Boston Consulting predicts a surge in Thai renewable power
Get ready for a surge in green power. Thailand’s installed renewable energy capacity would increase by over four times by the end of this decade, according to Boston Consulting Group, which said that renewable energy was becoming a more attractive path to power supply around the region.
“Thailand has a relatively diverse installed renewables base, not relying on a single primary generation source such as hydropower or solar, like many regional neighbors,” wrote Aman Modi, Managing Director, and Marko Lakovic, a partner at Boston Consulting Group, in a column they published.
“This diversified base offers a valuable opportunity to take advantage of the cost benefits across a range of renewable technologies. Recent expansion has focused on wind and solar technologies in particular, with impressive annual growth of 89 percent and 83 percent respectively over the last decade,” the duo wrote.
In 2019, Thailand produced 51 Gigawatts from renewable power with a breakdown of hydropower 30 percent, solar 28 percent, biomass 27 percent and wind 15 percent.
While the previous decade’s growth rates probably will not be matched, Boston Consulting said solar technology was predicted to achieve 10 percent annual growth over the next decade.
“Solar power offers the clearest area of opportunity for significant renewable energy development, largely driven by the national Power Development Plan. This presents the most lucrative avenue for financiers and investors, supported by the government’s national renewable energy agenda and reinforced by incentives for investors,” Modi and Lakovic wrote.
“There is a clear ambition to drive forward renewable adoption in Thailand, and it will be a vital step in meeting the country’s target of reducing greenhouse gas emissions (GHG) by 20 percent from the projected business-as-usual (BAU) level by 2030,” Modi and Lakovic added.