led lamps mae hong son (unjp) adder or efore hightlight ... · energy consumption to skyrocket,...

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EforE Hightlight ESCO Fund Corner LED LAMPS How your choice can be cost -effective GEM Corner UN Joint Programme on Integrated Highland Livelihood Development in Mae Hong Son (UNJP) Adder or Feed-in Tariff ? No.36 :APRIL - JUNE, 2012 Energy for Environment Foundation NEWSLETTER www.efe.or.th Dear Readers : In this E for E Newslet- ter, the contents have been adjusted, by presenting more contents in Thai; however, interested readers can access and download the English version from our website (www.efe.or.th). With regard to the current energy situation in Thailand, there are various matters which we have to keep an eye on, for example, the peak demand of electricity has broken the records for seven times due to the extremely hot weather, causing energy consumption to skyrocket, while the Ft has been increased by 0.30 Baht/unit for the billing in June-August 2012 since the prices of fuel used for power generation have much increased. Looking at the world situations, there are many factors which are influential to the energy security in our country-the world oil price sensitivity; economic conditions in Europe; conflicts between the European Union (EU) and such a major oil exporting country like Iran; or even the halt in natural gas supply from Yetagun gas field in Myanmar, resulting in a loss of natural gas supply from the domestic system at a volume of 1,100 million cubic feet per day. Given these incidents, we can’t help worrying about Thailand’s energy future. Nowadays, many countries worldwide-whether it is Germany, the USA or Japan-are forging ahead with renewable energy promotion at full steam. This is no exception for Thailand. The Ministry of Energy has increased the target of renewable energy share in the total energy consumption from formerly 20% within 15 years to 25% within 10 years. Yet, we have to follow up on clariffication about the measures to boost renewable energy, which will be incentives for and help create condence of investors to take part in strengthening Thailand’s energy future. One renewable energy promotional measure which has been in the limelight recennt is the “Feed-in Tariff (FIT).” Many people may still have no idea what it is. Therefore, in the E for E Highlight section, detailed information about this promotional measure will be introduced, particularly on the FIT measure. E for E Editorial Team Energy for Environment Foundation (EforE) 99/305 Thetsaban Songkhro Road, Lat Yao, Chatuchak, Bangkok 10900 Thailand Telephone : +66 2953 9881-4 Fax : +66 2953 9885 Email : [email protected] Website : www.efe.or.th Editor's Talk Energy for Environment Foundation

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Page 1: LED LAMPS Mae Hong Son (UNJP) Adder or EforE Hightlight ... · energy consumption to skyrocket, while the Ft has ... of natural gas supply from the domestic system at a volume of

EforE Hightlight

ESCO Fund CornerLED LAMPS

How your choice can be cost -effective

GEM CornerUN Joint Programme on

Integrated Highland Livelihood Development in

Mae Hong Son (UNJP)

Adder or Feed-in Tariff ?

No.36 :APRIL - JUNE, 2012

Energy for Environment Foundation

NEWSLETTERww

w.e

fe.o

r.th

Dear Readers : In this E for E Newslet-ter, the contents have been adjusted, by presenting more contents in Thai; however, interested readers can access and download the English version from our website (www.efe.or.th).

With regard to the current energy situation in Thailand, there are various matters which we have to keep an eye on, for example, the peak demand of electricity has broken the records for seven times due to the extremely hot weather, causing energy consumption to skyrocket, while the Ft has been increased by 0.30 Baht/unit for the billing in June-August 2012 since the prices of fuel used for power generation have much increased. Looking at the world situations, there are many factors which are inffllfluential to the energy security in our country-the world oil price sensitivity; economic conditions in Europe; conffllflicts between the European

Union (EU) and such a major oil exporting country like Iran; or even the halt in natural gas supply from Yetagun gas fiffiield in Myanmar, resulting in a loss of natural gas supply from the domestic system at a volume of 1,100 million cubic feet per day. Given these incidents, we can’t help worrying about Thailand’s energy future. Nowadays, many countries worldwide-whether it is Germany, the USA or Japan-are forging ahead with renewable energy promotion at full steam. This is no exception for Thailand. The Ministry of Energy has increased the target of renewable energy share in the total energy consumption from formerly 20% within 15 years to 25% within 10 years. Yet, we have to follow up on clarififfififififfiication about the measures to boost renewable energy, which will be incentives for and help create confidence of investors to take part in strengthening Thailand’s energy future. One renewable energy promotional measure which has been in the limelight recennt is the “Feed-in Tariff (FIT).” Many people may still have no idea what it is. Therefore, in the E for E Highlight section, detailed information about this promotional measure will be introduced, particularly on the FIT measure.

