Peer-to-peer energy trading to boost renewables in Thailand
Thailand has for long been South East Asia`s pioneer in renewable energy market with programs such as the highly successful Very Small Power Producer Program. This regional leadership is set to continue as Thailand is launching a new pilot program for energy trading. Great news for biogas industry in Thailand!
Under the new program, Thai renewable energy projects can sell electricity via the grid to third parties. This is referred to as wheeling, or peer-to-peer electricity sales. Participating projects will pay a wheeling charge to PEA, the grid operator, for transferring the green electricity through the grid to the clients. The first pilot phase for wheeling is 50 MW. Approved projects include three types of renewable energy projects: solar, biomass, and biogas. We are honored to be the sole biogas company taking part in the program.
What will Clients of renewable electricity gain?
Re Power will be selling renewable electricity by wheeling to a steel factory, ice factory, and other industrial clients within 50 km from our project in Nakhon Ratchasima, Thailand. By switching to renewable energy, the clients will also benefit lower electricity cost. In addition, they take a significant step towards the target of 100% renewable electricity.
Why is wheeling so important?
Wheeling is important because many biogas projects have surplus biogas, with no offtake available. As a consequence the energy is wasted. Such surplus energy can be converted to additional revenue from sales of green electricity through wheeling. This revenue can significantly boost the feasibility of biogas projects. In addition, the program ensures that domestic surplus biogas energy is not wasted (by flaring). Instead it can be used to replace fossil fuels based electricity. Waste becomes value. This program is a building block towards a more circular economy.
What is more, wheeling will boosts investment into renewable energy, create employment, and stimulate the Thai economy.
Check out latest developments at https://www.linkedin.com/company/re-power-group
In case your company is committed to 100 % renewable electricity, and you want to source green electricity, contact us. We can help you achieve the target in Thailand.