Energy activists urge delay on exploration concessions

THURSDAY, OCTOBER 23, 2014
Energy activists urge delay on exploration concessions

A GROUP of activists campaigning for reform in Thailand's energy sector yesterday called on the government to delay the process of awarding new concessions for petroleum exploration and production.

The group, which includes National Reform Council (NRC) member Rosana Tositrakul, held a press conference at the Foundation for Consumers yesterday morning. 
The Partnership on Energy Reform, which is part of the group, said the Energy Ministry and relevant state agencies should provide sufficient information to the National Energy Policy Council before a new round of petroleum concessions was awarded. 
The activists said that without sufficient information, the council would make an inaccurate decision.
For example, they said the local consumption of oil was 1.58 million barrels a day, not 2 million as claimed by the relevant agencies.
The group also called for a review of the method used for awarding concessions in the exploration and production of petroleum in Thailand. It suggested that a system of production sharing, which was used in some countries, would ensure a fair share of benefits for the state.
It said the next round of concessions, the country’s 21st, should be postponed until the Petroleum Act of BE 2514 (1971) was amended as part of the ongoing reform of the energy sector.
The Energy Ministry and the National Energy Policy Council on Wednesday called for bids for petroleum concessions in 29 areas – both in the sea and on land. They cited the need for more energy |to meet the country’s expected shortage of natural gas by 2018. Rosana said the bidding should be delayed until the NRC agreed on how to reform the energy sector. The sector is part of the national reform of 11 areas mandated by the military junta. 
“We disagree with the hasty move in awarding concessions while the debate and conflict are still going on,” she said. 
“It is said the coup was done to solve the problem of unrest. It should not allow you to make decisions about the petroleum concessions. We call for a delay in this matter.”
She added that the government should also review the system of concessions.
Meanwhile, Boonyuen Siritham, president of the Federation of Consumer Organisations, said she was threatened by a group of soldiers after she submitted an petition to the prime minister at Government House on Wednesday calling for a review of the concessions and the reform of the energy sector. 
She said the soldiers threatened her at her home in Samut Songkhram. 
“They should not try to gag me with the martial law. What we are doing is for the benefit of our children and grandchildren in the future,” she said.