The Royal Thai Government launched a strategy to increase renewable energy share in the energy mix since 2005. This was a cabinet resolution, binding all governmental agencies to harmonize policy direction to achieve the declared policy targets. In response to this policy needs, the Ministry of Energy has set forth the seven strategies for energy sufficiency

development as follows.

1. Establish the independent organization to regulate electricity and natural gas

2. Foster energy security by recourse to His Majesty Sufficiency Initiatives

3. Promote efficient energy usage

4. Promote the development of renewable energy

5. Seek for appropriate pricing structure for energy

6. Establish clean energy development mechanism

7. Encourage private sectors and the public to contribute to policy making process. Targets of Biomass-derived energy :

The target set forth by the government is that Thailand must increase the share of renewable energy in the final energy consumption from 0.5% in 2005 to 8% by 2011 (6,540 ktoe). The target for renewable share in the transportation fuel is 3% for biofuels i. e. bioethanol use must be at leat 3 Million L/day and biodiesel must be 4.0 Million L/day by 2011. A target for biomass-deriveded heat and steam is 4% equivalent to 3940 KTOE by 2011. A share of 1% was set for electricity from renewable resources which is equivalent to 3251 MW by 2011. Due to recent price increase of crude oil, an adjustment of the target has been announced by the government to start implementing E20 gasohol (20% blend of ethanol into gasoline) on January 1st 2008 and B2 (2% blend of biodiesel into biodiesel) has been mandated since February 1st, 2008. This implementation has made Thailand the first country in Asia to fully commercialize both bioethanol and biodiesel blends all over the country.

Duties

The policy targets and implementation milestones are reviewed and adjusted periodically and reported to the government by the National Energy Policy Committee.