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Commerce Ministry talks up benefits of palm oil for generating power


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Commerce Ministry talks up benefits of palm oil for generating power

By The Thaiger

 

Palm-Oil.jpg

 

While the Thai government is promoting the use of palm oil to produce power, the latest price of the oil remains lower than the cost of producing it because the volume of output was 30% more than the expected quantity.

 

The Ministry of Agriculture and Cooperatives will survey the real quantity of palm oil to be released onto the market to determine a solution to the problem.

 

Deputy Commerce Minister Chutima Bunyapraphasara says apart from being used for electricity production, the Ministry of Energy has also extracted a bio-diesel oil B20 from the palm oil.

 

Full story: https://thethaiger.com/news/south/commerce-ministry-talks-up-benefits-of-palm-oil-for-generating-power

 

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-- © Copyright The Thaiger 2019-04-22

 

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14 hours ago, webfact said:

the Thai government is promoting the use of palm oil to produce power

Palm oil as a fuel source for electric generation produces more CO2 emissions than fossil fuel. And maybe that's why it doesn't figure in any of state-owned monopoly EGAT's Power Development Plans just updated last year. EGAT has been focused on reducing coal-fired power plant and increasing use of natural gas and alternative renewable energy sources to reduce overall CO2 emissions.

 

The government has been promising to do more to support the three-year old Paris Agreement in reducing greenhouse damaging CO2 emissions.

  • Last year Raweewon Bhuridej, secretary-general of Thailand’s Natural Resources and Environmental Policy and Planning Office, insists that Thailand’s commitments to Nationally Determined Contributions are a good fit for the country’s current situation.
  • Yet, without additional new measures, Greenpeace country director Tara Buakamsri said,Thailand’s contribution will not be sufficient to meet the global mission to cap rising mean temperatures to the below 2-degrees Celsius limit agreed upon under the Paris Agreement. http://www.nationmultimedia.com/detail/national/30360522

Either the Deputy Commerce Minister is unaware of Thailand's NDC commitment and EGAT's PDP's or hasn't bothered any coordination with EGAT and the Natural Resources and Environmental Policy and Planning Office on the matter of using palm oil for electrical production.

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Typical "save face" attempt by the government after another ill-informed interference in agriculture markets. I seem to recall that some years ago, when there was a glut of rubber in the market, farmers were encouraged to cut down rubber trees and plant palm oil. Many poorly educated farmers would have done this without researching the market, not realizing that the majority of palm oil production comes from large scale commercial farms that have the benefit of economies of scale. What are the chances of some sort of palm oil subsidy (a-la rice, rubber, etc.) coming soon?

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