Electricity bills are expected to decline from May to August as the fuel tariff (Ft) dips following a decrease in the price of liquefied natural gas (LNG), says Energy Minister Supattanapong Punmeechaow.
The Ft is a key component of the power tariff, which has soared since last year, resulting in expensive power bills.
"The new power tariff should not exceed 4.72 baht per kilowatt-hour [unit] for households and 5.33 baht per unit for businesses because LNG prices have eased," Mr Supattanapong told a seminar entitled "The NEXT Thailand's Future".
The two rates are applicable from January to April.
The Energy Regulatory Commission (ERC) last year decided to increase the power tariff, driven by a higher Ft, by 13% to 5.33 baht per unit, up from a record high of 4.72 baht per unit for businesses, while maintaining the tariff at 4.72 baht per unit for households.
The commission is scheduled to propose new power tariff rates today for the upcoming four-month period starting in May.
The ERC plans to gather public opinions on its proposals before making a final decision.
Mr Supattanapong said the government is aware the current power tariff rates are high, burdening both homeowners and entrepreneurs.
The Federation of Thai Industries (FTI) earlier voiced concerns over expensive electricity bills dampening the country's competitiveness in terms of attracting foreign investment.
High energy costs will discourage foreigners from investing in Thailand, the federation said.
The government earlier subsidised both electricity and diesel prices in an effort to decelerate their rates of increase.
The country depends on LNG imports as gas is a main fuel for electricity generation, while diesel is used in both the transport and industrial sectors.
Domestic diesel prices fell to 33.94 baht a litre last month, down from 34.94 per litre, as global crude oil prices decreased.
If global crude oil prices continue to fall, officials will keep cutting retail prices of diesel in the country, said Mr Supattanapong.
However, global crude oil prices can fluctuate, rising based on a range of economic uncertainties, including the impact of the Russia-Ukraine war and preparations for the Thai general election, he said.
Speaking at the same seminar, Kriengkrai Thiennukul, chairman of the FTI, said he hopes a new government does a better job of managing electricity prices, which are currently higher than those in neighbouring countries.