Tesco said in a statement that these were expected to yield Bt56 million in savings each year, the energy equivalent of providing electricity for 5,000 homes.

This is the fifth year in the company's ongoing drive for energy conservation. In 2004, the budget was Bt82.5 million; this year, it is Bt184 million.

"This is a dramatic increase in investment, one we believe will not only reduce energy costs and help the environment, but also mean lower prices for customers," said CEO Jeff Adams. "Faced with a substantial increase in oil and energy costs over the last 12 months, it was a natural step to extend the scope of our research into energy conservation to keep costs down."

Since 2002, Tesco has invested Bt284 million, saved Bt336.5 million in energy costs and effectively reduced CO2 emissions from power generation by 85,000 tonnes.

"Energy-conservation savings and increasing the efficiency of our supply chain are two of the key reasons we can continue to roll back prices for customers," said Adams. "We recently announced the People's Choice price roll-back programme, which will return Bt342 million in lower prices to customers this year.

"The Bt336.5 million we have saved in energy costs through our programme has gone a long way to fund these price reductions."

He said savings on air-conditioning costs had been a big part of the programme.

"Lighting has also been a significant source of savings. In one project, we went through our store network and removed unnecessary light fittings in our shelves. The cost of this was just over Bt730,000, but the annual savings was more than Bt2.5 million. The stores are as bright and cheerful as before, but without the unnecessary fixtures that build in additional costs."

Perhaps the highest-profile conservation project completed by the company in 2004 was the "Green Store" hypermarket on Rama I Road in Bangkok. The store was a worldwide first for the Tesco Group, featuring a rooftop solar-energy system covering 60 per cent of the roof space and providing 12.5 per cent of the store's energy requirements.

Earlier this month, five Tesco Lotus stores - the Rattanathibet, Sukhaphibal 1, Min Buri, Bang Na-Trat and Lak Si branches - were awarded commendations by the Energy Ministry's Alternative Energy Department for their participation in the department's Conservation Project.

The long-term outlook is similarly ambitious.

"We have extensive energy schemes on the drawing board for 2007 and beyond," said Adams. "We will continue to build on partnerships with the government sector to develop groundbreaking ways to conserve energy and develop alternative energy sources."