Showing posts with label Ch. Karnchang. Show all posts
Showing posts with label Ch. Karnchang. Show all posts

Monday, August 20, 2012

Battle for the Mekong Heats Up

Laos’s Xayaburi dam project faces opposition throughout the region over its ecological impact.
Mekong-440x330
The Mekong, a precious jewel of Southeast Asia, has become a critical battleground between hydropower dam projects and the survival of the world’s greatest freshwater fisheries.
The future of this 4,880 km (3032 miles) long river may well be decided by what happens to the Xayaburi mega-dam project in Laos, the first of a cascade of 11 dam projects on the lower Mekong.
Ame Trandem from the NGO International Rivers explained that, “The Mekong River is the lifeblood of Southeast Asia, feeding and employing millions of people. To move forward with the Xayaburi Dam would be reckless and irresponsible, as the dam would fatally impact the river's ecosystem and fisheries.”
In spite of repeated reports that the Xayaburi dam project had been suspended pending further scientific studies, a recent visit to the dam-site has suggested that the Lao government has not bowed to international pressure. As a World Wildlife Fund analysis recently warned, “Construction work is marching ahead at the Xayaburi dam site in northern Laos and risks making a mockery of the decision last December by Mekong countries to delay building the dam on the Mekong mainstream.”
In December 2011 the four-member nations of the Mekong River Commission – Cambodia, Laos, Thailand, and Vietnam –agreed that no dams should be built until further scientific studies of the negative impacts on all the riparian countries had been completed.
Scientists have warned that if the 11 dams are built it could bring on an ecological disaster that harms many of the 877 Mekong fish species. Furthermore, it is the uninhibited flow of the Mekong through the heart of Southeast Asia and the river’s bountiful natural resources that guarantees 65 million people’s food security.
Although Cambodia and Vietnam are determined to stop the dam, everything indicates that the Thai developer Ch. Karnchang and the Lao People’s Democratic Republic (PDR) are equally determined to build it. In this context, a failure to resolve the dam issue could also trigger a major diplomatic row among the Mekong nations, undermining the credibility of the MRC and disrupting international cooperation along the region’s most important waterway.
“The Xayaburi Dam will trigger an ecological crisis of tremendous proportions. We urge the Prime Ministers of Laos and Thailand to show leadership by cancelling this project,” Shalmali Guttal of Focus on the Global South, a member of the 263 coalition of NGOs from 51 nations said in a statement condemning the damn.
In response to this opposition, Lao Foreign Minister, Thongloun Sisoulithmade announced during last month’s ASEAN FM summit that his country was suspending work on the Xayaburi dam until further studies on its impact could be done. Although opponents of the dam welcomed Vientiane’s announcement, they soon were disappointed.
Soon after the Lao government’s announcements, a number of diplomats, MRC officials, experts, and donors visited Laos to see the site. After the visit some MRC observers then asserted that, “the project is in an advanced preparation stage with exploratory excavation in and around the river completed.”
Similarly, International Rivers concluded in their own unofficial investigation of the dam-site in June, that, “the dredging and widening of river has already taken place.”
Meanwhile back in Bangkok, Ch.Karnchang, the Thai developer of the US$3.8 billion project, said the dam was going ahead with no delays in the original timetable.
Initial construction has evidently started, however. Has the Laotian government then reneged on its international commitments? 
Deputy Minister for Energy and Mines Viraphonh Viravonghas denied any violation of the MRC agreements. Instead he contended that all the construction done so far falls under the rubric of “preparatory work,” noting that the construction “does not involve permanent structures” and instead is mostly about building makeshift housing for construction workers.

