The Energy Regulatory Commission announces a new round of electricity prices. (January-April 2024) after the NEPC-Cabinet adjusted the price structure of gas for natural gas separation plants. and increasing measures to reduce electricity costs by the Ministry of Energy, resulting in the new FT in that round being reduced from 89.55 satang/unit to 39.72 satang/unit, making the electricity cost no more than 4.20 baht/unit, according to the resolution.
Mr. Khomkrit Tantrawanit Secretary-General of the Energy Regulatory Commission Office (ERC Office), as spokesperson of the Energy Regulatory Commission (ERC), revealed that the Energy Regulatory Commission at its meeting No. 2/2024 (887th time) on January 10, 2024 It was resolved to approve the retail FT charge for the period January-April 2024 in the amount of 39.72 satang per unit. According to the formula for calculating FT, the calculation has been adjusted according to the electricity cost reduction measures of the Ministry of Energy. that the National Ene
rgy Policy Committee (NEPC) approved in meeting No. 3/2023 (166th time) on December 13, 2023 and as acknowledged by the Cabinet (Cabinet) in the Cabinet meeting . On December 19, 2023, with details of calculation improvements as follows:
1) On November 29, 2023, the Energy Regulatory Commission at its meeting No. 53/2023 (No. 881) resolved to approve the retail FT charge for the period Jan.-Apr. 2024 equal to 89.55 satang per. unit As a result, the average electricity bill for all types of electricity consumers is 4.68 baht per unit (the old Pool Gas pricing structure according to the current criteria).
2) Adjust according to the measures that allow the Electricity Generating Authority of Thailand (EGAT) to accept the accumulated outstanding balance for the period January-April 2024 in the amount of 15,963 million baht on behalf of the people for the time being. As a result, the FT value can be reduced by 25.37 satang per unit. and causing the electricity cost to drop to 4.43 baht per unit.
3) Improved the
Spot LNG price estimate from the original estimate of 16.9 USD per million BTU to 14.3 USD per million BTU, causing the price of Pool Gas to decrease from the original 387 baht per million BTU to 365 baht per million. BTU As a result, the FT cost can be reduced by 9.98 satang per unit. and causing the electricity cost to drop to 4.34 baht per unit.
4) Adjust according to the measure to adjust the price of natural gas entering and leaving the natural gas separation plant to the Pool Gas price, which is the price including natural gas from other sources, excluding natural gas used in the production of liquefied petroleum gas (LPG) for use. as fuel Using the cost of natural gas price equal to the price of Gulf Gas, causing the price of Pool Gas to decrease from 365 baht per million BTU to 343 baht per million BTU. As a result, the FT value can be reduced by 10.01 satang per unit. and causing the electricity cost to drop to 4.23 baht per unit.
5) Collect shortfall in the event that gas producers in the Gulf of
Thailand are unable to deliver gas according to the conditions in the natural gas sales contract during 2020-2022 from PTT Public Company Limited (PTT) and PTT passed on shortfall money in the amount of 4,300 million baht, to be used to reduce gas prices in the FT round for the period Jan.-Apr. 2024, causing the price of Pool Gas to drop from 343 baht per million BTU to 333 baht per million BTU As a result, the FT value can be reduced by 4.47 satang per unit. and causing the electricity cost to drop to 4.18 baht per unit.
In addition, the Cabinet also approved assistance with electricity bills for residential electricity consumers who use no more than 300 units of electricity per month. As proposed by the Ministry of Energy by the Electricity Generating Authority of Thailand (EGAT), the Provincial Electricity Authority (PEA), the Metropolitan Electricity Authority (MEA), and the Navy Concession Electricity Welfare Business. Fixing the electricity tariff for the months of January-April 2024 for those groups o
f electricity consumers at the rate of 3.99 baht per unit using the budget for fiscal year 2024, the central budget, reserve items for emergencies. or necessary from the Cabinet, total amount 1,950 million baht
In this regard, the Office of the Energy Regulatory Commission summarized the assumptions for FT estimation for the January-April 2024 period, which was revised according to the resolution of the Energy Regulatory Commission and the Cabinet leading to the ERC’s consideration on the 10th. January 2024 according to the following table.
‘Although the cost of electricity in the first round of 2024 will be reduced according to the guidelines for calculating the new FT cost according to the resolution of the NEPC and the Cabinet, the cost of electricity in subsequent periods will decrease. It will depend on the price and quantity of natural gas used as the main fuel. Therefore, the Energy Regulatory Commission still has to closely monitor the ability to deliver natural gas from the Gulf of Thailand and nat
ural gas from fields in Myanmar. In order to provide additional LNG in line with the demand for natural gas in the country with efficiency, stability and in line with the world market situation, the price of electricity must take into account the outstanding FT burden that must be returned to EGAT and PTT in the next appropriate period. Therefore, we want electricity users to use electricity efficiently. To reduce LNG imports and reduce energy price fluctuations,’ Mr. Khomkrit said.-511-Thai News Agency
Source: Thai News Agency