The Joint Standing Committee on Commerce, Industry and Banking (JSCCIB) is asking Prime Minister Prayut Chan-o-cha to issue measures to ease entrepreneurs' financial burden after power bills were hiked next year.
The Energy Regulatory Commission (ERC) announced last week it would increase the power tariff for businesses by 20.5% to 5.69 baht per kilowatt-hour (unit), up from 4.72 baht per unit.
The decision disappointed the Federation of Thai Industries (FTI) and prompted the JSCCIB to submit a petition to Gen Prayut yesterday.
"JSCCIB members signed their names on the letter during their latest meeting on Dec 20. They want the government to act to help businesses," said a source who requested anonymity.
The JSCCIB wants the government to set up a joint committee, comprising representatives from the state and private sectors, to find ways to address businesses' concerns.
With the higher energy prices, the JSCCIB is worried Thailand will lose competitiveness compared with neighbouring countries. This could affect foreign direct investments as businesses looking to expand in Asean may avoid Thailand.
The ERC plans to apply two rates of power tariffs, which determine electricity bills, from January to April next year: 5.69 baht for the non-household sector and 4.72 baht for households.
The non-household sector is made up of businesses of all sizes, as well as hotels, farms and non-profit organisations.
The ERC said earlier the new power tariff was aimed at helping the state-run Electricity Generating Authority of Thailand (Egat) deal with its balance sheet, after racking up losses of 125 billion baht from assisting the government with the electricity price cap.
According to the source, the government should find ways to help Egat with minimal or no impact on businesses.
For the long term, the government must better manage energy costs in Thailand and encourage entrepreneurs to invest more in renewable energy development.
Authorities should shorten the process to gain permission to install solar panels with an electricity generation capacity of 1 megawatt at factory compounds. The government should also consider granting low-interest loans to encourage entrepreneurs to develop renewable energy systems, according to the FTI.
The federation said last week its members planned to raise product prices by 5-12% if the government increased the power tariff for businesses. Assuming the power tariff hike, it would be difficult for manufacturers to freeze their goods prices because of higher production costs, even though many of them have shifted to renewable energy by installing solar panels at their factories, said the FTI.