Bangkok: The Energy Policy and Planning Office (EPPO) has announced that purchasing 5,200 MW of renewable energy will not result in increased electricity costs. Mr. Wattanapong Kurovat, Director of EPPO, stated that this initiative, dubbed the RE Big Lot, will instead help reduce electricity costs and support a clean energy future.

According to Thai News Agency, Mr. Wattanapong addressed concerns regarding the RE Big Lot, clarifying that the purchase of 5,200 megawatts of renewable energy will not burden the national budget or increase electricity prices. He stated that the resolution of the National Energy Policy Committee (NEPC) led to the purchase, and all procedures have been finalized, with most power purchase agreements (PPAs) already signed and some projects operational. Canceling any remaining projects would create conflicts and establish a double standard.

The average cost of purchasing electricity from the RE Big Lot is approximately 2.7 baht per unit, which is lower than the wholesale electricity cost of 3.18 baht per unit sold by the Electricity Generating Authority of Thailand (EGAT) to distributors. As a result, the initiative is expected to reduce the average wholesale electricity price by about 4,574 million baht annually. This cost-effective approach will bolster the country’s long-term electricity price stability and encourage investment in renewable energy.

Furthermore, the RE Big Lot aligns with Thailand’s environmental goals, contributing to a reduction in greenhouse gas emissions by 30-40% by 2030, achieving carbon neutrality by 2050, and net-zero carbon emissions by 2065. The increased renewable energy supply will enhance Thailand’s ability to meet the clean energy demands of businesses, particularly those involved in exports, thus avoiding international trade barriers and attracting foreign investment.