Bangkok: Dr. Warong Dechgitvigrom, a party-list MP from the Thai Bhakdi Party, has openly criticized the Minister of Energy for not effectively addressing the ongoing electricity price crisis in the country. He argued that the recently approved tiered pricing system is unnecessary and instead proposed open bidding, emphasizing price as the primary factor. This, he believes, would enable 24-hour clean electricity production capacity and ultimately lower electricity prices, urging the government to resist the influence of large corporations.
According to Thai News Agency, Dr. Warong issued a statement addressing the government's decision regarding electricity price adjustments and the related oil price issue. The Cabinet's approval of a tiered electricity pricing system, effective after April 28th, sets charges at different rates: below 200 units at no more than 3 baht, 200-400 units at 3.95 baht, and over 400 units at 5 baht or more. Dr. Warong noted that only the first tier, for consumption below 200 units, has been approved. While the government aims to subsidize small-scale consumers, Dr. Warong believes this approach fails to adequately resolve the broader electricity price problem. He questioned the sincerity of the Minister of Energy and relevant parties in addressing this issue.
Dr. Warong proposed solutions to tackle both price issues and the goal of achieving clean electricity in Thailand. He acknowledged the dominance of large corporations in the electricity sector, highlighting that electricity produced from fossil fuels, such as LNG, costs an average of 4.75 baht per unit. This price is considered high, especially as the global trend shifts towards cleaner and potentially cheaper energy sources. Dr. Warong pointed out past mistakes in clean electricity auctions, where bids tended to be semi-rigged with predetermined purchase prices, benefiting only a few groups. He emphasized the need for competitive bidding with a focus on clean energy power generation available 24 hours a day.
Dr. Warong added that the bulk of electricity consumption, about 70 percent, is by industry and businesses, while households account for 30 percent. He stressed that while large corporations support smaller ones, businesses are unlikely to absorb losses indefinitely. Rising electricity costs are likely to be transferred to goods and services, compounded by recent oil price increases.
Regarding the oil price issue, Dr. Warong is closely monitoring four key points. These include the investigation into the increase in oil production and the removal of over 700 million liters from reserves, potential corruption in the Oil Fund meant to prevent excessively high oil prices, stockpiling of oil by large traders, and missing oil during transit from the refinery. He expressed his concern over corruption in the country's energy infrastructure, urging the Minister of Energy to investigate these matters and provide clarity for the public, given the significant financial implications involved.