issues in Thailand. November 15, 2009 NARUC 121 st Annual Convention. 1. Contents. Energy Regulatory Commission (ERC) Enhanced Single Buyer (ESB) Energy Supply Industry. Energy Regulatory Commission.

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Energy Regulation issues in Thailand

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Office of the Energy Regulatory Commission

Energy Regulation issues in Thailand

November 15, 2009

NARUC 121st Annual Convention

ERC

1


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Contents

  • Energy Regulatory Commission (ERC)

  • Enhanced Single Buyer (ESB)

  • Energy Supply Industry

ERC


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Energy Regulatory Commission

Appointed by His Majesty the King

(Feb 08)

  • Regulate energy industry operation

  • Issue licenses for energy industry operation

  • Establish measures to ensure security & reliability of power system

  • Establish criteria for energy tariffs determining

  • Issue/establish customer service standards & quality

  • Issue regulations/criteria for the contribution sending to the Fund & Fund utilisation

  • etc.

Energy Industry Act B.E. 2550 (2007)

Energy Regulatory Commission (ERC)

7 Commissioners

Deputy Secretary General(DSG)

Electricity and Natural Gas Industry Regulatory Division

Licensing Division

Deputy Secretary General

(DSG)

Internal Audit Division

Rights Protection Division

Legal Division

Regional Office Division

Secretary General(SG)

Deputy Secretary General

(DSG)

Power Development Fund Division

Corporate Strategy and Plan Division

Administrative Division

Information Technology Division

3


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Energy Regulatory Commission

1. Prof.Emeritus. Direk Lavansiri, Ph.D.

2. Mr. Nopadon Mantajit

3. Mr. Chalit Ruengvisesh Chalit Ruengvisesh

4. Mrs. Pallapa Ruangrong, Ph.D.

5. Mr. Chongchet Boonkerd

6. Mr. Thaksin Limsuvan

7. Mr. Supichai Tangjaitrong, Ph.D.

Prof.Emeritus. DirekLavansiri, Ph.D

Chairman

VISION

ERC Commissioners

To regulate the energy industry operation so as to ensure its security and reliability, with international standards and acceptance

KawinThangsupanish

Secretary General

ERC


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To regulate the energy industry operation so as to ensure its security and reliability, with international standards and acceptance

ERC Vision & Values

Values

T

Trust

Reliability &Consistency

R

U

Unity

S

Social Accountability

T

Transparency & Independence

5


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Regulatory Structure

Cabinet

Policy Frameworks

Electricity

Natural Gas

National Energy Policy Council (NEPC)

Ministry of Energy

Energy Regulatory Commission

(ERC)

Committee on Energy Policy Administration

(CEPA)

The Office of the Energy Regulatory Commission

(OERC)

Energy Policy and Planning Office (EPPO)

6


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Electricity Industry

Generation

(% market share)

IPPs

(42%)

Imports (3%)

VSPPs

(<< 1%)

EGAT

(45%)

SPPs

(10%)

Govt.(policy framework)

EGAT (100%)

SO

Transmission

ERC

(regulation)

Direct Customer

(2%)

Distribution

PEA

(66%)

MEA

(32%)

User

User

Remarks

EGAT= Electricity Generating Authority of Thailand

MEA= Metropolitan Electricity Authority

PEA= Provincial Electricity Authority

IPPs= Independent Power Producers (Cap. sold to EGAT  90 MW)

SPPs=Small Power Producers (Cap. sold to EGAT < 90 MW)

VSPPs=Very Small Power Producers (Cap. sold to MEA/PEA < 10 MW)

ERC


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Power Development Plan : NEPC

Share of Power Generation by Fuel Type

2008

2021

Renewable

1.4 %

Imported coal

15 %

Imported coal

8.2 %

Bunker oil

1.0 %

Natural Gas

70 %

Imported

power

10 %

Natural Gas

60 %

Natural Gas

60 %

Lignite

12.6 %

Lignite

6 %

Hydro

4.7 %

Nuclear

5 %

Laos PDR

1.6 %

Diesel

0.2 %

Renewable

2 %

Malaysia

0.3 %

Hydro

2 %


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Private power producers in Thailand

Producers

Existing

New

IPP

12,151.6 MW

(10)

4,400 MW

(4)

Private

6,677 MW

(7)

EGAT’s

5,474 MW

(3)

SPP

Firm

2,079 MW

(41)

~2,000 MW

(~ 27)

243 MW

(19)

(> 10)

Non Firm

VSPP

238 MW

(118)

> 2,000 MW

(> 300)

14,712 MW

(188)

> 8,400 MW

(> 341)

Remark: ( ) = numbers of firms


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MEA and PEA Service Areas

  • 63 Million people

  • 17 Million energy users

  • Cover 99% of service area

  • 76 Provinces of THAILAND :

  • Metropolitan Area (3 Provinces : Bangkok, Nonthaburi, Samutprakan) served by MEA)

  • Provincial Area (73 Provinces are served by PEA)

MEA’s service area

2.7 Million Customers

MEA’s service area

PEA’s service area

14.2 Million Customers

MEA’s service area

Northern area

The rest of countryis serviced by PEA

North Eastern area

Central area

Southern area


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SPP Power Purchase Regulation 2007

Firm

Non Firm

Cogeneration

Renewable

Cogeneration

Renewable

Firm 4,000 MW

Target

Purchased Cap.

>10 - 90 MW

>10 - 90 MW

>10 - 90 MW

>10 - 90 MW

5 Year(renew contract)

Contract Period

20

-

25

Year

20

-

25

Year

Fuel

gas , coal

Renewable

any

Renewable

Condition

Steam

>

=

5

%

<

=

25

%

=

25

%

Conventional fuel

<

SPP Power Purchase Regulation

No limit

No limit

No limit

Conventional fuel

Source: EGAT


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Power Development Fund

Source of Fund

Fund

Electricity Business Licenses

(1)

Compensation and Subsidization for Licensees who provide universal service

G

T

SO

D

R

From tariffs

System Operation License

From Fines

(2)

Compensate through Ft

(3)

Develop and rehabilitate a community near Power Plant

Electricity Generation License

(4)

Promote Renewable

From Levies

Gas

0.01 ฿/kWh

Fuel Oil

Diesel

0.015 ฿/kWh

Coal/Lignite

0.015 ฿/kWh

Renew

0 – 0.02 ฿/kWh

(5)

Promote people participation

(6)

Fund management


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Thank you for your kind attention.

www.erc.or.th


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