30/09/2011 (Bangkok Post) - Thailand has huge potential for energy production from crops but it needs good management and research and development, say energy analysts.

Patsharee Congtrakultien, senior executive vice-president of Thailand's largest agricultural business, the Charoen Pokphand Group (CP), noted in a sustainable energy development seminar that research indicates rice and palm oil could offer higher yields with the collaboration of policymakers in agriculture, land development and energy.

"We can raise the yield of those crops for use in the energy sector, but it requires good management," said Mrs Patsharee.

Irrigation systems now serve 28 million rai of rice plantations.

"In that area, you could grow 2 million rai of rice and use the remaining 26 million for major food and energy crops such as palm and cassava," he said.

Twarath Sutabutr, deputy director-general of the Department of Alternative Energy Development and Efficiency in the Energy Ministry, said biofuel, biomass and biogas needed more research and development to improve yields.

He said bio-based energy could play a big role in Thailand if investment supported sustainable development.

"Even with higher productivity, we can still take the waste from those bio-products to make power. The world is investing more in research and development to learn how to produce oil from farm waste."

He said the department was monitoring research on biofuel production from biomass, hydrogenated processes, algae and jatropha.

Arthit Vechakit, managing director of Excellent Energy International Co, said a lot of overseas and local investors saw the potential of bio-energy but were waiting for a timely collaboration.

Shell (Thailand) doubted the government's commitment to alternative energy after it cut the levy on pure petrol to the same price as gasohol a month ago.

"This hurts the development of biofuel because this price cut destroys the incentive for motorists to use gasohol," said Pissawan Achanapornkul, the chairwoman of Shell (Thailand).

"We need confirmation from the government on whether it will push ahead with development of renewable energy because cutting the levy is in stark contrast to this position."