The vehemence and rancour
surrounding the Thai-Malaysian gas pipeline has threatened to
derail the project before even the first pipe has been laid. This
is unfortunate. Completing this project represents one of the best
opportunities we have to reduce our ruinous dependence on imported
oil and to maximise its use of the resources we have on hand.
A broad coalition of activists have banded together to oppose
the 364km pipeline and plans to build a gas separation plant in
the South. Some argue the project is an environmental disaster in
the making. Others say the Petroleum Authority has not been
particularly forthcoming about the ultimate cost of the project.
Several senators and other politicians have made vague charges of
corruption, alleging speculation involving prominent officials and
the planned site.
No doubt some of their concerns are valid. An independent
environmental assessment should be prepared to back up the PTT's
claims that the most modern safeguards and construction techniques
will be used. And, yes, greater dialogue with local communities is
needed to assuage fears and allow a reasoned debate on the issues.
But those same activists who charge the PTT of being less than
forthright about the project's ills can be said to be just as
guilty about its benefits.
Members of the Songkhla Chamber of Commerce say they remain
committed to the project and the 70 billion baht in projected
investment which would enter the southern provinces once it is
completed. Other southern provincial leaders have expressed a
willingness to take on the project and the investment funds if
Songkhla residents do not.
Policymakers should be guided by the needs and wants of the
public. But the responsibility of the government is to consider
the needs of all, not just those of any single group. It is
obvious that energy consumption will continue to grow as
industrial and economic development continues. But where will this
electricity come from, and at what price? The stark reality is
that each choice involves costs and benefits.
According to Egat, producing hydro-electricity is cheapest, at
0.3 baht per unit. But opponents argue that dams disrupt local
communities and destroy the environment. Supporters argue that
hydro-electricity generation does not depend on fossil fuels or
pollute the air. Dams also can play a key role in easing seasonal
flooding and helping support irrigation systems for farmers. The
debate goes on, but it seems unlikely that any new dams will be
built, not after the protests projects such as the Pak Moon dam
have generated. Next cheapest is coal, which runs at about 0.84
baht per unit. Coal can be sourced locally and currently accounts
for around 16% of total electricity generation. Yet civil groups
have protested against plans to build two new coal-fired plants in
Prachuap Khiri Khan province in the near South on environmental
grounds.
Then there's natural gas, the generating cost of which runs to
about 1.2 baht per unit. Convenient supplies are available in the
Gulf of Thailand, Burma and Malaysia. Unfortunately, delivering
gas from the pump to the plant in any practical quantity depends
on pipelines. Scratch natural gas, chant the protesters; pipes are
evil, they hurt trees, they are a blot on the landscape, they can
break at inopportune times.
What's left? Nuclear power is a non-starter, particularly after
the cobalt scare earlier this year. Solar power? Perhaps in
another generation or so; battery and solar cell technology
remains in its infancy and is hardly a cost-effective solution for
a developing economy.
That leaves imported oil and diesel. But are we truly ready to
pay the price? Is Thailand prepared to cede all control over
energy costs to the vicissitudes of the international markets? Is
this truly the path down which self-sufficiency lies?