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PM reviews Laem Chabang expansion plan

Prime Minister Yingluck Shinawatra visits Laem Chabang Port to listen to expansion plans.

Staff Reporters

A 120 billion baht expansion of Laem Chabang Port presented last week to Prime Minister Yingluck Shinawatra would increase cargo capacity enough for 20 years and connect the Chonburi harbor to Myanmar’s main port.

Transport Minister Charupong Ruangsuwan outlined the three-year project, which calls for construction of a third wharf and twin rail tracks to connect to the northeast, during the premier’s visit to the port June 18. Yingluck will now consider how much funding the plan gets in the coming year’s budget.

Previously expanded twice, Laem Chabang now handles the equivalent of 5.6 million 20-foot containers a year. If the third phase is fully built out, the harbor could hand up to 18.8 million containers. Port Managing Director Chalermkiat Salukkum estimated traffic would increase to around 10 million containers after 2013, maxing out the harbor’s current capacity.

Under the expansion plan, a new 2 km wharf would be constructed. At 900 m. wide and 15 m. deep, the pier would be able to serve large vessels directly. However, the new pier will require land reclamation and officials need to gain the agreement of neighbors already agitated over traffic congestion and environmental impact of nearby industrial estates.

Three Chonburi committees are currently conducting environmental impact reports, but environmental groups are already aligning to oppose the project.

Business leaders, however, see port expansion as essential, not only to handle growing imports and exports, but lower costs as well. Poor roads and a lack of rail connections pose competitive disadvantages to the ports and cost shippers more.

The expansion calls for twin railway tracks to connect the port to Kaeng Khoi District in Saraburi province and Chachoengsao Province. It also includes expanding 2.6 km. of connecting roads from four lanes to six, extending an expressway to Laem Chabang and the construction of additional gates and billing stations.

Another key part of the plan is to connect Laem Chabang with the Burmese deep-water port of Dawei, where Thai companies are planning to populate a new industrial estate. Steel, coal and other raw materials could be sent from Myanmar while Thai exports bound for Europe could be transshipped in Myanmar for faster delivery. Currently, virtually all Laem Chabang export traffic is transshipped in Singapore, Malaysia or Hong Kong.

Opponents to the expansion will undoubtedly cite cargo growth statistics in their battle against expansion. Laem Chabang port has grown only 5.7 percent so far this year and passenger traffic has been up less than a percent. Automobile exports are also down dramatically. Port officials cited last year’s floods as the reason behind the slower trade.

Containerized imports and exports, however, are up about 38 percent.


 


German companies show off renewable energy in Bangkok

Dr. Ingo Winkelmann (2nd left) and Karl Heinz Heckhausen, president of the Thai-German Chamber (3rd from left) answer questions from interested visitors.

Elfi Seitz

Germany’s deputy ambassador led the sales pitch as 12 German companies showed off their wares at the Renewable Energy Asia Exhibition in Bangkok.

Ingo Winkelmann hosted the German Renewable Energy Day reception at the Bangkok International Trade & Exhibition Centre June 7.

The June 6-7 conference featured numerous German speakers, with the deputy ambassador taking the spotlight to highlight Germany’s pioneering role in renewable energy.

“In 2011, the government declared that Germany would be free of nuclear energy until 2022. But the most important goal is that, until 2050, at least 50 percent of the energy consumption will be borne by renewable energy,” Winkelmann explained. “This is not a utopian idea; in 2011 alone, 20 percent of energy used could have been provided by renewable energy sources in Germany.”
 


Former German chamber head hosts networking meet

Members of Parliament from Austria Dr. Wittmann (far left) and Anton Heinzl (far right); member of Thai-Parliament Prapunt Harnchai (2nd right) together with the hosts Peter Lampl (middle) and Stefan Buerkle (2nd left) give thumbs up to the meeting.

Elfi Seitz

The new executive director of Austria’s Lampl Consulting Bangkok opened the firm’s Bangkok headquarters to well connected Thais and Austrians to do some networking.

Stefan Buerkle, a former German-Thai Chamber of Commerce president, offered the business executives space at the Exchange Tower for their event recently.

Buerkle is considered well-connected himself and is seen as an asset for the consulting firm.
 


BOI approves 11 rehabilitation projects from last year’s flood

Thailand’s Board of Investment (BOI) on Friday approved rehabilitation privileges for 11 projects following last year’s flood, worth over Bt5.2 billion.

Industry Minister Pongsawat Svasti said the subcommittee met to consider flood-response investment promotions to boost restoration after the mega flood.

