Bangkok:'Trirat' has voiced concerns regarding Thailand's ambitious 1 million solar power projects for citizens, suggesting potential conflicts of interest and cost implications due to the Electricity Generating Authority of Thailand's (EGAT) dual role as installer and regulator.
According to Thai News Agency, Mr. Trirat Sirichantaropas, a senior advisor to the Energy Committee, expressed his views on Facebook about the "People's Solar" project, which proposes subsidies up to 50,000 baht per household. Despite the project's aim to promote clean energy and lower electricity costs, it has been met with skepticism from industry entrepreneurs, particularly small and medium enterprises (SMEs) in the solar sector, who fear the initiative may favor larger firms, hindering fair competition.
The project stipulates that installations must be handled by the Metropolitan Electricity Authority (MEA), the Provincial Electricity Authority (PEA), or MEA-approved operators, roles that include system inspection and grid connection approval. This arrangement has raised questions about the appropriateness of combining regulatory and operational duties, potentially leading to conflicts of interest.
Additionally, concerns have been raised about the MEA's capacity to meet the installation demands for millions of households, potentially resulting in subcontracting that could drive up costs and limit public benefits. The requirement for a bank guarantee throughout the project's duration poses further challenges for small businesses with limited financial resources, skewing advantages towards larger enterprises.
Critics urge the government to foster a competitive environment by allowing more qualified operators to participate, emphasizing that the equipment already adheres to Thai Industrial Standards (TIS). The overarching concern remains whether the project's current structure maximizes public benefit and supports fair market competition for businesses of all sizes.
Ultimately, the transition to clean energy should ensure fair pricing, diverse options, and competitive practices, avoiding increased costs from potentially restrictive structures.