Energy agencies prepare for Myanmar’s gas supply disruption in April

Energy Minister Pongsak Raktapongpaisal called a meeting with related agencies this week to prepare to handle Myanmar’s gas supply suspension from April 4-12.
Myanmar plans to suspend natural gas delivery of 1.1 billion cubic feet per day to Thailand in order to repair drilling rigs at the Yadana gas field.
The meeting discussed measures to be put in place in case of an emergency, the minister said. Those measures include sourcing alternative fuel to offset shortfall and asking for cooperation from the public to reduce electricity usage.
Agencies concerned were instructed to reserve liquefied natural gas (LNG) imports. The possibility to resume operations of mothballed diesel power plants was discussed at the meeting, he said, adding that switching to fuel oil and diesel to produce electricity would increase costs. (MCOT)

 

Central bank brushes aside allocation from national budget

The Bank of Thailand (BoT) gave assurances last week that it is capable of managing its Bt530 billion budget deficit without having to touch the national coffers.

BoT Governor Prasarn Trairatvorakul emphasized the central bank’s role in maintaining the country’s economic and financial stability, saying that any evaluation of the BoT’s performance is based on the nation’s economic stability rather than on profit-making.
He said the accumulated Bt530 billion deficit was due to the central bank’s interventions in the appreciating Thai currency and losses from the 2 percent interest margin.
Such losses can be managed by the BoT without having to disturb money from the public’s taxes, he said.
Regarding conflicts with the Finance Ministry on policies about inflows of foreign capital, Prasarn said that different opinions are normal in every country and it is constructive as it leads to an understanding of all negative impacts.
Both the Finance Ministry and BoT are concerned with the capital movement which can lead to a financial bubble if it is excessive, he said.
Prasarn pointed out that low interest rates may lead to a bubble in the real estate sector and the stock market due to profit speculations while high interest rates may trigger profit speculations in the bond market.
“We have to make a balance, and the interest rate is not the only element that stimulates an inflow of overseas capital,” the BoT governor said. “Investors take several elements into consideration. In Thailand, sentiment is the most crucial risk factor for investment.”
He gave reassurances that the central bank is equipped with several levels of financial mechanism to stabilize the nation’s financial system. (MCOT)

Roses are red, buyers are blue over prices

Vittaya Yoondorn
For those truly in love, money supposedly isn’t an issue. Pattaya-area flower vendors obviously knew that when they jacked up prices for roses before the annual lovers’ day.
A central Pattaya florist said business kicked up even before the holiday arrived, with tourists and residents picking up artificial rose bouquets for 300 baht and teddy bear baskets starting at 2,600 baht. Fresh roses were going for 10-20 baht each.
Those rates didn’t last long. As Feb. 14 dawned, roses were fetching 80-120 baht each, leaving students and those with fewer baht to spend with heart-shaped boxes of chocolates or even postcards.
Rose prices were said to be the highest ever. Florists said demand has been equally high, with lovers taking pink roses and other flowers when the red ones went out of stock.