LARGELY FUNDED

Thailand 2017 | INDUSTRY & ENERGY | COLUMN

TBY talks to David D. Doran, Partner & Chairman of DFDL, on the sector.

David D. Doran

What trends do you see in terms of PPP projects in Thailand and the region?

PPPs are best suited in countries where the government realizes it is necessary to invite the private sector to assist with projects. In Thailand, the government manages many sectors directly, with the exception of the energy sector, which it opened up to independent power companies through a bidding process. Even before the introduction of a formal PPP law, major road networks in Thailand were built by private-public consortiums and the MRT and BTS were largely funded by private companies.

How do you expect the launch of the AEC to affect your line of work?

I do not expect a significant impact arising purely from the AEC, except to the extent that it will increase economic activity and thus demand for electricity. With the AEC, there are incentives for companies to relocate their factories to one of the new special economic zones. Those areas need to come up with a plan to guarantee easy, affordable access to electricity for the long term. In that sense, the AEC is likely to increase the impetus for an integrated power grid across the region.