Thailand buys more power from Laos

BANGKOK, Dec 18 (TNA) - Thailand on Monday signed a memorandum of understanding (MoU) with Laos to buy more electricity from the landlocked country with an aim to cater to the kingdom's rising demand for power and to strengthen the security of the power supply for the future.

Under the terms of the MoU signed by Thai Energy Minister Piyasvasti Amaranand and Bosaikham Vongdara, Lao Minister of Energy and Mines, Thailand will increase its purchase level to 5,000 megawatts of electricity from Laos by 2015.

Thailand had earlier agreed to buy 3,000 megawatts of electricity from its neighbouring country.

The signing of the MoU was witnessed by visiting Lao Prime Minister Bouasone Bouphavanh and his Thai counterpart Gen. Surayud Chulanont.

Also, the state-run Electricity Generating Authority of Thailand (EGAT) signed a MoU with developers of two hydropower projects in Laos for the purchase of electricity starting in 2013, according to EGAT governor Kraisi Karnasuta. The average selling price during the 27-year period is Bt1.98 per unit at the exchange rate of Bt36 per dollar.

In another energy -related development, Thailand's Bangpu Public Co., Ltd. signed an initial agreement to invest in an electricity plant and coal mine in Laos. The electricity plant has a capacity to generate 1,800
megawatts and could start supplying power to Thailand in 2011.

The planned purchase of electricity will further strengthen bilateral relations between the two neighbouring countries and helps Laos to earn about Bt4 billion annually which could be used in developing the country.

TNA

Good for both Laos and Thailand.