The electricity sector in Thailand : towards a competitive market? | |
| Author | Allier, Louis-Matthieu |
| Call Number | AIT RSPR no.SM-03-112 |
| Subject(s) | Electricity--Marketing--Thailand Electric utilities--Marketing--Thailand |
| Note | A research study submitted in pa1tial fulfillment of the requirements for the degree of Master of Business Administration, School of Management |
| Publisher | Asian Institute of Technology |
| Series Statement | Research studies project report ; no. SM-03-112 |
| Abstract | Electricity was first introduced in Thailand in 1884 and is now managed by three state enterprise power utilities namely Electricity Generating Authority of Thailand (EGA T), Metropolitan Electricity Authority (MEA) and Provincial Electricity Authority (PEA). EGAT is responsible for generating electricity (using its own power plants or buying from third parties). EGAT sells electricity to the MEA and PEA for further distribution to consumers. The national grid is divided into five operational areas and consists of a network of long distance, high voltage transmission lines and substations that carry bulk electricity from both EGAT's and private producers ' power sources to the MEA and PEA for onward distribution to their customers. It also delivers power directly to a small number of customers. Between 1990 and 2000, the installed capacity of the national grid increased threefold representing a CAGR of 10%. EGAT accounted for 70% of this installed capacity with nonEGAT producers accounting for the remaining 30%. In 2001, the most popular method of generating electricity was combined cycle (44%) followed by thermal (43%), cogeneration (8%) and hydro (4%). Although the majority of power is generated and sold in Thailand, a small amount of electricity trading takes place. Exports of electricity have increased gradually through the 1990's. Following an agreement with Lao PDR, imports of power have also increased significantly since 1997. Privatisation of Thailand's Electricity Supply Industry (ESI) has been and is being gradually implemented over a number of years. So far, this has consisted of the Small Power Producers and Independent Power Producers programmes and the privatisation of some of EGAT's. power generating assets. The government has intended to reform Thailand's ESI by privatising the three state enterprise power utilities and establishing a Power Pool. According to the reform framework, consumers will buy their electricity from a retail service provider which buys electricity from generators through a combination of contract and spot trading. Market rules will set out procedures that govern the operation of the wholesale trading of electricity as well as the technical requirements for maintaining system security. Although the structure of the ESI and the Power Pool were approved, the problems experienced by the power industry in California in 2000/2001 for example have alerted the current government to the potential dangers of liberalising the ESL Consequently, in late 2001, it was announced that the establishment of the Power Pool would be delayed until 2006 and in January 2003, the Energy Ministry announced that it planned to issue a revision to the ESI restructuring plan. This revised plan is still to be released. |
| Year | 2003 |
| Corresponding Series Added Entry | Asian Institute of Technology. Research studies project report ; no. SM-03-112 |
| Type | Research Study Project Report (RSPR) |
| School | School of Management (SOM) |
| Department | Other Field of Studies (No Department) |
| Academic Program/FoS | Master of Business Administration (MBA) (Publication code=SM) |
| Chairperson(s) | Amoussou-Guenou, Roland |
| Examination Committee(s) | Zimmermann, Willi; Broustail, Francois Joel |
| Scholarship Donor(s) | - |
| Degree | Research report (M.Sc.) - Asian Institute of Technology, 2003 |