Energy risk with community management and cost analysis

Abstract

In Thailand, EGAT was established on 1st May 1969 by the government acting as the state enterprise under control of Energy Ministry. This paper examines the development of choice fuels - biodiesel - in Thailand under energy risk using the case of community management and cost analysis. Crisis of electricity has continued till now with the framework of searching the options in Thailand such as potential sources of energy as the main power and secondary power, strengthen stability and security of the power system incorporates, the environmental aspect ratio diversification of fuel types and production cost factors in order to have a tariff that is not too expensive. Risk of power generation creates where the supply is lacking of comparing to the demand. Conversional perfect competition business model is demand greater than supply in term of these broadly areas: shortage of product to certain customers, supply can demand higher price, fight for product from customers, supplier may increase production to meet demands and maximize profit and competition will step in to seek market share, thus balancing the system. Secondary data is noted that the biodiesel has the potential as a substitute fuel. The community can use it to reduce its cost of using the original energy for community's vehicles as diesel engines. Because biodiesel uses less quantity of law materials than ethanol with the environmentally friendly. So, the objective is to provide the choice of using renewable energy particular biodiesel and analyses the cost of renewable energy especially biodiesel in community. The biodiesel that is made from used kitchen oil in community. Accidental sample groups are selected and has capacity to produce not over than 30 liters per day. The deep interview is used to call the data during December 2018 to February 2019 via qualitative analyzing such as frequency, percentage, mean and standard deviation. As a study results from estimating with interest rate 8% has expressed that biodiesel has NPV value of 2,044.54 Baht, IRR at 107.64% and Payback period at 2nd years. It also concludes that the community should continue investment rather than leaving community biodiesel project. The choice on biodiesel is the most outstanding of strategy supporting in many research studies. The biodiesel from kitchen used oil is benefit to community making the group network and well used for farmers' machines. In summary, the biodiesel is proper using in community. The government should motivate the community to use the worthless resource to avoid using the normal energy including subsidy to help famers as the pilot project for initial period around 5 year at least. © IAEME Publication Scopus Indexed