On December 4 2012, Thailand's Energy Regulatory Commission (ERC) announced a solicitation for a total of 5,400 MW gas-fired IPPs, broken down into maximum of 1,250 MW in six capacity addition periods ending 2021-2016.
This is the third large tender of IPPs since EGAT lost its monopoly on electricity generation in 1992. In the 1994 solicitation, seven projects were awarded, six gas and one coal. In the 2007 solicitation, four projects were awarded, two gas and two coal. International lenders (including JBIC, ADB and commercial banks) played a big role in the project financing of some of these IPPs.
The 2012 solicitation is being conducted in the same transparent professional manner as the 2007 solicitation, largely through a MOE-managed website and electronic means. The deadline for registration of bidders was January 21, 2013. The deadline for technical proposals is April 29, following which the deadline for commercial proposals will be announced.
The TOR included model forms of EGAT PPA and PTT GSA, both on similar terms to those in the 2007 solicitation, except for the deletion of dispute settlement by international arbitration.
The 2007 model: EGAT PPA provided for ICC Rules of Arbitration; and model PTT GSA provided for ICC Rules of Arbitration. In the 2012 solicitation, the terms are: EGAT PPA provides for dispute resolution by xperts or the, subject to the right of either party to appeal to a court; and model PTT GSA provides for unresolved disputes not referred to an Expert to be submitted the a Thai court.
The official website for the solicitation is www.thailandpower2012.com