E for E Editorial TeamEnergy for Environment Foundation (EforE)99/305 Thetsaban Songkhro Road, Lat Yao,Chatuchak, Bangkok 10900 ThailandTelephone : +66 2953 9881-4Fax : +66 2953 9885Email : [email protected] : www.efe.or.th

Editor's Talk

Energy for Environment Foundation

Page 2: LED LAMPS Mae Hong Son (UNJP) Adder or EforE Hightlight ... · energy consumption to skyrocket, while the Ft has ... of natural gas supply from the domestic system at a volume of

Win

d En

ergy

Ground mounted (3)

Rooftop mounted

Off-shore

On-shore• Plus a bonus at 0.50 € Cents/kWh if advanced technology is used to connect with the power transmission system.• FIT declined by 1% annually for projects starting 2010.

• > 100 kW: FIT decreased by 10% for projects starting 2010.FIT will further decline by 9% annually for projects starting as from 2011 onwards.(2)

• FIT decreased by 10% for projects starting 2010.FIT will further decline by 9% annually for projects starting as from 2011 onwards.(2)

• Plus a bonus at 2 € Cents/kWh if projects commence before 31 Dec 2015.• FIT will decline by 5% annually for projects starting as from 2015 onwards.

Regardless of size

Regardless of size

Regardless of size

1st – 5th year 13.00

20

6th -20th year

1st – 5th year

6th -20th year

3.50

9.20

5.02

Remarks

Amidst the situation where oil prices are skyrocketing, coupled with the exacerbating impact of global warming, renewable energy becomes an important solution which will lead to energy supply security of many countries worldwide. However, there are still certain disadvantages of renewable energy when compared with fossil fuels, particularly the higher production cost and uncertainty of energy sources that are subject to seasons and weather conditions. Conse-quently, supportive measures of the government in various aspects – fiffiinancial measures, rules and regulations, including technical support – are very crucial for the build-up of renewable energy. Each measure will be able to address certain speciffiific problems or barriers. Therefore, it is essential that the govern-ment applies those measures in combination so that renewable energy development would be uninterrupted and sustainable.

1) Fixed Tariff is the determination of a purchase rate for electricity generated from renewable energy sources at a certain constant level which is independent from the flflfl fflluctuation of market price for electricity throughout the support duration (as shown in Figure 1). There are many ways to set the fiffiixed tariff or ffiifixed rate. Some countries determine the rate based on renewable energy types, technologies used, locations, sizes or specififfiic characteristics of the projects; while others review and increase the rate based on the inflffllation rate or set a varying rate according to the time of electricity selling, or offer a high rate at the initial phase of the project life time and gradually reduce the rate over time in order to help alleviate the investment burden at the project commencement and thus quicken the payback period. Moreover, in certain countries, an extra rate or bonus will be provided subject to speciffiific conditions.

Example - Germany is one of the countries where the ffiifixed tariff model has been in use. The rates are determined based on renewable energy types, installation locations and sizes. For wind energy projects, FIT will be offerred in two phases, i.e. the fiffiirst ffiive years’ period and the remaining 15 years’ period. In addition, a bonus is offered for off-shore wind power projects that will commence operation as before 31 December 2015 and for on-shore wind power projects using advanced technologies to connect with the power transmission system. Furthermore, FITs are designed to decline for projects coming on stream in later years.

