Nonthaburi: RATCH Group Public Company Limited (RATCH) announces decommissioning of its Tri Energy combined-cycle power plant upon expiry of the Power Purchase Agreement (PPA) with Electricity Generating Authority of Thailand (EGAT) on 30 June 2020. This power plant with contractual 700 megawatt capacity fired by natural gas from Myanmar has supported strengthening reliability of the national power grid, especially in the western, central, and southern regions for two decades since 2000. The Company will afterwards precede the plant's asset valuation and dismantling, of which some equipment will be spared for parts of the RATCH Group's power plants. 250-rai area of the plant will be used for construction of the contractual 1,400-megawatt Hin Kong combined-cycle power plant.
Mr. Kijja Sripatthangkura, Chief Executive Officer of RATCH Group PCL, said that Tri Energy was an Independent Power Producer awarded from EGAT's bidding for power project in 1994 under Independent Power Producer (IPP) scheme. It started electricity generation and distribution to EGAT on 1 July 2000 abided by the PPA. In 2003, RATCH has partially invested in Tri Energy power plant, and later in 2014 the Company acquired the entire stake through Ratchaburi Electricity Generating Company Limited, its wholly-owned subsidiary. Along 20 years of operation, Tri Energy power plant has generated electricity as an infrastructure serving for the country's socio-economic development in conjunction with highly concerning and putting the best effort in environmental-impact management. Moreover, the power plant has endeavored to boost local economy and enhance the community's living quality through local employment, local tax payment, subsidy in Power Development Fund, as well as ongoing community development program responding local issues.
"Tri Energy power Plant has been recognized for the best practices of safety and environmental management in Asia Pacific, proven by national and regional safety awards taken consistently. Nevertheless, the plant designated to install the state-of-the-art technology for environmental management available at the time, adopted the international environmental management standards and the quality management system for operational excellence. Subsequently, the plant's emission of carbon dioxide and nitrogen oxide was limited and controlled at better level than the given legal standard. Concerning community responsibility, the power plant has undertaken ongoing since the beginning of the project development, highly focused on local hiring with an aim to boost local economy. Since the Power Development Fund established in 2007, Tri Energy has annually subsidized approximately 30-40 million-baht fund used for development people's living quality and environment in vicinity of the plant and also paid about 1-2 million-baht local tax yearly," Mr. Kijja said.
According to the PPA, Tri Energy Power Plant is permanently decommissioned on June 30, 2020. At present, the Company has already done the plant's asset valuation conducted by the external appraiser endorsed by the office of the Securities and Exchange Commission. It is now underway of the plant's asset liquidation and dismantlement, of which its timeline has to match with the land use plan of Hin Kong combined-cycle power plant. The plant's dismantlement process expects to be completed by mid of 2021.
"The company would like to express appreciation to the communities nearby the power plant, people of Ratchaburi and relevant agencies in all sectors for supporting Tri Energy power plant in accomplishing its electricity generation mission for the country's socio-economic development today. Hereafter, the Hin Kong combined-cycle power plant will take the mission moving forward along with developing local economy and community's living quality as well as taking well care of the environment," Mr. Kijja concluded.