PTT sees more regional business links

"This would be a channel for energy transaction. While Thailand can buy power from Laos, oil from Brunei and Malaysia, liquefied petroleum gas from Indonesia and Burma and coal from Indonesia, others can look to Thailand for biofuels, particularly ethanol," PTT president and CEO Prasert Bunsumpun said yesterday.

PTT itself seeks to establish more bilateral discussions with existing partners and to have dialogues with some countries' energy ministers, he said. Prasert said Thailand had made advances in ethanol production and could become the regional ethanol trading hub because of its abundant raw materials, particularly molasses and tapioca. He believes ethanol demand in Asean will definitely rise over time.

"Asean has become a major energy market for Thailand, following the United States, Europe and China. Twenty per cent of PTT's export products are shipped to Asean countries. Asean becomes more interesting due to the large population base and its linkage to China and India," he added.

Thailand's potential is rising, thanks to its geographical location. However, this potential is limited by political instability, he said, adding that conflicts must be solved to restore business confidence.

The 26th Asean Energy Ministers Meeting's main agenda is to ensure energy security among member countries. While ministers are discussing the issue of minimum oil reserves, they will also highlight linkages between gas pipelines and power grids.

The four-day meeting ends today.