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Thailand Supports Investment in Alternative Energy, Responding to 39% Increase in Demand in 9 years

BANGKOK, Dec. 24, 2012 /PRNewswire/ -- The Thailand Board of Investment has announced its support in alternative energy investment after findings have shown that demand for energy will increase by 39% within 9 years.

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According to the Ministry of Energy's estimation, under Alternative Energy Development Plan (AEDP 2012-2021), it has been found that in 2021, the demand for energy in Thailand will increase from 71,728 ktoe[1] today to 99,838 ktoe, or a 39.19% increase. The Thai government is hoping to push the use of alternative energy and renewable energy to reach 25% of total energy consumption. This is because Thailand has agricultural products that can be used as energy sources such as biomass, biogas, biodiesel and ethanol. Food industries also yield a great amount of byproducts that can be made into energy from waste. Thailand's natural resources also have great potential for energy generation - the country has the average sunlight energy of 18.2 MJ/m2/day, not to mention the nation's potential in wind energy. This makes Thailand the right place for alternative energy and renewable energy investment, which will lead to a significant decrease in Greenhouse Gas emission, making Thailand a low-carbon society in the future.

The BOI has policy to support this type of investment by offering tax incentives and other benefits. For taxation, the BOI is offering tax exemption or reduction for imported machines and materials, and corporate tax exemption or reduction. Incentives in other areas include permission to bring in foreign skills, permission to own land, and foreign currency cash flow. Foreign investors can also hold 100% of the shares.

Dr. Atchaka Sibunruang, Secretary General, Thailand Board of Investment, said that the BOI is aware of the importance of alternative energy and its impact on the development of Thailand, so it is one of the country's priorities. Projects involving alternative energy and renewable energy which are proposed for investment support are therefore entitled to incentives and benefits.      

[1] kilo tonnes of oil equivalent

For more information, please contact:

555 Vipavadee Rangsit Road, Chatuchuck 10900
Tel: +66-0-2553-8111
Fax: +66-0-2553-8222

SOURCE The Board of Investment (BOI)

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