Public hearing on Utility Green Tariff plan to be held this month
The public hearing on the Energy Ministry’s Utility Green Tariff (UTG) project is expected to take place this month and the tariff should be implemented in February, Deputy Prime Minister and Energy Minister Pirapan Salirathavibhaga said on Monday.
The ministry estimates that the power price under the project, which aims to promote the use of clean energy in the industrial sector, would be agreed at 4.55 baht per unit, based on the suggestion of the Energy Regulatory Commission, which has previously announced project regulations and criteria for participants.
The UTG project aims to increase the ratio of clean energy used in the industrial sector, with the government buying electricity generated from renewable energy under its Power Development Plan and selling it to industrial users under regulated prices.
The project also allows buyers to choose green power from either specified or unspecified sources to complement their target of achieving carbon neutrality, with all power producers being certified by the ministry under international standards, Pirapan added.
“Once the UTG is launched, Thailand will be the first country in ASEAN to provide comprehensive services in green power for industrial use, ranging from producing, procurement and certification,” he said.
The project will also help attract foreign companies aiming to establish their manufacturing facilities in Thailand, as well as increase the competitiveness of Thai business operators who have been affected by the Carbon Border Adjustment Mechanism (CBAM) implemented by the European Union since May.
Data from the Industrial Estate Authority of Thailand indicate that the demand for green energy from unspecified sources among operators in industrial estates in Thailand is around 10,000 megawatts.
