Indicating the new PDP plan to support income for renewable energy power plant businesses

Krungthai COMPASS points out that the new PDP plan will support the renewable energy power plant business revenue growth of no less than 190 billion baht by 2037. Krungthai COMPASS Research Center points out that the new PDP plan supports investment in renewable energy power plants, especially solar power plants, wind power plants, and biomass power plants. It is expected that the private sector will invest more than 1.7 trillion baht in 2024-2037, supporting revenue to reach 290 billion baht in the next 13 years. Dr. Supree Srisamran, Director of Krungthai COMPASS Research Center, revealed that the new Power Development Plan (PDP) emphasizes the stability of the power system and the reduction of carbon dioxide emissions from the power generation process in order to achieve the goal of carbon neutrality by 2050. This has led the government to support more investment in renewable energy power plants and power management systems, especially solar power plants, wind power plants, and biomass power plants, whe re the government is likely to open up opportunities for the private sector to invest more. It is expected that the power generation capacity of the three types of power plants will expand by 14.5% per year to 48,666 megawatts in 2037, accounting for 43% of the total power generation capacity, helping to reduce carbon emissions from the power generation process by 27.5 million tons of carbon dioxide equivalent (MtCO2e), accounting for 57% of the Carbon Neutrality target, which is still at a level that can achieve the goal by 2050. Mr. Pongprapa Napapruekchat, an analyst at Krungthai COMPASS Research Center, said that the combined revenue of solar power plants, wind power plants, and biomass power plants tends to increase from 100 billion baht in 2023 to 290 billion baht in 2037, or grow by an average of 7.9% per year, in line with the power generation capacity of the said power plants, which comes from purchasing electricity from the government's new power generation capacity of a total of 39,693 megawatts d uring 2024-2037, divided into 30,412 megawatts of solar power plants, 7,845 megawatts of wind power plants, and 1,436 megawatts of biomass power plants. In addition, the government's purchase of electricity from solar power plants, wind power plants, and biomass power plants, which will occur during 2024-2037, is expected to generate investment in construction nationwide of more than 1.7 trillion baht, divided into solar power plants of approximately 1.1 trillion baht, wind power plants of 460 billion baht, and biomass power plants of 130 billion baht. Each region of the country will attract different investment in power plants. The North has the highest potential for investment in solar power plants because the government has purchased the most solar power from new power plants in the North, accounting for 30.5% of the total purchase of solar power in the country. Meanwhile, the Northeast is the region with the highest potential for investment in wind power plants, with the government purchasing almost all wind power from the Northeast, or 92% of the total purchase of wind power. For investment in biomass power plants, every area has production potential, depending on the type of fuel used to generate electricity. Agricultural waste materials should be selected as fuel for electricity generation. Biomass power plants located in the Northeast, North, and Central regions should use sugarcane leaves and tops and rice straw as fuel for electricity generation, while biomass power plants located in the South should use palm by-products as fuel for electricity generation because they are waste materials in large quantities in those regions. Source: Thai News Agency