Thailand’s sugar industry has urged the government to place agricultural renewable energy at the centre of national policy, citing the need to cut dependence on imports and shield the economy from global price swings, The Nation reported.
The call was made by the Three Sugar Millers Associations, which proposed a shift towards cleaner, locally produced energy. The country currently depends on imports for 60–70 per cent of its energy needs.
At the core of the proposal is the promotion of Gasohol E20 as the main transport fuel. The industry estimates that such a move could reduce crude oil imports by 2.9 million litres per day, or over one billion litres annually.
The associations have also recommended expanding biomass-based power generation using sugarcane leaves and farm waste to its full capacity of 650 megawatts, reducing reliance on natural gas.
Dr Somchai Harnhirun, who heads the group’s coordination committee, said Thailand remains exposed due to its heavy use of imported oil for transport and gas for electricity. He pointed out that the country’s large agricultural base offers strong potential for producing renewable energy.
Thailand has over 11 million rai under sugarcane cultivation, producing around 92 million tonnes annually, which, according to the industry, can support large-scale biofuel and biomass production.
The sugar sector contributes about 123 billion baht to the economy, accounting for nearly 8 per cent of agricultural output. The industry believes that adopting E20 widely would push ethanol demand from 3.5 million litres to 6.4 million litres per day, keeping significant revenue within the domestic economy and supporting over 4.2 lakh farming households.
Industry leaders also pointed to global examples, noting that Brazil has long followed higher ethanol blending, while India is moving towards E20 targets.
Alongside fuel reforms, the industry is promoting a system to buy back sugarcane leaves for use in power generation. This initiative is already generating about 1.2 billion baht annually for farmers and is expected to help reduce open-field burning, a major source of air pollution.
The industry said such measures would strengthen energy security, support farmers, and help the country move towards its environmental goals.
