People’s Party Calls for Cancellation of Clean Energy Electricity Purchases Amid Allegations of Corruption

Bangkok: People are urging the Prime Minister to cancel the purchase of clean energy electricity. The People’s Party has made an appeal to the Prime Minister to cancel the purchase of clean energy electricity rounds amounting to 5,200 and 3,600 megawatts. They have highlighted concerns over corruption, monopoly capital, and high electricity prices, and are prepared to utilize all legal channels to halt any unfair electricity purchases.

According to Thai News Agency, Mr. Woraphop Wiriyaroj and Mr. Supachai Chaiyasat, members of parliament from the Prachachon Party, held a press conference addressing the issue of renewable energy electricity purchases under the Feed-in Tariff scheme. They criticized the process for the 5,200-megawatt and 3,600-megawatt rounds, alleging irregularities such as high prices due to a lack of bidding, potential corruption in the selection process, and discretionary selection of private companies without prior announcement of technical criteria. They urged the public to monitor the situation and pressure the government to resolve the matter transparently and in the public’s interest.

Mr. Woraphop pointed out that the problem originated during General Prayut’s government in 2022, with over 5,200 megawatts initially purchased and an additional 3,600 megawatts planned, despite Thailand’s excess reserve capacity. He noted that seven out of thirteen large private power plants had not started operations. The nearly 9,000 megawatts of clean energy electricity purchased without auctioning led to higher prices per unit than necessary. Irregularities in the process, such as undisclosed selection criteria and exclusion of state enterprises, allowed a single entity to secure over 41% of the first round’s concession.

During the Pheu Thai government, Mr. Woraphop and his colleagues raised these concerns in parliament, urging an investigation into the irregular purchases. Despite their efforts, the government proceeded with signing contracts for over 4,000 megawatts in the initial phase. The additional 3,600-megawatt purchase had regulations favoring those not selected in the first round, indicating potential corruption. Although societal pressure delayed the second round, no significant progress has been made.

Suphachot highlighted that the public is burdened with higher-than-necessary electricity bills due to a flawed selection process, raising concerns about corruption and monopoly in the energy sector. Despite nearly two years of protests, the government allowed the first round’s contracts to be nearly fully signed. The delay in the additional 3,600-megawatt purchase did little to address the ongoing issues.

Mr. Supachai mentioned government clarifications, including the Ministry of Energy’s claim that canceling the 5,200-megawatt renewable energy purchase would be unfair to private sectors. However, the opposition argued that public interests should take precedence due to transparency and cost issues. Despite the Energy Regulatory Commission’s regulations allowing contract cancellation, the Ministry maintained the purchase was necessary to support carbon reduction goals. The People’s Party proposed alternatives like “Direct PPA” to alleviate public burden, but its implementation remains limited.

Mr. Supachote vowed to pursue all legal avenues to halt unfair electricity purchases and urged public vigilance over the government’s actions concerning both electricity purchase rounds. He called for the cancellation of these purchases and an increase in the Direct PPA quota to accommodate investor needs without burdening the public.