
The Energy Ministry's proposal to reduce power bills by cutting the government's free electricity supply to lights in public places requires further talks among state agencies, says Thailand's Provincial Electricity Authority (PEA).
Currently local administrative bodies as well as highways and rural roads departments are not required to pay for public lights as the government pays for them, but this costs several billion baht a year, becoming a huge financial burden.
If the government can reduce this spending, it would decrease losses for power generation, distribution and transmission systems, which will eventually help trim the power tariff, Prasert Sinsukprasert, energy permanent secretary, said earlier.
Thailand's power tariff, which is used to calculate electricity bills, is 4.15 baht per kilowatt-hour (unit).
"A review of the financial support for public lights requires talks, especially with agencies at the policy level," said Pradit Fuangfoo, deputy governor for strategy at the PEA, the state power distribution arm.
The PEA, which is under the Interior Ministry, is responsible for supplying power to public lights, which incurs an annual expense for the authority.
Mr Pradit said local officials and highways and rural roads officials are working on plans to replace public lights, which include incandescent bulbs, with light-emitting diodes (LEDs), which are more energy-efficient.
LEDs use 80% less energy than ordinary lights, leading to lower power bills.
However, because of urban development, more electricity is used in public areas, meaning authorities are unable to significantly cut expenses on electricity even though LEDs are used, he said.
Installing LEDs equipped with solar panels and batteries to reduce dependence on the state grid was proposed, but this method is expensive because the batteries need to be changed often given their short service life.
The PEA has cut its expenses under its Triple Transformation Capability Centre policy.
The policy emphasises organisational transformation by integrating three elements -- business, technology and people -- to increase efficiency in management and operations.
Last year the PEA reduced its operating costs by 700 million baht via the policy, and it plans to trim 750 million this year, said Mr Pradit.