Annual Report 2012 by Electricity Generating Authority of Thailand

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Content

Vision and Mission Statement Financial Overview Message from Chairman Report of the Audit Committee Economic and Electricity Overview Operations Nature of Business of EGAT and Affiliates Analysis of Operating Results and Financial Status Enterprise Risk Management Organization Chart Structure of Organizational Management Board of Directors Executives Corporate Governance Official Information Act Compliance Report Power Development and Future Plan Organization and Human Resource Development Corporate Social Responsibility Events Key Statistical Data Auditorâ&#x20AC;&#x2122;s Report Financial Statements Audit Fee

2 3 6 8 10 12 18 22 30 34 36 46 60 68 76 82 94 98 104 118 124 126 196

Vision

EGAT aims to become a world-class organization in electricity business with commitment to the following 5 aspects: • Good Corporate Governance • High-Performance Organization • Operational Excellence • National Pride • Financial Viability

Mission

• To generate, acquire, transmit, and sell electricity • To conduct electricity-related businesses and other businesses related to EGAT’s activities including production and sale of lignite and lignite by-products

Core Culture

• Loyalty • Excellence • Integrity

Strategic Themes

• • • •

Strengthening competitiveness in core businesses Building growth in subsidiary companies and related businesses Being a caring organization and due care for society and environment Being a high-performance organization

Financial Overview

(Consolidated Financial Statements) Unit : Million Baht 2012 2011

Operating Performance

Revenues from sales and services

Income from sales and services

Gains (Losses) on foreign exchange

Finance costs

Net income - EGAT and subsidiaries

Net income - Non-controlling interests

Financial Status

512,991.89

418,445.19

39,788.46

35,846.85

634.43

(652.18)

5,343.21

5,341.69

38,791.67

31,822.65

4,480.15

2,433.01

Total assets

534,121.76

496,977.04

Land, buildings and equipments - net

268,284.91

272,823.25

Total liabilities

208,316.15

194,773.93

Long - term debts

92,764.34

106,669.22

Equity and Non-controlling interests

325,805.61

302,203.11

Financial Ratios

Ratio of gross profit to net sales

11.21%

12.42%

Ratio of net profit to net sales

8.44%

8.19%

Rate of return on assets

8.39%

7.09%

Debt to equity ratio (Times)

0.64

Time interest earned (Times)

9.26

7.76

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Realizing the importance of restoration of forests and water sources, EGAT has been participating in various reforestation projects continuously since 1994 such as “Reforestation Project in Commemoration of His Majesty the King”, “Tree Planting around Our Father’s Home”, and “Planting Seedlings to Conserve Forest in the Watershed Area Project in Commemoration to His Majesty the King’s 84th Birthday Anniversary”. These projects could restore an area of 400,000 rai of forest consisting of more than 56 million trees. Under the project “Headwaters Reforestation Project at Sirikit

Dam in Commemoration of the 80th Birthday Anniversary of Her Majesty Queen Sirikit” which was launched in 2012 and would

continue until 2013, 2 million saplings were planted in an area of 10,000 rai to reforest the watershed area so as to restore fertility to the land contributing to ﬂood mitigation and global warming reduction. The project responded to Her Majesty the Queen’s determination in sustainable conservation of soil and forests of the country.

