ERC: Bid winner can fulfil deal
The Energy Regulatory Commission (ERC) expects the outcome of the appeal filed by two power-plant operators - National Power Supply Co and NPS & Amata B Grimm Power Co - that did not pass the technical requirements for the 5,400MW Independent Power Produc
The court appeal should not affect contract signing with the bid winner, Gulf Energy Development Co, as there are still many negotiating stages before the final contract signing.
If the outcome of the appeal has a significant bearing on the situation, there is still time to make changes.
There is ongoing concern that Gulf Energy Development Co has already won the bid to solely supply 5,000 MW of power, as it raises the risk to national power stability should the company fail to deliver the contracted power supply.
However, the ERC has reviewed the financial and technical readiness of that Gulf Energy Development Co and says it is confident the company can fulfil its contractual obligations without problems.
As for public opposition to the construction of the power plant, or various potential natural disaster risks – each issue of concern must be reviewed on a case-by-case basis, provided the Gulf Energy Development Co complies with the required safety standards.
The power plant location can be changed if the public opposes it, but the power supply rates cannot be revised.
The two companies which failed to meet the technical requirements, were NPS (2 contracts) and B. Grimm Power (1 contract).
The bid winner, Gulf Energy Development, proposed the construction of a natural gas driven power plant (2 contracts), at 2 locations – Rojana Industrial Estate in Rayong and Hemaraj Industrial Estate in Chon Buri.
Both power plants proposed to sell 2,500 MW of electricity, or a total of 5,000MW at Bt4.2371 per unit, which is lowest offered rate relative to other bidders – Glow Energy Co and Electricity Generating (EGCO).