FIT: fiffiixed tariff model has several advantages, i.e. investors can predict certain revenue and hence reducing the invest-ment risk, which will induce greater investment, particularly in small-scale projects of which high risks can be avoided. Furthermore, the fiffiixed tariff model is like forward purchase of electricity; therefore, it will help reduce consumers’ ex-penditure when the market price for electricity increases to a level higher than the ffiifixed tariff level. On the other hand, if the ffiifixed tariff rate is set at a level too high, it will be-come a burden for consumers in the long term. Also, the determination of a constant purchase price will result in a price distortion for both retail and wholesale levels, particu-larly in a liberalized market. In addition, the fiffiixed tariff model will induce power producers to generate electricity all the time, which may not correspond with the market demand.

HighlightEforE

Adder or Feed-in Tariff ?

(1) FIT : Fixed Tariff

≤ 30 kW 20 43.01

30-100 kW 20 40.91

> 100 kW 20 39.58

> 1,000 kW 20 33.00

Remarks: (1) EEG = “Erneuerbare Energien Gesetz,” – German Renewable Energy Act (2) The reduction rate will be reduced by 1% in the following year if the total installed generation capacity in 2009, 2010 and 2011 is 1,000 MW, 1,100 MW and 1,200 MW respectively. The reduction rate will be increased by 1% in the following year if the total installed generation capacity in 2009, 2010 and 2011 is 1,500 MW, 1,700 MW and 1,900 MW respectively. (3) As from 1 July 2010: ground-mounted solar energy projects are divided into 3 categories according to the characteristics of installation areas, i.e.contaminated areas, farming areas, and others.

Solar En

ergy

• ≤ 100 kW: FIT decreased by 10% for projects starting 2010.FIT will further decline by 9% annually for projects starting as from 2011 onwards. (2)

31.94

The world’s most commonly used measure to promote renewable energy is the Feed-in Tariff (FIT) (REN21, 2011). This measure offers a guaranteed purchasing price for electricity generated from renewable energy sources for a speciffiified period of time so as to ensure cost-effectiveness, consisting of two major options, i.e. Fixed Tariff and Premium.

Techonology

used

Installed

Generation Capacity

Support Duration (Year)

FIT Rate @ 2009 EEG(1)(€Cents/kWh)

Remarks

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2) Premium is an additional rate on top of the market price for electricity. Therefore, the purchase price for electric-ity generated from renewable energy sources will flfflluctu-ate in line with the market price (as shown in Figure 2).

Like the fiffiixed tariff model, the premium tariffs will be differentiated by technology type, fuel used or generator size, but there are two different types, namely, a ffiifixed premium and a premium varying in line with the difference between the market price and the specified power purchase price.

As for Thailand, the government has applied the premi-um model of FIT, or generally called “Adder,” since 2007. The premium rates and support duration will be differenti-ated by renewable energy type. Power utilities will buy electricity from producers at a rate equal to the base tariff, plus the wholesale Ft and Adder. The Adder will be passed through to consumers in the form of the retail Ft. Therefore, there will be no case where the electricity tariff burden of the people will increase due to the duplication of revenue of producers, except for the case where the base tariff is reviewed by including the retail Ft therein.

The advantage of the premium tariff is that it better re-sponds to the market demand and supply. Howev-er, producers will have to take a risk of market price fl uctuation. In addition, many countries determine a premium tariff which results in a slightly higher overall electricity purchase price than that under the ffiifixed tariff model due to the mentioned risk, thus requiring a high-er budget for subsidization than the ffiifixed tariff model. In this regard, the application of the premium varying in line with the difference between the market price for electricity and the specified purchase price, together with the determination of an overall guaranteed minimum purchase rate, will help reduce the investors’ risk of market price flfflluctuation.

With regard to the premium varying in line with the difference between the market price for electricity and the specified electricity purchase price, some countries will introduce the mechanism of the minimum and maximum prices, according to which the premium will be paid so that power producers would receive a price no less than the minimum electricity purchase rate, but not exceeding the specified maximum, as applied in Spain (see in Figure 3). In some other coun-tries, a guaranteed minimum purchase rate will be intro-duced; therefore, if the spot market price drops to a level less than the guaranteed minimum, producers will receive the premium to compensate for the difference between the minimum level and the market price for electricity; however, if the spot market price is higher, producers can sell elec-tricity at the market price, as applied in the Netherlands and Switzerland (see Figure 4). The Netherlands has applied this principle to FIT provision with additional conditions regard-ing the premium reduction if the spot market price is lower than two thirds of the guaranteed minimum purchase rate.

