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Green snags to buying Burma power (r)



>From The Nation (Business July 2nd, 1997)
Business 

Green snags to buying Burma power 



BY WATCHARAPONG THONGRUNG 

ENVIRONMENTAL concerns in Burma ­ which is scheduled to sign a 
memorandum of understanding with Thailand on power supply on Friday ­ 
may lead the Electricity Generating Authority of Thailand to consider 
buying electricity from China as an alternative, according to Egat 
Governor Preecha Chungwatana. 

Preecha said Egat does not have high expectations for buying electricity 
from Burma because power and power transmission projects in that country 
are likely to face environmental problems. According to the MoU, 
Thailand has tentatively agreed to buy 1,500 megawatts of electricity 
from Burma. 

Citing the pipeline project to import gas from Burma as an example of 
problems faced by the Petroleum Authority of Thailand, he said it is 
difficult for power projects in Burma to materialise as transmission 
lines for this electricity have to be built through Burma's rich forests 
before they can reach the Thai border. 

''If we buy electricity from Burma, the problems that will be faced by 
Egat will be as severe as those currently faced by PTT which is running 
into strong opposition from environmentalists. If transmission lines for 
Burmese electricity are to be built, they have to be located in the 
northern region where forests are even richer," he said. 

Unless environmental problems are resolved, Egat will not push to buy 
electricity form Burma and will consider other alternatives such as 
buying from China which has already sent a list of potential projects to 
Egat for consideration. 

The MoU to be signed with Burma resulted from a recent trip by PM's 
Office Minister Sompong Amornwiwat to Rangoon. 

Preecha said the MoU will be modelled on the document signed with Laos. 
After signing the MoU, Burma will send a list of projects which will be 
developed to Egat. Egat will then negotiate with project developers. 
Both sides will sign a head of agreement and power purchase agreement, 
respectively, if terms and conditions are accepted. 

Under the MoU, Thailand will buy electricity from 2007 and 2008. There 
is no specific requirement on sources of energy which will be used in 
Burmese power projects but most are expected to be hydro-power schemes 
like those in Laos. Projects are likely to be located on the Kok and 
Salween Rivers. MDX and Italthai are among the Thai firms which have 
conducted feasibility studies. 

Preecha said the MoU is a starting point for energy cooperation and it 
can be scrapped if there is no progress in developing projects.




"THERE WILL BE NO REAL DEMOCRACY IF WE CAN'T GURANTEE THE RIGHTS OF THE 
MINORITY ETHNIC PEOPLE.  ONLY UNDERSTANDING THEIR SUFFERING AND HELPING 
THEM TO EXERCISE THEIR RIGHTS WILL ASSIST PREVENTING FROM THE 
DISINTEGRATION AND THE SESESSION."  "WITHOUT UNDERSTANDING THEIR 
STRENGTH, WE CAN'T TOPPLE THE SLORC AND BURMA WILL NEVER BE IN PEACE."


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