Thailand’s government took steps to keep electricity costs down, cutting tariffs ahead of next month’s election as record temperatures pushed power demand to unprecedented levels in recent days.
(Bloomberg) — Thailand’s government took steps to keep electricity costs down, cutting tariffs ahead of next month’s election as record temperatures pushed power demand to unprecedented levels in recent days.
Power demand hit a record of 33,847 megawatts on Friday as households and businesses fired up their cooling units, the country’s energy regulator said Monday. As a response, electricity tariffs will be cut from May 1.
“We are in the peak of summer season when power demand is normally at its high,” said Deputy Governor Prasertsak Cherngchawano of the state-owned power utility. “We expect demand to remain high this month through May.”
Temperatures have been soaring across parts of Asia this month, before easing in recent days, stretching power grids and boosting the need for fossil fuels. The mercury surged in India and Bangladesh, while China’s Yunnan province is grappling with a drought, posing risks to lives as well as businesses.
In Thailand, which is a net energy importer and a key tourist destination, extreme weather conditions can bring economic challenges. Record heat is adding to woes of Southeast Asia’s second-largest economy that recently grappled with pollution that made hundreds of thousands of people ill.
Helping Thais cope with soaring living costs is a common refrain among political parties vying for power in the May 14 election after inflation climbed to a 14-year high in 2022. Pheu Thai, which leads in most pre-poll surveys, has built its campaign around measures to boost household incomes and has proposed a digital wallet that will give 10,000 baht ($291) to every Thai aged 16 and up.
–With assistance from Pathom Sangwongwanich and Stephanie Phang.
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