The introduction of Adder measure has resulted in a considerable increase in renewable energy project development, i.e. from 100 projects at the end of 2006 with a total installed capacity of 4,160 MW and a total proposed sale capacity of 2,344 MW to 316 projects, with a total installed capacity of 5,664 MW and a total proposed sale capacity of 3,120 MW as at the end of 2011.

What is important in determining FIT, whether ffiifixed or pre-mium models, is a suitable rate of FIT. If the rate is designed at too low a level, with no deliberation on the actual invest-ment atmosphere, it will not be conducive for investment in renewable energy, which means that the policy applica-tion will not bear fruit. On the contrary, if the rate is too high, it will unnecessarily create a burden on consumers.

(2) FIT : Premium

(3) FIT for off-shore wind power projects in Spain where the system of minimum and maximum prices is applied

Reference : NREL, 2010

(4) FIT premium with a guaranteed mini-

Actually, no matter which model of FIT is applied, it will help promote renewable energy all alike. What is the most important is the policy continuity because it has been over two years now that the private sector has been waiting for clarity and predictability in the part of the government. Therefore, the government should step up the policy setting in this matter so that its practical outcome could be achieved before the future of renewable energy in Thailand comes to a real standstill.

During the past few years, the Ministry of Energy has planned to shift the Adder measure to FIT, that is to say, a change in the FIT model in Thailand to the fiffiixed tariff. Investors are now attentively awaiting the FIT measure of the government.

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E for E has been entrusted by the United Nations Development Programme (UNDP) to imple-ment the UN Joint Programme on Integrated Highland Livelihood Development in Mae Hong Son (UNJP), with additional ffiifinancial support from Thai Oil Plc., by carrying out activities promoting the use of renewable energy in four targeted Tambon (meaning sub-district) in Mae Hong Son Province, i.e. 1) Tambon Tham Lod of Pang Ma Pha District, 2) Tambon Mok Cham Pae of Muang District, 3) Tambon Mae Suad of Sob Moei Dis-trict, and 4) Tambon Mae Yuam of Ma Sariang District. In 2011, E for E conducted a survey to learn about the gap and problems related to energy of peo-ple in the targeted areas, particularly in the areas with no access to the power transmission system, as well as the opportunity to develop renewable energy to narrow such a gap. The gap and problems encoun-tered can be classififfiied into four aspects as follows.

• Poverty. This is a major problem in Mae Hong Son Province. In the four targeted Tambons, the incomes of villagers in 16 out of 41 villages are lower than the level of basic minimum needs. Since the to-pography of the areas is mountainous, farmland is limited and there is lack of education, which is partly due to lack of electricity and diffiffiicult access to government service. • Limited access to power supply with an unfair price. Over 45% of the total villages in the targeted areas have no access to the power transmission system. Some villagers have no electricity to use or, where solar homes exist, the derived power supply can be used only for 3-4 hours/day, or else the systems broke down or worn out, requiring a high power generation cost of 5-8 Baht/unit which is higher than the normal power tariff. • Problems related to health and hygiene. Major causes are: 1) free-range husbandry which causes animal manure to scatter and contaminate water resources, bringing about sickness; and 2) fifififfiire-wood burning in places with no ventilation or indoors, causing smoke which is harmful to the respiratory system. • Problems related to lavish deployment of natural resources and forest encroachment. Forest encroachment, burning or clearing for farming normally occur, including the use of fiffiirewood for cooking. Since villagers can easily fetch fiffiirewood with no cost, they simply use firewood lavishly, and such a practice tends to be increasing.

In order to alleviate the problems and narrow the gap faced by local residents in the targeted areas, E for E has undertaken various activities and developed renewable energy projects in those areas as follows. • Activities to enhance potential, skill and knowledge in the fiffifififiifield of energy, comprising three courses, i.e. (1) awareness building program on energy related issues for general public (2) strengthening the potential of local authorities and community leaders in the fiffiield of energy, and (3) training on solar-home system maintenance for technicians in individual Tambons. • Supply of electricity generated from re-newable energy to provide electricity to villagers in the areas without electricity supply from the grid sys-tem. Five sample projects have been developed, di-vided into: two hydropower projects for villagers in two household clusters, and three solar energy proj-ects for two schools and one household cluster. In addition, restoration of battery charging systems using solar cells has been made.

