Egat mulls bigger output for lampang power plant

Energy Minister Pongsak Ruktapongpisal recently instructed the Electricity Generating Authority of Thailand to study raising the output of its 2.4-gigawatt coal-fired power plant in Lampang's Mae Mo district to serve rising demand in 17 northern provinces.

Mae Mo's unit production cost is Bt1, which is cheaper than natural gas-fuelled plants.

If it runs at maximum potential capacity, it could cut the cost in half, which would benefit end-users.

Egat should also seek ways to replace |the plant's generator and conduct an |environmental impact assessment, |he said.

Egat governor Sutut Patmasiriwat said he agrees with the suggestion and will soon order a feasibility study on the proposed project. The main points would be the plant's potential to operate at full capacity, finding new sources of coal for the added production and the cost of transporting coal from the new sources.

One possible source is in Myanmar, but the state enterprise has to verify its actual reserves and their quality before making any decision, he said.

Egat's board has also approved the plan to launch an infrastructure fund to finance the expansions of the North Bangkok Power Plant and power transmission lines. The fund should receive an enthusiastic welcome from investors.

The fund would not inflate electricity bills and the National Energy Committee and the Finance Ministry would jointly work out its yields, he added.