Thailand signs MOU to buy more power
Dec 24, 2007 - Asia Pulse
Thailand will today sign a memorandum
of understanding (MoU) with its neighboring Laos to
buy more electricity from that country, according
to Thai Energy Minister Piyasvasti Amaranand.
Mr. Piyasvasti said he would sign an
agreement with the Lao industry and commerce minister
in Vientiane to allow Thailand to purchase more hydropower
from Laos to 7,000 megawatts from the initial 5,000
MW in 2015.
The increase in the power purchase would
benefit both countries as Thailand would acquire more
power at reasonable cost because Lao electricity was
produced from both hydro and coal-fired power plants
and was quite inexpensive for Thailand. Laos could
also earn money which could be used in developing
its economy, Mr. Piyasvasti said. Bilateral relations
will become stronger too.
Also, the state-run Electricity Generating
Authority of Thailand (EGAT) will soon sign agreements
with Laos to buy electricity generated from the Hongsa
lignite-fired power plant, which has a total capacity
of 1,400 MW and from Nam Ou with 1,000 MW. The Hongsa
power plant project plans to sell power to Thailand
from 2012 onward.
Construction may start in late 2008
or early 2009 and is a joint venture between the Lao
government and a Thai investor.
It will have an installation capacity
of 1,800 MW. The Hongsa Lignite power plant is among
several projects that will deliver electricity to
Thailand under a Power Purchase Agreement with Laos.