UN Joint Programme on Integrated Highland Livelihood Development in Mae Hong Son (UNJP)

Corner(GEM)

The UN Joint Programme on Integrated Highland Livelihood Development in Mae Hong Son (UNJP) is a project under the cooperation between Mae Hong Son Province and the United Nations in Thailand, aiming to achieve the following three objectives:1) to increase productivity, decentralize econom-ic growth, encourage small-scale businesses and increase incomes of Mae Hong Son residents;2) to promote sustainable conservation and management of natural resources; and3) to increase the opportunity and equality to access social services, such as public health and education.

Activities on renewable energy promotion have contributed to the achievement of the second objective of the UNJP. Emphasis has been placed on renewable energy promotion in areas with no electrififfiication and the enhancement of potentiality of local organi-zations and villagers, including the development of sample projects to narrow the energy accessibility gap and address the needs of people in targeted areas.

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• Promotion of biogas production from animal manure to alleviate the problems concern-ing health and hygiene caused by scattered animal manure in the villages and to reduce the use of fiffiirewood, which helps reduce health problems resulting from fiffiirewood burning in places with no ventilation or indoors. Two sample projects have been developed – one for household use and the other for use in a school. • Promotion of effiffiicient use of fifififfiire-wood, via the use of high energy-efffiificiency fiffiirewood stoves, or the use of agricultural wastes as fuel for cooking instead of fiffiirewood, e.g. the use of charcoal briquettes made of rice husks as fuel. One sample project has been set up in each Tambon. So far, the development of four projects, out of eleven projects, has been completed by E for E, namely: two projects on the installation of 2.18-kW solar cell systems and two projects on the installation of biogas production system using animal manure as feedstock. - Pha Mon School, providing education from the kindergarten level to elementary level. Since the school is located in an area without access to the power transmission system, it has to depend on electricity generated from solar cells, which is insuffiffiicient, or the use of a generator of which the operational cost is high; hence the school has re-ceived no support in terms of teaching materials which consume electricity. The installation of an off-grid so-lar power generation system with a capacity of 2.18 kW at Pha Mon School has brought about support, i.e. the provision of computers, televisions and a satellite dish, which opens up the opportunity for the students to access remote education from satellites, to learn about the use of computers, and to obtain news and information via TV. Moreover, if a community activity is or-ganized, electricity supply can be shared with the school.

- Mae Pae Luang School, providing education from the kindergarten level to elementary level. This school has been equipped with similar teaching materials as above mentioned, but they have to be kept in storage because, like the former case, the school is located in an area without ac-cess to the power transmission system, it has to depend on insuffifififfiificient electricity supply from solar cells, or the use of a generator with a high operational cost. With the installation of a stand-alone solar power generation system with a capac-ity of 2.18 kW at the school, the teachers and students can then make use of the existing teaching/learning materials. In the next issue, E for E will present to you the progress of the installation of two biogas production sys-tems using animal manure as feedstock, for use in a house-hold and in a school, which is interesting as we will see how the villagers, teachers and students manage the projects. Also to be introduced is the hydropower project at Ban Ruam Thai, a community established within the compound of the Royal Initiative Project “Pang Tong 2 (Pang Ung).”

There are still a lot of villagers in remote areas who are in need of electricity for better living. If any reader or any organization wishes to give them a helping hand, support can be given in the form of donations, which can be on an annual or a monthly ba-sis, or in the form of investment capital assistance.

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3. Burning position – this means the light-dispersion angle of LEDs which affects the light that falls on the working space; therefore, the burning posi-tion should be chosen to correspond with the in-stalltion distance and the working space condition.

