PEA clarifies on supply of electricity to border areas of neighbouring countries

 

Thailand's Provincial Electricity Authority (PEA) has reaffirmed that its electricity sales to Myanmar are conducted in strict accordance with a 1996 Cabinet resolution, which authorises the supply of electricity to border villages of neighbouring countries.

 

Speaking at a press briefing, PEA deputy governor and spokesperson Pradit Fuangfoo, accompanied by deputy governor Prasit Chanprasit, emphasised that the authority's operations adhere to established protocols and inter-state agreements. 

 

He clarified that electricity sales to Myanmar generate approximately 800 million baht annually, constituting less than 0.2% of the PEA's total revenue of 600 billion baht.

 

 

Pradit explained that the 1996 Cabinet resolution permits electricity exports to neighbouring border villages without requiring further policy approvals, provided the PEA reports to the National Energy Policy Committee.
 

 

The PEA currently supplies electricity to Myanmar through five connection points operated by various concession holders:   

• Mon state: Ban Chedi Sam Ong to Payathonzu City (operated by Mya Pan Investment and Manufacturing Company)
• Shan state: Two connections to Tachileik City - one from Ban Muang Daeng and another via the Thai-Myanmar Friendship Bridge (both managed by Allure Group)
• Karen state: Two connections to Myawaddy (operated by a consortium including Nyi Naung Oo Company, Enova Grid Enterprise, and Shwe Myint Thaung Yinn Industry & Manufacturing Company)

 

Recent events have raised security concerns. In 2023, the Myanmar embassy in Thailand requested the suspension of power supply to two locations in Karen State. Subsequently, in 2024, a third supply point in Tachileik was terminated due to outstanding payments.   

 

"Our jurisdiction has clear limitations. We cannot conduct investigations within Myanmar. We rely entirely on authorised government agencies on security matters," Pradit said. 

 

 

He said the PEA had formally requested Myanmar officials, through diplomatic channels, to ensure the proper regulation of power distribution at the supply points.

 

The PEA is currently revising its international power purchase agreements, with draft modifications currently under review by the Office of the Attorney-General. The revised agreements will include stricter verification procedures for power resale, particularly concerning usage by educational and religious institutions.

 

Suspending power supply presents significant technical challenges.

 

"When issues arise, such as suspected illegal power usage, we are often forced to cut off entire power lines, inevitably affecting legitimate users," Pradit explained. "This creates diplomatic and humanitarian concerns that require careful consideration."

 

Beyond Myanmar, the PEA supplies electricity to Cambodia through nine connection points (216 million units) and Laos via four points (630,000 units). The authority's total domestic and international power supply amounts to 170 billion units, generating annual revenue of approximately 600 billion baht.

 

 

The PEA has scheduled discussions with security agencies for early February 2025 to address ongoing concerns and develop more robust monitoring and control measures for power supply to Myanmar. These measures will aim to enhance security while ensuring the continued provision of essential electricity to border communities.

 

All international supply arrangements are reviewed every five years, allowing for necessary adjustments to address evolving security and economic conditions. The PEA maintains that its border power supply programmes, though only a small portion of its overall operations, play a crucial role in regional development and diplomatic relations.