The 11 companies included Pepsi-Cola (Thai) Trading with a Bt2.3 billion business expansion as a new project in Ayutthaya; Thai Glico with a Bt250 million business expansion for snacks in Pathum Thani for higher domestic demand and exports; Nidec Machinery (Thailand) with a Bt3.8 million investment for machinery used in the electronics industry in Pathum Thani; and B.S. Kamiya for metal enameling in the autoparts industry with a Bt60 million investment at its same location in Ayutthaya.

Companies producing electronics and metal parts for hard disk drives were also approved. Shin-ei Precision (Thailand) at Bt327 million, and Section Technologies (Thailand) at Bt1.1 billion, both in Ayutthaya province.

Other firms approved were AGC Electronics (Thailand) for electronics glass components, getting an investment promotion of Bt890 million in Lamphun province, and metal manufacturing company Single Point Parts (Thailand) Plc, also for electronics products, was granted at Bt85 million investment value in Ayutthaya.

According to the Industry Minister, the panel previously approved six flood-affected investment projects with a total investment value of Bt4.4 billion, five at the same sites due to their confidence in the government’s water management plan.

Meanwhile, BOI Secretary-General Atchaka Sriboonrueng said the ministry and her agency had previously approved measures to help entrepreneurs affected by flood, including tax exemption for machinery imported to replace flood-ruined equipment.

She said another 42 investment projects damaged by last year’s flood await approval and 19 new projects in flooded areas also awaiting BOI’s green light.

Atchaka noted the recovery of the industrial sector is obvious. Over 400 projects were approved for importing replacement machinery after the flood, valued at Bt97 billion, while almost 80 projects with a total investment value of Bt41 billion, have applied for investment promotions under flood-assistance measures, and measures to aid infrastructure construction projects in industrial estates. (MCOT)
 


Minister orders probe of Suvarnabhumi power system failure

In an attempt to restore confidence among airlines and passengers following Thursday’s power system failure at Suvarnabhumi Airport, Transport Minister Jarupong Ruangsuwan on Friday ordered a probe into the incident with results to be concluded within 15 days.

The problem caused delays for 50 flights and forced 13 aircraft to land elsewhere - six flights at U-Tapao Airport, two each to Chiang Mai International Airport, Phuket International Airport and Malaysia’s Kuala Lumpur International Airport, as well as one at Cambodia’s Siem Reap International Airport.

The probe will be headed by Silpachai Jarukasemra, permanent secretary for transport, together with a special fact-finding committee, including experts.

“The investigation will examine causes of the incident, whether or not were related to technical glitches, accidents or human error, as well as providing short-, medium- and long-term measures to prevent any repetition of such a problem,” Jarupong said.

Meanwhile, officials from Aeronautical Radio of Thailand and Airports of Thailand have been assigned to thoroughly study the incident and draft emergency management procedures for their staff to deal with such an emergency.

The order came after Jarupong and Deputy Transport Minister Chadchart Sittipunt inspected the scene after the power supply from an uninterruptible power source (UPS) caused problems for radar controlling flights landing at the country’s main international airport, affecting operations of some 50 flights.

While experiencing the radar system failure, 21 flights were waiting, queuing to depart and take off at Suvarnabhumi Airport with the longest at 105 minutes, while 15 flights were in the air, queuing to land with delays of 30 minutes on average, while the longest delay was 71 minutes.

In a related development, Squadron Leader Prajak Sajjasophon, president of Aeronautical Radio of Thailand, admitted that such an incident occurred in 2008 when monitors of the closed-circuit television system experienced glitches.

The AEROTHAI chief explained that the latest incident resulted from the failure of the power supply from an uninterruptible power source which disrupted the electrical power used for the air traffic control for half an hour, causing a radar system failure for both Don Mueang and Suvarnabhumi airports.

As an initial solution, the officials applied the radio communication signal to manage the air traffic control in accordance with the emergency response plan.

The AEROTHAI president said that the life of the uninterruptible power source is seven years and that the UPS has been used for six years, admitting that some technical glitches which were beyond control might have occurred.

However, AEROTHAI has been improving the UPS system to 100 percent to prevent power failures which will be completed in August.

Following the incident, Suvarnabhumi Airport Director Somchai Sawasdeepon denied that airlines asked for compensation, saying that AoT has already made an explanation to the airline operators that the incident was beyond capability.

Meanwhile, the ongoing runway maintenance was expected to be completed by August 9, Somchai added. (MCOT)
 


HEADLINES [click on headline to view story]

PM reviews Laem Chabang expansion plan

German companies show off renewable energy in Bangkok

Former German chamber head hosts networking meet

BOI approves 11 rehabilitation projects from last year’s flood

Minister orders probe of Suvarnabhumi power system failure
 

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