4. Life time – this means the average useful life of a lamp.The life time of LEDs is 30,000 – 50,000 hours.

5. Certififfiication marks – most LEDs that are currently in use in Thailand are imported from such countries as China, Taiwan and Korea. Presently, certififfiication standards are not available in Thailand; however, we can look for certifififfiicatie marks used by foreign countries, namely:

1) – a mark certifying conformity with the safety requirements of the European Union. 2) Energy star – a mark certifying energy ef f ic iency standards of a product , endorsed by the USA. In addition to the above-mentioned principles, the decision to invest in replacing the existing light sources with LEDs will be suitable for facilities with a working space that require illumination for 12 - 24 hours a day, and the payback period will be around 3 – 6 years. At pres-ent, the quality of LED technology has continuously been improved, coupled with a lot of competition among the product manufacturers, resulting in a drop in LED prices. So far, the Investment Committee of the ESCO Fund has approved support to an ESCO Fund project, under the E for E management, in the form of energy-saving equipment leasing and the measure on replacing high energy-consuming light sources with LED lamps. Seven operators have participated in the project, i.e. 1) Royal Benja Hotel, Bangkok; 2) The Twin Towers Hotel, Bangkok; 3) Precision Technology Co., Ltd.; 4) Pastina Co., Ltd.; 5) Lucky Star Refrigeration Co., Ltd.; 6) Siam Safeland Trading Co., Ltd.; and 7) Thai Interknit Co., Ltd. All project participants can reduce electricity consumption in the lighting system by more than 60 -70%. Example of projects receiving support to shift to energy-saving appliances (LED Lamps), via equipment leasing under the project promoting investment in energy conservation and renewable energy – ESCO Fund as Table Below :

Company/Type of

Business

Hotel: Royal Benja Hotel

Old - 50 W Halogen ์ 3,300 Units 2,400,000 78,000 Baht/Month 4 YearsNew - W30 6W LED

Old - 36W T8 Fluorescent lamps 548 Units 1,400,000 39,000 Baht/Month 2.9 YearsNew -LED T8 10W

Old - 36W T8 Fluorescent lamps 393 Units 840,000 17,000 Bath/Month 4 Years New: 18W T10 LED

Factory : Thai Interknit Factory Co.,Ltd่

Convenient Store : Siam Safeland Trading Co.,Ltd

Change of Equipment

Before - After No.

Investment Value(Baht)

Savings Outcome(per month)

Payback Period(year)

How your choice can be cost-effectiveLED LAMPS

Corner

At present, there are still a lot of business facilities in Thailand, where the number of operating hours is high. If you are interested in making investment in replacement with LEDs, you can submit a project proposal for fiffiinancial support,

via equipment leasing, under the ESCO Fund project of E for E.

Nowadays, LED (Light Emitting Diode) techno logy is well known and has been widely applied to vari-ous products, including electrical appliances and lighting systems, for example, televisions, lamps and advertising signs. This is because the illumination effiffiiciency of LEDs is better than other light sources, making LEDs an energy-saving appliance – consuming less electricity while having a longer life time and rendering a higher amount of light per watt. However, in Thailand, there are still a lot of business facilities where the number of operating hours is high, such as department stores, hotels, industrial factories, hospitals or convenient stores; as a result, the operators have to shoulder a heavy burden of power tariff each month. LED lamps are, therefore, an option among energy-saving measures that will help alleviate energy expenditure. The guiding principles in choosing LEDs before making a purchase decision involve consideration of the following qualififfiications: 1. Effiffiicacy – this refers to the amount of light produced by a lamp as a ratio of the amount of power it consumes (measured in lumens per watt The higher the luminous effiffiicacy, the more savings on your electricity bill.

2. Color rendering – this means how much the color appearance of an object is distorted when we use a light source to illuminate that object (measured in per cent). If the color rendering index is high, the color appearance of the object will be close to its natural color.