Source:  August 02, 2012 by Tom Fawthrop

Wednesday, July 11, 2012

Laos protests innocence as Mekong concerns snowball

Laos protests innocence as Mekong concerns snowball

Date: 
 July 10, 2012
crossing the mekong
The deputy energy minister of Laos denies his country has ignored agreements with neighboring countries over the building of the controversial USD3.5 billion Xayaburi hydropower dam on the Mekong River.
The project – and others planned for the Mekong and its tributaries – has come under fire from activists, people living along the river and some neighboring countries because of what they saw as an inadequate environmental impact assessment.
Late last month the NGO, International Rivers, published an investigative report saying that Thai construction firm Ch Karnchang Pcl, the main developer of the 1,260 megawatt dam, was continuing with work on the project despite a Laos agreement last December to suspend it.
The deputy minister, Viraphonh Viravong, argues the government had kept its promise, although he admits geological sub-surface surveying was being carried out in the Mekong valley.
"We plan to invite development partners and Mekong River Commission member countries to visit the project site so they can see the actual development for themselves," he told the Vientiane Times daily. "The Xayaburi project will develop one of the most transparent and modern dams in the world."
Another study published in January warned that if 78 hydropower dams scheduled for construction along tributaries of the Mekong River go ahead, they will permanently block critical fish migration routes, with "catastrophic" implications for the world's biggest inland fishery. The authors, writing in Proceedings of the National Academy of Sciences, noted that their paper was the first strategic analysis of these tributary dams.
Around 60 million people in China, Myanmar, Laos, Thailand, Cambodia and Vietnam live along the banks of the Mekong and tributaries and many rely on fish for their livelihoods and food.
Mekong map of dams
The authors made a detailed study of 27 dams where construction is planned between 2015 and 2030, to better understand implications for fish biodiversity, food security and hydropower in the Mekong River Basin. They found that the facilities would stop fish from migrating "between the river's downstream floodplains and upstream tributaries".
Co-author Eric Baran, a scientist at the WorldFish Center in Cambodia, said the lower part of the Mekong basin produces nearly 770,000 tons of fish per year – as much as the combined freshwater catch of Europe and South America.
He said the "ambitious development agendas" of countries in the Mekong region, which include plans for rapid dam construction, could threaten the food security and livelihoods of 70 per cent of the basin's residents.
Xayaburi and other planned projects to dam the mainstream of the Mekong are subject to review by the Mekong River Commission, an advisory body founded by the four lower Mekong countries in 1995 to promote sustainable development along the river.
Plans to dam the Mekong's tributaries, however, are not currently subject to multilateral scruitiny. While most of the planned tributary dams will be built in Laos, the authors of the study say effects on fish biodiversity and availability would also be felt in Cambodia and Vietnam.
In addition, the Lower Se San 2, a controversial dam planned for a tributary in Cambodia, would have "highly detrimental" impacts on fish productivity, and could increase to 85 the number of endangered of fish species in the basin system — up from 9 during the last count in 2000 — and similarly increase the number of critically endangered species to 6, up from 1 in 2000.

Monday, June 4, 2012

Xayaburi study questioned



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A road leading to the proposed dam site in Xayaburi province, Laos, was constructed last year. Photograph: Bangkok post
A study the Lao government has used to claim the Xayaburi dam would be harmless if redesigned has been criticised for not addressing concerns about the project’s effect on fish in the Lower Mekong river.

Lao Vice Minister of Energy and Mines Viraponh Viravong was reported as saying last week that a redesigned Xayaburi dam in northern Laos would allow a steady flow of sediment downsteam, thus allaying environmental concerns.

“First, we hired … Poyry to do the impact study, but people were not satisfied with that. And now we have hired a French company,” he told Radio Free Asia. “This study … confirms that if the Lao government wants to let the dam be redesigned, there will be no impact on the environment.”

Viraponh Viravong did not name the study’s French authors, but conservation groups said Laos had commissioned Compagnie Nationale du Rhone (CNR) to review Poyry’s 2011 study.

Marc Goichot, sustainable hydropower manager for WWF-Greater Mekong, said CNR failed to address concerns about potential effects on fish in the Lower Mekong.

“WWF’s understanding is that the scope of the CNR review is limited to hydrology, sediment and navigation impact,” he said. “Questions about fish and fisheries raised in response to the Poyry report have not yet been addressed.”

International Rivers Southeast Asia programme director Ame Trandem said the new report was a “meaningless” attempt to woo fellow Mekong River Commission member countries.

“While Poyry sidestepped sci­­ence on the dam’s fishery impacts, the new CNR review deliberately omits the dam’s fishery impacts,” she said. “Until the transboundary impacts of the project are assessed, Laos has no basis for claiming this dam is sustainable.”

