Thailand has to import the majority of its 300-MVA transformers because Tira Thai is the only local maker of units of this size.

The company is spending Bt40 million-Bt50 million on new manufacturing lines being set up at its plant at Bang Bo in Samut Prakan province.

Tira Thai is among the country's top three power-transformer manufacturers. The largest units offered by the other two manufacturers are of 200-MVA capacity.

Sumpan Vonphan, managing director of the company, said that the company also planned to expand the size of its largest electromotive power transformers to 500kV from the current 230kV. The production is aimed at serving the Asean Power Grid Project, designed to interlink energy grids of all member countries.

Thailand's aggregate annual real-time electricity production capacity is 25,000 megawatts (MW) while only 20,000MW is used. Usage grows an average of 5 to 7 per cent a year.

However, Thai firms have found it difficult to increase production capacity due to many problems including environmental concerns. As a result, the Asean Power Grid Project should be incorporated as soon as possible to serve rising demand for electricity in the region. Under the project, Asean members will be able to sell or buy excess electricity. The total sales of transformers in Thailand are about Bt5.3 billion a year.

Sampan said that Malaysia and particularly India were potential markets for Thai transformers. India's transformer makers are running at full capacity but cannot serve domestic demand.

The Metropolitan Electricity Authority (MEA) recently signed a Bt125.3-million agreement to buy transformers from Tira Thai. The company plans to participate in more MEA bids worth Bt700 million-Bt800 million this month.

The Power Company of Vietnam Electricity recently inked an Bt108-million deal to buy transformers, slated for delivery in October and November.

The company expects its revenue to grow to Bt1.6 billion this year up from last year's Bt1.09 billion.

Chalida Ekvitthayavechnukul

The Nation