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Thai EGAT says yet to decide to buy power from Laos

Reuters

October 11, 2003

Thailand’s state power producer said on Saturday it had yet to decide whether it would  start buying power from Laos in 2009 as planned.

BANGKOK, Oct 11 (Reuters) – Sitthiporn Ratanopas, governor of the Electricity Generating Authority of Thailand (EGAT) told Reuters EGAT was now reluctant despite the confirmation from the French government on Friday that state-owned Electricite de France [EDF.UL] will remain in a controversial $1.1 billion hydropower project in Laos.

“What’s matter is not whether EdF will invest in the dam project. What we really need to know is when the project will be completed,” said Sitthiporn.

The Laos government had failed to inform EGAT when the project would be started and completed, Sitthiporn said.

“Without knowing the exact completion date of the project, it would be difficult to include the purchasing plan under EGAT’s Power Development Plan (2003-2016).

Thailand’s EGAT is one of buyers of power from the project. The contract for the Laos dam to supply EGAT with 995 MW of electricity for 25 years was due to be signed a day before EdF withdrew in July.

Sitthiporn said that no new signing date has been scheduled. EdF, whose chairman Francois Roussely came under fire from the French parliament for overseeing high-risk expansion, had announced in July that it would pull out its 35 percent share from the 10-year old scheme by December to consolidate its assets and focus on Europe.

The French government appeared to have reversed its decision after Roussely said last week that the government found the project feasible after a revision in its clauses.

EdF holds the largest stake in the project with Thailand’s Electricity Generating Plc and state firm Electricite du Laos each with 25 percent, with Thai construction contractor Italian-Thai Development holding a 15 percent stake.

Construction of the dam was expected to start next year and to be completed and begin operating commercially in 2009, Laotian officials said.

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