The four MRC member states – Cambodia, Thailand, Vietnam and Laos – agreed in December that the 1,260-megawatt could not proceed until further studies assessed its potential impact.

Japan last month agreed to help fund a study with MRC’s other development partners.

Thai developer Ch.Karnchang said last month that construction had begun on the dam – the first of 11 along the Lower Mekong – on March 15. Laos agreed early this month to suspend construction.

Viraponh Viravong and CNR could not be reached yesterday.

Monday, 21 May 2012 by Shane Worrell
Source: http://www.phnompenhpost.com/index.php/2012052156277/National-news/xayaburi-study-questioned.html

Wednesday, May 2, 2012

Xayaburi opposition escalates in Thailand

Criticism of the controversial Xayaburi hydro dam project in northern Laos is mounting in Thailand – the country set to enjoy most of the electricity if the project is completed.

Representatives from 130 Thai civil-society organisations yesterday published a statement backing a report that outlines an alternative power plan to the 1,260-megawatt dam project on the Mekong River.

The Power Development Plan 2012, produced by Thai energy experts Chuenchom Sangasri Greacen and Dr Chris Greacen, was presented to the Thai government last week.

According to a statement by International Rivers, the report states that power from the Xayaburi dam is not needed to meet Thailand’s energy needs and calls for investment in renewable energy and other alternatives, which could reduce electricity bills by “12 per cent” by 2030.

“Thailand’s energy planning process is in a state of crisis. Persistent over-forecasting of energy demand has led to over-investment and onerous economic burdens on consumers,” Ms Greacen is quoted in the International Rivers statement. \

“This new power plan identifies barriers and offers realistic energy solutions, which will bring social, economic and environmental benefits to Thailand.”

Thai development firm Ch.­Karnchang announced on April 17 it had begun construction work on the dam on March 15.

This announcement came despite Mekong River Commission member states Cambodia, Laos, Thailand and Vietnam agreeing in December that a study of the dam’s potential harm to the Mekong River and its communities must be carried out first.

Source: http://www.phnompenhpost.com/index.php/2012050155887/National-news/xayaburi-opposition-escalates-in-thailand.html

Wednesday, April 25, 2012

Downstream Mekong residents rally against Xayaburi Dam


Downstream Mekong residents rally against Xayaburi Dam

Residents from eight provinces along the Mekong River gathered yesterday outside the headquarters of the construction firm Ch Karnchang and Siam Commercial Bank to protest against the companies' role in the construction of the Xayaburi Dam in Laos.


The 810metres long and 32m high dam would be located in mainstream Mekong about 150 kilometres downstream of Luang Prabang, and be capable of producing 1,260MW of electricity. It will also include a 49squarekilometre reservoir storing 225 million cubic metres of water.

Conservationists say that this dam would have a negative impact on the environment and adversely affect people's livelihoods, notable those living downstream of the river. They said the fishing industry would be badly affect as the migration of fish would be blocked and many fresh water species endangered.

After a meeting with the Mekong River Commission (MRC) in Siem Reap last December, leaders of lower Mekong countries, namely Laos, Cambodia, Thailand and Vietnam, decided to halt the dam's construction and seek more studies on its environment and social impact.

However, Thai construction firm Ch Karnchang told the Stock Exchange of Thailand last week that it had signed a Bt 51.8billion construction contract with Xayaburi Power, a company that has obtained a concession from the Laos government.

Yesterday, civic groups and conservationists from provinces along the Mekong gathered to demand that Ch Karnchang halt its construction until the MRC completes its study.

The protesters came from Chiang Rai, Loei, Nong Khai, Beung Kan, Nakhon Phanom, Mukdahan and Ubon Ratchathani.

They also demanded that Siam Commercial, Krung Thai, Kasikorn and Bangkok Bank stop financing the project, and called on the Electricity Generating Authority of Thailand to scrap its purchasing contract with the Xayaburi project. It also wants the SET to scrutinise the deal.

The protestors said they would hold a protest against the Xayaburi project again next month in Phuket, where the MRC is scheduled to meet to discuss the management of the river. Prime Minister Yingluck Shinawatra will preside over the conference, which will include executives of rivermanagement bodies from around the world as well as experts.

