Call on Krabi coal plant due in November

Call on Krabi coal plant due in November

The government and related authorities, such as the Electricity Generating Authority of Thailand (Egat), are expected to make a final decision on developing a coal-fired power plant in Krabi by November, says Energy Minister Anantaporn Kanjanarat.

The project is one of two coal-fired power plants the government plans to develop in the southern region to serve rising demand for power amid economic growth. The two plants have been delayed since mid-2014.

Gen Anantaporn said the public hearing process is expected to be completed this month and the Energy Ministry, related policymakers and the prime minister will make a final decision by November.

The 800-megawatt coal-fired power plant was previously planned to begin development in 2015 and start operations within 2019.

In August, Egat opened bidding to seek an appropriate construction firm, and saw bidding prices submitted in the range of 32-34.9 billion baht.

The bidding process and the environmental and health impact assessment report were completed simultaneously, Gen Anantaporn said.

"After being delayed for almost two years, this November will be the time to decide whether to proceed or scrap the plan," he said.

Development of coal-fired power plants is a part of the country's plan to diversify the power-generating system away from gas.

Gas comprises 70% of the power-generating system and the plan would see it drop to 45-50% by increasing the proportion of coal-generated power.

With the plan being strongly opposed by the public and activists for two decades, the plan has not proceeded.

Egat is also conducting an environmental and health impact assessment for a coal-fired power plant in Songkhla's Thepha district, with a capacity of 1,000MW. The project will open for bidding early next year, Gen Anantaporn said.

Yesterday, energy policymakers announced that Egat will be allowed to become an operator of natural gas (LNG) after the implementation of a plan to liberalise the LNG industry in Thailand, which started in the middle of this year.

Gen Anantaporn said Egat would be approached by energy policymakers when it begins developing LNG facilities to provide gas to the South Bangkok Power Plant.

The National Energy Policy Council last month approved Egat's plan to enter the LNG market by developing a floating storage re-gasification unit with an annual capacity of 5 million tonnes.

Egat is expected to become a major player in the market after PTT Plc, the national oil and gas conglomerate, formerly the sole LNG operator since 2011. PTT can store up to 10 million tonnes of gas a year via its receiving terminal in Rayong's Map Ta Phut.

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