The new target for the entire year is 2.2 per cent, down from the original figure of 3.5-4 per cent.

Backing up the decision is the agency's 1.87-per-cent year-on-year increase in power sales of 20,565 units.

MEA governor Pornthape Thunyapongchai attributed the revision to the economic slowdown and unstable political climate, the latter of which has especially resulted in lower private investment.

"We expect the situation to continue until next year and are revising the investment plan to cope with the situation better," he said.

The revised demand will then be submitted to the Electricity Regulatory Board.

Pornthape said the current political turmoil and economic conditions had not yet affected the MEA, which in the first half of the year earned Bt66 billion in revenues and Bt2.86 billion in net profit. Net profit rose Bt132 million, up 4.8 per cent from the same period last year.

For the entire year, the MEA expects total revenues of Bt137 billion and a net profit of Bt5.23 billion.

The company currently distributes power to users in Bangkok, Nonthaburi and Samut Prakan.

Aside from power distribution, the MEA is looking to increase its returns from its other businesses, which now generate 1 per cent of its total revenues.

These include a water-cooling facility at Suvarnabhumi Airport jointly developed with PTT Plc and Egat.

The company is also involved in power-plant design and installation for a company in Sudan.

For the current fiscal year, the MEA has set aside Bt36 billion for investment, of which Bt16.4 billion will come from its revenues and Bt19.6 billion from the central budget.

"We want to complete all investment plans, but that requires a huge investment, and that could push up the power rate. Thus, we'll carry out the projects gradually," said Pornthape.

Energy Reporters

 The Nation