Farm takes PTT to court

Farm takes PTT to court

The Chao Phya Abhaibhubejhr Hospital Foundation is taking PTT Plc to court over the firm's gas pipeline project, saying it has damaged the foundation's herbal farm.

Supaporn Pitiporn, secretary-general of the Chao Phya Abhaibhubejhr Hospital Foundation, inspects plants she alleges were damaged by drilling mud that seeped into the farm from a nearby PTT pipeline drilling project. (Photos by Tawatchai Kemgumnerd

Bentonite, or drilling mud, from a PTT pipeline installation has seeped into the farm in Prachin Buri's Muang district, severely damaging the herbal plants.

The foundation also accuses the national energy giant of encroachment with its project, but the PTT insists it is legally authorised to lay the pipeline.

The foundation also refused the company's request to clean up the lubricant spilled on the surface.

The Chao Phya Abhaibhubejhr Hospital Foundation is a major herbal producer running the Abhaibhubejhr herbal product line.

Supaporn: Many herbs have been damaged by the drilling lubricant. Several of them are rare plants and do not even have scientific names yet.

Supaporn Pitiporn, secretary-general of the hospital foundation, said 78 kinds of herbs, several of which are rare, were damaged by the bentonite leak, and a complaint has been lodged with Muang Prachin Buri police.

The bentonite spill has affected two rai of the herbal farm, but the exact amount of the spill is not known.

Ms Supaporn, who is also a pharmacist, said the spill of bentonite lubricant was reported on Jan 24 by the foundation's workers.

She said PTT sent a letter dated Jan 15 to the foundation asking for permission to send crews to bore a pipeline on the foundation's property.

Bentonite would be used to reduce the friction, and it was possible the substance could seep into the soil.

On Monday the foundation received another letter from PTT Plc seeking permission to clean up the spill. 

According to Ms Supaporn, the foundation refused to allow PTT to conduct the clean-up out of concerns PTT crews lack the knowledge of handling herbs and they could make the matter worse.

"Herbal plants are sensitive, and we want to preserve this area as the largest herbal learning centre in Asean," she said.

"Many herbs have been damaged by the drilling lubricant. Several of them are rare plants and do not even have scientific names yet."

Ms Supaporn said the foundation has been at odds with PTT over the gas pipeline project for a while.

When the foundation bought 92 rai of land in 2012 from the Legal Execution Department, it was unaware the plot was part of the pipeline route.

After the land transfer was made, the foundation received a notice about the pipeline construction along with details about compensation.

She said the foundation denied PTT's request to use the land only to be informed by the Energy Regulatory Commission that there was nothing the foundation could do.

It could not challenge the pipeline route and compensation payments, the commission advised.

"How can this happen? How can a company take advantage of others like this? The land owners are set to lose the right to use their land for years, but they are given one-time compensation. The damage inflicted by PTT is beyond measure," she said.

Meanwhile, PTT's corporate communications team says the company regrets the incident and is asking the foundation for cooperation in solving the problem.

PTT said it has tried to work with the foundation on the pipeline dispute but to no avail. The foundation has lodged a petition with the Administrative Court over the route.

PTT said the pipeline route was announced by the Energy Ministry in 2010, and it believed the foundation did not run a check on the route when it bought the property.

Despite that, the company has offered to pay 1.48 million baht to compensate for land use, but the foundation rejected its proposal.

The company has tried repeatedly to negotiate with the foundation, without success, so it decided to undertake the pipeline project with higher-cost horizontal directional drilling, or HDD, which is the boring technique to install underground pipes.

The company also sought the foundation's permission to enter the area to clean up the bentonite but the foundation refused.

It threatened to file a lawsuit for land encroachment if PTT sent in its crews.

"PTT Plc has a herb farm in Rayong and understands how the foundation feels. Bentonite can affect herbs if it is not properly cleaned up. If the clean-up is done right we believe there will be no problems.

"PTT is ready to take responsibility for the damage," said a representative of the company.

A crew worker from STREGA, which was sub-contracted to bore the pipeline, said the bentonite spill was an uncommon accident. 

It is reported that following the incident Pornchai Asavachinchote, director of the fourth pipeline project (Rayong-Kaeng Khoi), sent a letter to the foundation director offering to clean up the spill.

Prem Chinwantananont, the foundation's chief executive in charge of Thai wisdom development, replied to the letter, writing: "Based on the information supplied by PTT, we can take care of our herb farms. Handling herbs is sensitive. We have seen PTT in clean-up actions in other areas. We believe we had better manage it ourselves."

Workers pick herbs from plants that have survived the pipeline seepage.

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