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UAC adjusts, turns to Napier grass for bio-gas

UAC Global has adjusted its plan and will now produce bio-gas from Napier grass to generate electricity instead of making compressed bio-gas as a NGV substitute because it is expects the Energy Ministry will not float the NGV price.

According to the original plan, UAC was going to use bio-gas from Napier grass to produce CBG.

The new plan, in which the biogas from the grass is used to generate electricity, will be much more commercially viable, according to UAC president Chatchaphol Prasopchoke.

He said the company originally planned to develop 20 projects making bio-gas from Napier.

As part of the revision, he said seven projects would be pilot projects and they were expected to get off the ground this year.

If it were clear that the NGV price would never be floated, the company would have the remaining 13 projects produce gas to generate electricity and they were slated to begin operation during 2015 and 2016.

Each Bt150 million project could produce 1.5 megawatts of electricity and would use between 600-700 rai of Napier grass.

Chatchaphol said the company would gain an adder rate of 30 satang per unit of electricity sold.

He added that it was worth going ahead with the investment in the projects as they would generate Napier grass waste, a by-product used to produce gas pellets - with high demand for it in overseas markets.

UAC had conducted a feasibility study to set up two garbage-driven power plants in central Thailand and in the Northeast and with a capacity of eight megawatts each.

Chatchaphol said each plant had an estimated cost of between Bt900 million and Bt1 billion.

UAC going ahead with the investment depended on how the National Council for Peace and Order pushed policies relevant to businesses.

He added that UAC expected to complete a solar rooftop project with a 1.3 megawatt capacity this year.

UAC's main business is the supply of various chemicals, base oils and equipment to serve higher demand in among petrochemical companies, oil and as, refineries and polymer, plastic, chemicals and power plants.


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