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Gulf of Thailand gas and Mae Moh lignite are nearing depletion; private sector pushes Phrae power plant project full steam ahead.

News & Activity
2018/08/09

Today (August 10, 2018), a progress report on the biomass power plant construction project in Meuang Mo Subdistrict, Muang Phrae District, indicates it continues to face ongoing opposition, particularly in the 5 communities of Rong Fong Subdistrict, Muang Phrae District, located near the target area. Protest signs remain visible, despite many having been secretly removed by unknown individuals. News photos show villagers installing signs against the biomass power plant.

Soon, a forum on "Alternatives and Solutions" will be organized to foster understanding, inviting relevant agencies, representatives of the project owner company, and community leaders from 12 subdistricts around the construction site to receive information. Mr. Suwit Singchan, Chairman of the Audit Committee of Power Solution Technology Public Company Limited, pointed out that academics predict natural gas in the Gulf of Thailand and Mae Moh lignite will be depleted within 30 years, forcing Thailand to find alternative energy. Although there are energy sources from neighboring countries, they are not sustainable, and Thailand needs to continuously increase electricity consumption.

The construction of a 30-megawatt biomass power plant in Phrae Province is suitable because an existing transmission line, developed to support electricity from the Hongsa Power Plant in Lao PDR, already passes through the area, allowing immediate transmission via the existing grid.

Regarding biomass fuel, academics from Kasetsart University surveyed and found that within a 100-kilometer radius of the plant, only 40% of the required biomass is available. Overall, the power plant in Phrae will need no less than 2,000 tons of biomass per day, meaning insufficient fuel, and additional sources must be found from a 200-kilometer radius, leading to high transportation costs. The solution is for the power plant to promote farmers growing fast-growing trees or energy crops.

Currently, the company has received the right to establish a power plant in Meuang Mo but has not yet received the right to sell electricity. It must await the Environmental Impact Assessment (EIA) and approval from the National Environment Board. If all processes are completed as planned, the total investment will be 1.6 billion baht. Construction is expected to start in early 2019 and be completed in 24 months, or late 2021.

All details are available in the attached file.

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