Assessing CO2 Abatement Cost for Thailand’s Power Generation

Thailand’s power generation over a decade has relied on natural gas as a major energy source accounting for more than 70% of total energy supply for generating electricity. Thailand has limited natural gas resources, so Thailand has been importing natural gas from Myanmar since 1998. The latest Thailand power development plan (PDP 2010 Rev. 3) has a goal to improve energy security by reducing the reliance on natural gas by installing new coal-fired power and nuclear power plants, which can reduce the CO2 emission. The big problem is the strong objection of the public from nuclear power plants because of the fear of uncontrolled accidents from disaster, human errors, and radiation from uranium waste. This study assesses CO2 abatement cost according to the PDP 2010 plan. Also, it proposes alternative scenarios in case nuclear power plants (Alt.1) or neither new coal nor nuclear power plants (Alt. 2) cannot be constructed. It was found that there is another option to increase energy supply security and reduce the CO2 emission without installing new nuclear and coal power plants. This can be achieved by increasing the renewable energy installed capacity and also improving the base load power plant. It was found that the CO2 abatement cost from renewable energy scenario (Alt.2) is 52.4% less than PDP scenario, but the average of electricity generation is only 1.7% higher than the PDP plan. It is important for the Thai government to take time and give real, honest information about nuclear power plants along with promoting the use of renewable energy. In the other hand, if Thailand invests for renewable energy, it would have a positive effect on Thailand’s ability to improve renewable technology because widespread used could reduce the future cost of investment. This needs effective renewable energy policy and regulations as well as attractive incentives for renewable energy developers.