The conservationists said that after holding the protest in Phuket, they would lodge a petition with the Administrative Court to demand that the project be scrapped because it would affect Thai people living along the Mekong.

Source: http://www.nationmultimedia.com/national/Downstream-Mekong-residents-rally-against-Xayaburi-30180635.html

Mekong plans anger riverside communities


Villagers protest against Xayaburi dam in capital 


Villagers from along the Mekong River have rallied in front of giant construction firm Ch Karnchang, demanding it immediately suspend building the Xayaburi dam on the waterway.

Protesters from eight provinces along the MekongRiver rally in front of Ch Karnchang’s Din Daeng headquarters yesterday,demanding the Xayaburidam projectbesuspended. THITIWANNAMONTHA
The protest was held in front of the company's headquarters in Bangkok yesterday, coinciding with the company's shareholders meeting.

Last week CK informed the Stock Exchange of Thailand that it had signed a contract with Xayaburi Power Co to build the 51.8 billion baht dam in Laos and to purchase 1.28 gigawatts of power from the dam.

The construction commenced on March 15 and is due to be completed in eight years, according to the company's report.

Dozens of villagers and representatives from the Living River Siam organisation, which campaigns for local communities' rights to their water resources, accused CK of defying the Mekong River Commission's resolution last December that the dam needed further study over its environmental impact.

Laos, Thailand, Vietnam and Cambodia are on the commission.
"We are calling for Ch Karnchang to immediately suspend the Xayaburi construction until the commission's study is completed," the protesters said in a statement.

They also claimed that the Electricity Generating Authority of Thailand (Egat) had signed a power purchase agreement with the Xayaburi developer even though the project has not been officially endorsed.
"We are preparing to file the petition against Egat with the Central Administrative Court soon. A petition has also been held carried out for the planned lawsuit," said protest leader Pianporn Deetes.

The demonstrators came from Chiang Rai, Loei, Nong Khai, Bung Kan, Nakhon Phanom, Amnat Charoen, Ubon Ratchathani and Mukdahan. They wore black T-shirts with the phrase "No Dam on Mekong River" written on them and carried effigies of Mekong fish species which they said would be affected by the dam.
The group also marched to the headquarters of Siam Commercial Bank, which they said is among four Thai banks providing loans to the project. The other banks involved in lending are Bangkok Bank, Krung Thai Bank and Kasikornbank.

They called on the banks to terminate loan agreements for the project and urged the Stock Exchange of Thailand to look into good governance issues with the listed companies involved in the dam project.
"If Xayaburi leads to disputes between Thailand and neighbouring countries, do Ch Karnchang and the banks have the capacity to handle that?" Living River Siam director Teerapong Ponum asked.
CK chief executive Plew Trivisvavet said the 1,280 megawatt Xayaburi project is a run-of-river dam which will have a limited environmental impact.

The project has conducted public hearings and has been agreed upon by all Mekong nations including Vietnam, which was reported to have been strongly against the plan, he said.
"All concerns regarding the environment were taken into account in the project's design and environmental study," he said.

Xayaburi Power, in which CK holds a 30% stake, has already signed the power purchase agreement with Egat and loan agreements worth 85 billion baht with six banks, he added.
Three thousand residents at the construction site have already been relocated to a purpose-built community.

Source: http://www.bangkokpost.com/news/local/290301/mekong-plans-anger-riverside-communities

Wednesday, April 18, 2012

Xayaburi Dam Building Pact Signed


Plans move ahead for Laos's controversial hydropower project on the Mekong.

