Thailand’s Ministry of Energy is preparing to propose a new electricity pricing scheme to the cabinet, aimed at reducing costs for households that use no more than 200 units per month. Under the plan, these users would pay less than 3 baht per unit, with lower consumption leading to progressively cheaper rates, potentially benefiting around 14 million
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The proposal follows rising energy costs linked to global factors, particularly ongoing conflict in the Middle East, which has driven up prices for liquefied natural gas (LNG). Thailand imports 30–40% of its LNG for power generation. As a result, the Fuel Tariff (FT) is set to increase, pushing electricity rates from 3.88 baht to 3.95 baht per unit from May.
Energy Minister Ekanat Promphan outlined the plan, while responding to a parliamentary question from MP Pimprueda Tanjararak. He said that keeping electricity prices lower across the board would require diverting revenue from the three state electricity authorities, potentially affecting long-term investment in energy infrastructure and transition.
To address this, the ministry is proposing a tiered pricing structure, where lower consumption is charged at cheaper rates, while higher usage incurs higher costs. For those exceeding 200 units per month, the first 200 units would still be priced below 3 baht, while additional usage would follow higher rates.
The government is also encouraging higher-usage households to install solar panels. Incentives include low-interest loans, tax deductions, and a scheme allowing excess electricity generated to be sold back to the state. However, the minister acknowledged existing barriers, including complex approval processes and delays in installing digital meters, which can take over a year.
Efforts are underway to simplify these procedures through a one-stop service system and regulatory changes. Recent measures have already removed the requirement for factory permits to install solar panels, though other administrative hurdles remain.
Thaitabloid reported that the proposal is expected to be submitted to the cabinet and the National Energy Policy Council in the coming week. If approved, it could reshape Thailand’s electricity pricing structure, offering targeted relief to low-consumption households while promoting renewable energy adoption among higher users.
Adapted by ASEAN Now Thaitabloid 27 Apr 2026