Nov 16 - McClatchy-Tribune Regional News - Aranee Jaiimsin Bangkok Post, Thailand

The government's plans to increase electricity generating capacity should not be restricted to nuclear power, says economist Decharat Sookkumnerd.

Mr Decharat, an economics lecturer at Kasetsart University, urged the government to study non-nuclear options in its Power Development Plan.

Authorities have allocated 1.8 billion baht to look into nuclear energy.

Mr Decharat said that although nuclear energy seemed to be the most efficient type of power, an International Energy Agency (IEA) study pointed out that any plan must factor in risks of rising interest rates and costly nuclear waste treatment, in addition to costs for feasibility studies and construction.

Opportunity costs would also be a factor because nuclear startup costs are high compared to other types of power.

Nuclear power plants cost between US$1.5 million and $2 million per megawatt -- much more than co-generation construction costs of $500,000 per MW.

The Energy Ministry's study said that production costs of nuclear fuel are 2.08 baht a unit (kilowatt/hour), compared with 2.15 baht for coal-fuelled plants, 2.20 baht for natural gas, 2.50 baht for biomass, 7.50 baht for wind power generation and 15.20 baht for solar energy.

Mr Decharat argued that the figures were still uncertain because the study underestimated financial risks that could emerge over the next 13 years when construction is set to begin.

If the research had properly assessed risk, which is about 10 percent instead of only 5 percent at present, its production cost would be between 2.38 and 2.84 baht a unit, even higher than coal-fired and co-generation plants," he said.

He added that nuclear power plants could last 60 to 70 years, but that hazardous wastes would last 1,000 years.

"Personally, I dont think that nuclear will be the only best solution for the country. However, I accept that it can be an alternative for energy security in the longer term, said Mr Decharat.

He also suggested that the government set a target to curb power demand growth, "We should educate people seriously to consume energy in an efficient way. I don't want to curb our country's GDP growth, but if we consume power properly, it will help cut investment costs," he said.

The government is studying the pros and cons of nuclear power and whether a plant should be built in 2011.

Chavalit Pichalai, deputy director-general for the Energy Policy and Planning Office argued that the chances of developing more coal-fired plants were slim given the Thai public's opposition on environmental grounds. He also noted that reserves of natural gas were limited.

However, he agreed with Mr Decharat's suggestion that the country must be cautious in finding the best solution for future power needs.

The construction of four nuclear power plants with combined capacity of 4,000 megawatts was already in the PDP for 2007. The government needs to obtain public approval before 2011.

Under the PDP, two nuclear plants with a capacity of 1,000 megawatts each would be built by in 2020, followed by two with similar capacity in 2021.

Kamol Takabut, the director of mechanical engineering at the Electricity Generating Authority of Thailand (Egat), said Egat would be the sole investor in the four plants. It has selected 30 or 40 locations as potential plant sites.