EGAT to sign contact for Mae Moh soil and coal excavation and transportation project (Contract No.8/1) after investigation finds no evidence of corruption
17 March 2025EGAT prepares to sign a contract with the winning bidder for Mae Moh soil and coal excavation and transportation project (Contract No.8/1) after the Ministry of Energy’s investigation found no evidence of corruption. EGAT will incorporate the recommendations to improve the procurement process and reaffirms its commitment to transparency and strict compliance with procurement regulations, aiming to ensure the highest efficiency in coal and energy cost management, with the benefit of the nation and its people as a top priority.
Mr. Thepparat Theppitak, Governor of the Electricity Generating Authority of Thailand (EGAT), revealed that EGAT is in the process of signing a contract for Mae Moh soil and coal excavation and transportation project (Contract No.8/1) after a fact-finding committee appointed by the Ministry of Energy found no evidence of corruption. The committee recommended that EGAT proceed in accordance with proper procedures and its legal authority. EGAT will also incorporate the recommendations from the Minister of Energy to further improve the procurement process.
The Mae Moh soil and coal excavation and transportation project (Contract No.8/1) remains necessary, despite the easing of the energy price crisis. The ongoing uncertainty due to the global conflicts makes electricity generation from Mae Moh Power Plant, Thailand’s lowest-cost power source, still essential to help maintain national electricity prices. Previously, EGAT had to utilize coal under the existing contracts (Contracts Nos.8 and 9) ahead of schedule, exhausting the coal supply before the contracts officially ended. This was done to accommodate the postponement of the decommissioning of Mae Moh Units 8–11 and the reactivation of Mae Moh Unit 4, which will continue operation until 2025. These adjustments aim to diversify the fuel mix for strengthening power system security, reduce dependence on imported fuels, and minimize the impact of rising electricity costs. If coal reserves for the rainy season run out, Mae Moh Power Plant will need to reduce its generation capacity. Therefore, it is necessary to expedite the new excavation and transportation contract to ensure an adequate coal supply and enable the plant to maintain full generation capacity continuously.
EGAT manages electricity generation at the Mae Moh Power Plant and coal resource for maximum benefits, while doing its utmost to ensure that there is no impact on the security of electricity generation or the country’s energy costs.