Natural gas demand for electricity generation to rise in 2010

BANGKOK, 3 January 2010 (NNT) – The demand for natural gas in electricity generation in 2010 is expected to increase by 3-4% year-on-year, according to the Energy Policy and Planning Office (EPPO) of the Ministry of Energy.

EPPO Director, Viraphol Jirapraditkul, stated that the amount of natural gas used this year would not be much different from 2009. However, the demand for natural gas for electricity generation was estimated to be 3-4% higher than last year following the expansion of the industrial sector, favored by the global economic recovery.

Nevertheless, Mr Viraphol admitted that the rising demand of Natural Gas Vehicles (NGV) would be another factor that increases natural gas consumption within the kingdom as well.

The EPPO director noted that the government planned to establish about 400 NGV gas stations nationwide in order to meet with the higher demand. He foresaw that more than 30% of the vehicles would likely be modified to the NGV system within five years.

Mr Viraphol added that the office would study the structure of NGV resources seriously this year by surveying the amount of gas reserves in the Gulf of Thailand for use in the planning of domestic production and imports from neighboring countries. The study is expected to start in August 2010.