Photo appears courtesy of International Rivers

A caterpillar works on the access road to the Xayaburi dam in Laos in an undated photo.
In a controversial move, a Thai company has signed a nearly $2 billion-dollar contract for the construction of a dam on the Mekong River in Laos even though governments in the region have not cleared the project.
Ch. Karnchang informed the Thai stock exchange Tuesday it had signed a 52 billion baht (U.S. $1.7 billion) contract with Xayaburi Power Co. Ltd., a Lao-Thai joint venture, to build the project, Thai media reported.
The Xayaburi hydropower dam would be on the lower part of the Mekong River, and environmental groups say it would affect the lives of millions in the region.
The latest contract says construction on the dam will begin on March 15 next year and be completed in eight years.
In December, Laos had shelved plans for the dam pending further environmental assessments, following a meeting by the Mekong River Commission (MRC),  a regional body of Southeast Asian countries that share the river.
Leaders from Laos, Cambodia, Thailand, and Vietnam agreed further study was needed on the sustainable management and development of the river before the Xayaburi project could continue.
Despite the delay, Lao energy officials have remained committed to the project, which costs a total of U.S. $3.8 billion, Bounthuang Phengthavongsa, director-general of the Energy and Mining Ministry said in January.
“We want to build this dam and we will try hard to do so. Our intention and our hope is that in the end we will be able to build it despite all opposition,” he told RFA.
Laos has planned 70 hydropower projects on its rivers and officials have said it hopes to become “the battery of Asia.”
It is not immediately known whether the Lao government had been officially informed by the companies that signed the contract.
Preliminary construction on the project, including work access roads and a work camp, has picked up in recent months, according International Rivers, a U.S.-based environmental NGO.
"Laos has not clarified if construction on the Xayaburi Dam will stop while the study takes place. Legally, Laos may not proceed with construction until all four governments have agreed. Practically, allowing construction would undermine the study," the group said.
A large number of workers have been employed for a two-year period to construct access roads and facilities for the project, it said.
High stakes
Critics of the Xayaburi dam, which would provide 95 percent of its electricity to Thailand, say that damming the Mekong threatens to destroy the ecology of the river, disrupt the livelihood of riparian communities, and jeopardize the food security throughout the region.
“The government should take care of the environment too, at the same time as developing the economy,” a resident in the Lao capital Vientiane said.
Mekong dams have faced stiff opposition from environment activists, who say the fate of the Xayaburi project will affect future decisions on the 11 other dams planned on the mainstream part of the Lower Mekong.
"The ecosystem is already changing, and now the dam will be built on Mekong River. The Xayaburi dam will be the first; of course it will affect the ecosystem the most,” a Thai resident who lives near the Mekong said.
“If the Xayaburi dam can be built, so will 12 others. I think that is a big concern," he said.
The Stimson Center, a U.S.-based think tank, applauded Laos’s postponement of the Xayaburi project last year, saying it was the first time a Mekong country had made a decision about a mainstream dam based on the impact beyond its borders.
The Xayaburi project is the Mekong River Commission’s “biggest test” since its establishment in 1995, the think tank said in a report in March, and warned that dams on the river could have a harmful impact on the entire region.
“The negative impacts on food security, livelihoods, water availability, and water quality have the potential to jeopardize the region’s hard-won peace and stability,” it said.
Reported by RFA's Lao service. Translated by Max Avary. Written in English by Rachel Vandenbrink.

