The Electricity Generating Authority of Thailand (Egat) plans to import 2.5 million tonnes of coal per year from Indonesia to prepare for coal-fired power plants to be built in the future, according to deputy governor Payap Pongpiradom.
A memorandum of understanding will soon be signed with coal miners in Indonesia to pave the way for pit opening and infrastructure development.
Egat is required under the 2007 power development plan to build a 700-megawatt coal-fired power plant by 2014.
Several countries with coal including Vietnam, Japan and Indonesia, have offered to sell coal to Egat. However, Egat will import the fuel from any country so long as the quality and price meet its criteria.
Egat may import coal from Indonesia since the quality is acceptable and the country is not far from Thailand.
Coal from Indonesia can be shipped to Thailand in volumes of at least 100,000 tonnes per trip which can help reduce freight costs.
However, Mr Payap said that Egat might also buy coal from other countries to reduce the risk of dependence on any particular importing source.
He said coal was considered a good alternative fuel supply for electricity production since its price was relatively stable compared to that of natural gas.
Egat has started promoting knowledge and proper understanding of power plants among the communities located in the areas where coal-fired power plants are planned.
He said Thailand could no longer depend on natural gas as the sole fuel for power production. The situation will worsen in the future when Thailand has to import liquefied natural gas (LNG) to meet rising power demand.
Egat is speeding up the conclusion of the appropriate sites for the coal-fired power plants within two years so that the first can be built and start operating by the 2014 schedule.
''We have many ideal sites in mind, be it the coastal areas along the Gulf of Thailand and Andaman Sea. Thap Sakae district in Prachuap Khiri Khan is an interesting site for the coal-fired power plant.'' he said.
Egat owns several thousand rai of land plots in Thap Sakae.
Mr Payap said the ideal locations should accommodate the construction of deep seaports in the future for coal imports. The power plants may also be built onshore but must not be more than one kilometre from the sea.
More importantly, promoting understanding is essential to gain acceptance among the public. On Monday, villagers in Thap Sakae began rallying to oppose the power plant planned in the area.
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