FTI fuels the push for a public-private energy plan in Thailand
The Federation of Thai Industries (FTI) renewed its call for the establishment of a public-private committee on energy management, urging the Thai government to take the proposal seriously in light of potential shifts in America’s energy policy under Donald Trump’s presidency.
The FTI’s proposal aims to enhance national energy management and address the complexities arising from global energy dynamics.
The significance of energy demand and supply continues to grow, particularly as fossil fuels are criticised for contributing to global warming. Despite this, Trump has expressed support for increased fossil fuel exploration and production to benefit industry sectors.
Kriengkrai Thiennukul, chairman of the FTI, during the 2024 Petroleum Outlook Forum has said that Thai industries must keep an eye on what is to come following Trump’s announcements.
The event, organised by PTT Plc and the FTI’s Petroleum Refining Industry Club, highlighted the need for strategic planning in Thailand amidst international uncertainties.
Kriengkrai stressed that the task of energy management requires collaboration between officials and businesses. He pointed out the importance of business input on the government’s contentious plans, such as the Thai-Cambodian discussions over joint petroleum production in the overlapping claims area and the push for developing small modular reactors, a form of nuclear technology.
High costs
The FTI has consistently raised concerns over high energy costs in Thailand, which are seen as detrimental to the competitiveness of manufacturers. High energy costs pose challenges for the export sector, a crucial component of the Thai economy.
Speaking on the shift towards more energy-intensive operations as businesses integrate modern technologies, especially in the digital domain, Kriengkrai has touched on the trajectory of the manufacturing sector.
“The manufacturing sector would tend to employ fewer workers but consume more energy in the future.”
The global trend towards renewable energy has spurred increased demand for clean electricity across various industries, including data centres and cloud services. Thailand has previously extended invitations to foreign firms specialising in data centre development, encouraging them to invest in the country.
However, these companies seek clarity from the government on how it will facilitate the acquisition of clean energy.
The anticipated changes in US energy policy under Trump may impact Washington, DC’s strategies to achieve a net-zero emissions target by 2050. Nonetheless, Trump’s support for the oil industry is expected to stabilise global oil prices, potentially curbing excessive fluctuations and preventing steep increases in the cost of goods in the US, reported Bangkok Post.