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At the recent World Economic Forum on East Asia 2012 held on 5 June, with the presence of the Minister of Energy (Mr. Arak Chonlatanon), the synopsis of the meeting is reflected in a declaration, consisting of ffiifive issues to which the energy business sector has consented, as follows: 1) Suffiffiificient energy supply with reasonable energy prices. 2) Creation of efffiificient energy system or promotion of ef-ficient use of energy will be a better tool than price subsidies or price fiffiixing. 3) Fostering consumers’ awareness of responsibil-ity sharing, as in the case of the Tsunami incident in Japan which resulted in the shutdown of many nuclear power plants by the Japanese government and hence causing worries about the power system failure; Japanese people have, therefore, given cooperation in electricity saving. 4) Energy use must support and enhance the economic growth; efforts must be made to create a balance between strengthening the economic competitive edge and optimum effiffiificiency of energy use in order to upgrade people’s quality of life. 5) Promotion of accurate knowledge and understanding of energy issues in the general public sector.

These fifififfiive issues in the Declaration are measures that all parties have accepted and viewed that urgent actions are required to accommodate the increasing global energy demand while fossil energy resources, whether it is oil or natural gas, will soon be depleted. As for coal or nuclear, opposition is so harsh in many countries that it cannot be exploited as planned, while alternative energy is being developed at too slow a pace.

For Thailand, it is yet to be seen how much achievement can be made regarding the five issues in the Declaration because the direction of energy plans which have been made public, whether it is the energy procurement plan, Alternative Energy Development Plan (AEDP), Power Develop-ment Plan (PDP), including energy pricing policy, is still unclear.

Given current energy movements, there are many issues that need close scrutiny, and questions arise about policy predictability. Two major issues will be mentioned herein, i.e.1. Energy Prices. This issue is raised for its impact on the cost of living and commodity prices which become more expensive, including the urge to increase public transport fees. In particular, LPG and NGV prices for which price adjustments have been made to a certain extent cannot still reflect the actual costs as announced. As a result, energy consump-tion, particularly in the transport sector, remains distorted.2. PDP 2010 – the Power Development Plan 2010-2030. Lately, the Ministry of Energy has announced another review of PDP 2010 in early June 2012, by increasing the share of power generation using natural gas as fuel, from formerly targeted at 40% to 50% in 2030 while reducing the shares of nuclear and coal-fiffiired generation. This has created questions from various parties regarding fuel security or risk diversifififfiication in relation with the supply, power generation cost as well as promotion of alternative energy development, which has not much progressed and hence the achievement of the targets set forth is in doubt.

• E for E joined the exhibition disseminating renewable energy information and publicizing E for E projects at the “Energy Saving 2012,” organized by TTF International Co., Ltd., during 5-8 April 2012 at BITEC Exhibition and Confer-ence Center, Bangna, catching attention of a lot of participants.• E for E has organized the following training courses to enhance potential in the field of energy under the UN Joint Programme on Integrated Highland Livelihood Development in Mae Hong Son (UNJP): 1. “Awareness building program on energy related issues for general public” totaling six times, in Tambon Mae Suad and Tambon Mae Yuam in Mae Hong Son Province. It was the 2nd round of such training, held from 24 April to 1 May 2012 (the 1st round was held in March 2012, also six times, in Tambon Mok Cham Pae and Tambon Tham Lod), having more than 200 participants. The training has educated the villagers about locally available renewable energy and how to make use of it. Villagers in Tambon Mae Suad are interested in the use of solar dryers to dry Karen peppers because, during the rainy season, they cannot dry Karen peppers in the sun and have to grill the peppers instead, which causes the pepper price to drop by almost 70%. As for villagers in Tambon Mae Yuam, they are interested in biomass stoves as most of them still use firewood as fuel for cooking.

2. “Strengthening the Potential of Local Authori-ties and Community Leaders in the Field of Energy” – This training has provided the opportunity for villagers and local authorities to participate in a workshop on communi-ty energy planning. Participants have proposed renewable energy projects which are feasible and correspond with the needs of local residents in each area. Technical visits were also arranged, during 29-31 May 2012, to Mae Kam Pong micro-hydropower project, the solar dryer project of the Royal Project Development Center Teen Tok, the biomass gasiffiification stove project at Ban Wang Pom, and the knowledge and demonstration base on biomass and biogas projects of the Energy Research Center of Maejo University. Participants to the training course comprised community leaders, offfiificials from Tambon Administration Organization of Tambon Tham Lod and Tambon Mok Cham Pae, and represen-tatives from Developers of Muang District, totaling 29 persons.

ActivityEforE

ReviewEnergy