International Power Grids Around the World
International power grids are not a new concept. In fact, this can usually be found in Europe. This technology is not simple to achieve since it needs to surpass intense technical and legal challenges, not to mention expensive infrastructure. Thailand also needs to complete a series of bilateral deals with its neighboring countries. This is easier to achieve than negotiating a one-time agreement.
After resolving these hurdles, people can finally take advantage of its benefits which include more opportunities to develop renewable energy sources, and energy security. By becoming the region’s premier energy trading hub, Thailand can increase its energy transmitting revenue. It can also help solve capacity oversupply. In time, the cost of electricity in the country will become cheaper.
“Thailand’s push for regional energy trading could be a step to increase the security of supply and system resiliency, particularly as falling costs and higher government targets increase the volume of variable renewable energy generation in the ASEAN region,” said BNEF analyst Caroline Chua.
Border towns in Myanmar and Cambodia have also been relying on Thailand to get a small amount of electricity. However, there are still tons of infrastructure upgrades that need to be done to match the scale of connections with Malaysia and Laos.
The interconnection will justify the massive project in developing countries which do not have the demand for huge electricity such as wind power or hydropower.