Tuesday, March 6, 2012

Thailand defies neighbors on contentious Xayaburi dam



According to an environmental green group, the government of Thailand is defying a regional decision-making process by proceeding with the implementation of a controversial USD3.8 billion hydropower dam project in northern Laos.
At a December meeting of the Mekong River Commission ministers from Cambodia, Laos, Thailand and Vietnam agreed to delay a decision on whether construction of the controversial Xayaburi Dam in Laos should proceed, pending further environmental impact studies. As of last month those studies had not even been funded but, according to International Rivers, the Thai Government is pushing ahead with the project.
"Recent oversight hearings by the Thai Senate and the National Human Rights Commission confirm that the government has joined Laos in concluding that the regional process is complete, thereby allowing Thai developer Ch. Karnchang to proceed with construction," the group said in a statement.
"The Thai government has ignored the agreements made last year amongst the four regional governments and the concerns expressed by Cambodia and Vietnam. With more than eight provinces in Thailand at risk from the Xayaburi Dam's transboundary impacts, the state has also disregarded its duty to protect its own people from harm.  It's irresponsible to push forward with this dam, when the project's impacts on Thailand have yet to be adequately studied," said Pianporn Deetes, Thailand campaign coordinator for International Rivers.
In a letter dated 30 January 2012, the Thai Minister of Energy Arak Cholthanon informed the Senate Committee on Corruption Investigation and Good Governance Promotion that "the Ministry of Natural Resources confirms that the Prior Consultation process has completed."
Minister Cholthanon further stated that "EGAT [the Electricity Generating Authority of Thailand] and the Xayaburi project developer have signed the PPA [power purchase agreement] on 29 October 2011."
Thailand has not disclosed the power purchase agreement to the public.
On 21 February 2012, the National Human Rights Commission of Thailand organized a public hearing on the Xayaburi Dam after receiving a complaint from Thai communities in eight provinces.
Several Thai government officials testified about their involvement in the project, including representatives from EGAT, the Ministry of Energy, and the Energy Regulatory Commission. Five Thai companies also testified about their involvement, including Thai project developer Ch. Karnchang and investors from Krung Thai Bank, Bangkok Bank, Kasikorn Bank, and Siam Commercial Bank.
The hearing confirmed that the four Thai banks have already provided financial support for the Xayaburi Dam.
In a resolution on 15 November 2011, the Thai Cabinet granted permission to state-owned Krung Thai Bank to invest in the project. When the Commission asked about the steps they took to examine the project's environmental and social impacts, however, the banks were not able to provide detailed information.
Although the Xayaburi Dam site is located in Laos, Thailand is building and financing the project. The Thai government plans to purchase 95 percent of the electricity, although an independent study has already concluded that the Xayaburi Dam's electricity is not needed to meet Thailand's demand for energy in the coming decades.

Source: http://www.cleanbiz.asia/story/thailand-defies-neighbors-contentious-xayaburi-dam

Wednesday, December 14, 2011

Xayaburi in hot water


Concerns are mounting that the US$3.7-billion Xayaburi Dam cannot proceed after the four-member Mekong River Commission delayed the project pending further environmental study.
Analysts said the decision at last week's MRC meeting disappointed the Thai market and raised concerns about the outlook of Ch. Karnchang (CK), Thailand's No. 3 construction company by value and the project's developer.
In a joint statement released after the meeting, the commission said Laos, Cambodia, Vietnam and Thailand would ask the Japanese government and other international partners to help assess the impact of planned hydropower dams on the Mekong.
Chaiyatorn Sricharoen, an analyst at Bualuang Securities, sees the possibility of cancellation.
"Although the management of CK has remained confident that the project can go ahead," he said, "we have started to see that the ecosystem and sustainability of the lower Mekong have more weight than the benefits of selling the electricity from the dam."
According to Bualuang, the US Congress, which has influence on the MRC, seems to be opposed to Xayaburi for its possible impact on the environment.
More than 90% of the electricity from Xayaburi, with its capacity of 1,285 megawatts, would supply Thailand. The project is scheduled for commercial operation in early 2019.
CK owns a 57.5% stake in Xayaburi, with PTT Plc and Electricity Generating Plc holding 25% and 12.5%.
Nat Panassutrakorn, an analyst at KGI Securities, said the MRC resolution surprised the market and raised uncertainty about the viability of the project.
"Although the Laotian government has the final say," he said, "there is a political effort behind the scenes and development of Xayaburi is critical to the rest of the planned dams along the Mekong River."
The Xayaburi Dam, in northern Laos, is the first of 11 dams planned for the lower Mekong. Some 60 million people depend on the river and its tributaries for food, water and transportation.
"Currently, it depends on how much the information to be found by the Japanese side can back up the project," Mr Nat said.
CK executives could not be reached for comment. But SouthEast Asia Energy, the company overseeing the engineering works, reaffirmed that the possible impact to the environment was taken into account in CK's study presented to the Laotian government.
"It seems to me that the MRC decision does not directly mention further study of Xayaburi, but the general Mekong River," said Somkuan Watakeekul, SEAN's managing director. "The study we did covers all the concerning aspects, and we invest a lot to minimise environmental impact."
CK shares closed Tuesday at 7.70 baht, up 5 satang, in trade worth 41 million baht.

Source: http://www.bangkokpost.com/business/economics/270662/xayaburi-in-hot-water