Bangkok: The Energy Policy and Planning Office (EPPO) has projected a decrease in Thailand's overall energy consumption by 2025, coupled with a significant rise in jet fuel usage due to a boost in the tourism sector.
According to Thai News Agency, EPPO's report indicates that the country's primary commercial energy consumption is expected to reach 2,014 thousand barrels of oil equivalent per day, a 1.6 percent reduction attributed to lesser use of natural gas, coal, and lignite. Conversely, the consumption of oil and hydropower/imported electricity is anticipated to rise.
Mr. Wattanapong Kurovat, Director of EPPO, highlighted that despite the energy consumption decline, Thailand's economy is forecasted to expand by 2.4 percent in 2025. This economic growth is likely driven by increased private consumption and investment, alongside heightened government spending. However, industrial growth is expected to remain low, and milder weather conditions are likely to contribute to the decreased energy demand.
The detailed energy consumption breakdown reveals a modest 0.2 percent increase in oil usage, with a significant 10.6 percent rise in hydropower and imported electricity consumption. Conversely, natural gas consumption is projected to fall by 3.8 percent, coal by 3.5 percent, and lignite by 1.2 percent. Refined oil consumption is expected to rise slightly to 140.9 million liters per day, with aviation fuel consumption seeing a notable 7.5 percent increase, aligning with the surge in air travel.
The report also projects diesel consumption to decline by 2.8 percent, while gasoline and gasohol usage will see a 0.8 percent rise. Fuel oil consumption is set to increase by 6.2 percent, and LPG consumption by 1.1 percent. However, the overall consumption of liquefied petroleum gas, including propane and butane, is anticipated to decrease by 2.1 percent, with the petrochemical industry being the largest consumer.
Natural gas consumption is projected to decrease by 4.0 percent, with the majority used for electricity generation, followed by industrial use, petrochemical industries, and as vehicle fuel. Combined coal and lignite consumption is also expected to drop by 3.3 percent.
Electricity consumption within the three main electricity authorities is projected to decrease by 2.8 percent, with the industrial sector consuming the largest share. Looking ahead to 2026, EPPO plans to consider economic assumptions and geopolitical developments in the Middle East to assess their impacts on Thailand's economy, energy security, and prices, while formulating strategies to mitigate potential challenges.