MEA, PTT Hook Up for Power Generation
Jun 28 - Bangkok Post The Metropolitan Electricity Authority (MEA) and PTT Plc agreed yesterday to co-invest in a combined heat and power (CHP) system, hoping to supply both electricity and chilled water to customers in the power utility's service area.The preliminary agreement specifies the companies will develop CHP. They plan to use natural gas to produce electricity, and waste heat as a byproduct fuel to make chilled water for air-conditioning.
Both electricity and chilled water will be produced and distributed within the premises of customers in Bangkok, Samut Prakan and Nonthaburi, by distributed generation (DG).
This meets calls by the government to distribute electricity production sites, strengthen the stability of the power system, and reduce both the cost and leaks of power from transmission systems.
MEA's governor Chalit Ruengviset said the agreement called for MEA and PTT to form a 50:50 joint venture company. It came after a study at the premises of the Chaeng Watthana government office centre, the first prospective customer, showed the project was feasible.
MEA is responsible for CHP design, installation and maintenance for the customers. PTT is charged with marketing and procurement of natural gas.
DG was first used at the Suvarnabhumi International Airport, and the technology appears suitable for customers whose demand for electricity and cooling system lasts for 16 hours per day or more -- such as hospitals, hotels and textile mills.
Mr Chalit said CHP's investment cost at the Chaeng Watthana government office centre testbed was estimated at 500 million baht to generate 10 MW of electricity. The project is expected to be complete in 2008. Siriraj Hospital, Bhumibol Hospital and the Airport Rail Link Building will be the next customers.
Electricity rates from CHP will depend on the demand, and may equal or be cheaper than the existing bills, he said. He added that consumers would benefit because their power bills will be lowered significantly by use of CHP; the air-conditioning water is chilled from waste heat, reducing the fuel costs.