Thailand is prioritizing energy trading in line with ASEAN’s increased volume of renewable energy generation. Soon, the country will have the first-ever Southeast Asian electricity super grid which supplies energy to its neighboring countries.

For the last two decades, Southeast Asia has dreamed of pursuing the connection of power plants and customers across countries. However, this goal was hampered by inefficient government coordination and lack of infrastructure.

Now, Thailand is finally generating an electricity super grid. This will make it the center of power-trading in the region.

Despite being 2,000 km apart, Malaysia gets its electricity from Laos. This is done through cross-border transfer facilitated by Thailand. This transaction is part of the Energy Purchase Wheeling Agreement which dictates that Laos will allot 100 megawatts of its low carbon hydroelectric power to Malaysia. This number is even expected to increase to 300 megawatts. Currently, Thailand already has a grid interconnection with Malaysia and Laos.

According to the Director General of Thailand Energy Policy and Planning Office Wattanapong Kurovat, the country is expected to triple the amount of electricity Laos sends over to Malaysia.

Additionally, Thailand is also making moves to improve infrastructure from Cambodia to Myanmar to further facilitate cross-country power trading.