Message from Chairman Being a major entrepreneur in electrical industry in Thailand, a significant mission of EGAT is to strengthen the organization so as to maintain, not only energy security of the country and its electricity-related businesses, but also high performance of organization to increase the potential in energy and the competitiveness of Thailand. An important strategy in enhancing the growth of EGAT is to synergize its affiliates under the concept “Growing Together and Synergy for Future”. With the capability and the expertise of EGAT personnel who have been well trained continuously, I am confident that EGAT and the affiliates will be in the forefront in energy business at the national, regional, and international levels. The energy preparedness for the upcoming ASEAN Economic Community (AEC) in 2015 is a great challenge for all ASEAN members, as energy is an important basis in the economic and social development. The International Energy Agency (IEA) forecasted that economic and social growth of ASEAN would result in an increase of 4.4 percent per year in the average rate of the final energy consumption in the region until the year 2030 which was 1.4 percent higher than the global average rate. However, despite the fact that ASEAN has diverse energy resources including oil, coals, and renewable energy; only 160 million people out of the 567 million people in ASEAN still find electricity out of reach. Most of these people live in remote areas without electricity. The ASEAN interconnection of electricity grid system known as the ASEAN Power Grid is a project in the ASEAN Vision 2020. The project was started, originally, under the bilateral framework between neighboring countries and has been extended to connect all ASEAN countries. The Power Grid will enable each ASEAN country to save its capital investment for building its own generating facilities and transmission system, to cope with energy expansion, and to enhance energy security of ASEAN as a whole. For Thailand and neighboring countries, the completed transmission interconnection is the transmission system between Thailand and Lao PDR and between Thailand and Malaysia. Today, through the Power Grid, Thailand is importing electricity of 2,104.60 megawatt (MW) from Lao PDR and has a plan to purchase 3,316 MW more within the year 2019. For the transmission with Malaysia, an electricity exchange and purchase of 300 MW is on-going while the Power Grid is being constructed for an import of 100 MW more from Malaysia. During the past few years, several interruptions in the natural gas supply occurred. The situation reflected an increasing risk of too much dependent on a certain type of fuel. While natural gas from the Gulf of Thailand is becoming less, imported LNG price is twice as high as that of indigenous natural gas, which might impact on the energy security and electricity price in the future. To deal with these matters, the National Power Development Plan (third revision) of 2013-2030 has reduced the proportion of power plants using natural gas as fuel, while power plants using clean coal technology and power purchase from neighboring countries are substituted to maintain power stability and the reasonable electricity rate. Another highlight was the establishment of the “Green Plan” aiming toward a low carbon society. According to the plan, the use of renewable energy will be increased to 25 percent within the year 2021, and the energy conservation will be promoted whereas a concrete target for the reduction of greenhouse gas emission from electricity generation process will be fixed. Nowadays, the society has expressed high concern on environmental problem and global climate change. Communities surrounding sites of power projects are also worried about environmental impact, which affects the initiation of the new power projects. Accordingly, EGAT has continued working to boost society’s confidence through public communication and participation, while economy and life quality of local people have been developed in return. Accompanied with social responsibility policy, EGAT’s mission of energy development can benefit the whole community.

The rapid growth of economic situation in 2012 raised the electricity demand by 9.13 percent of the previous year. However, EGAT was able to maintain its quality power service in generating and supplying electricity with stability. The power system had a total installed generating capacity of 32,601.02 MW which was 3.67 percent higher than the previous year. The generating capacity from EGAT power plants of 15,010.13 MW increased by 0.08 percent from the previous year accounting for 46.04 percent of the country’s total capacity. The rest of 17,590.89 MW belonged to domestic independent power producers and the power imported from neighboring countries which increased 6.94 percent of the previous year accounting for 53.96 percent of the total capacity. The total electricity generated by EGAT and purchased from private power producers and from neighboring countries was 173,250.28 million kWh which was 14,379.79 million kWh or 9.05 percent higher than the preceding year. The electricity of 77,502.85 million kWh or 44.73 percent was from EGAT power plants and 95,747.43 million kWh or 55.27 percent was purchased from private power producers and neighboring countries. The country’s energy mix for electricity generation included natural gas 67.56 percent, lignite 18.78 percent, hydropower 4.87 percent, imported electricity 6.07 percent, biomass and renewable energy 1.52 percent, and fuel oil and diesel 1.20 percent. EGAT’s electric energy sale increased 9.13 percent of the sale last year to 169,375.89 million kWh. In addition, EGAT has constantly implemented a Demand Side Management Program to promote energy efficiency and conservation through the use of electricity - saving equipments, awareness campaigns on energy conservation. EGAT has also implemented Clean Development Mechanisms (CDM) to reduce greenhouse gases. As a result, its continuous DSM efforts and campaigns have successfully contributed to the cumulative savings of 2,778 MW peak demand since the year 1993 up to the present and 16,637 million kWh of electricity including a reduction of 10 million tons of carbon dioxide. During the previous year, EGAT promoted its energy-efficient label No.5 campaign with three more products, namely electric water heaters, ventilators, and electric irons. The other three more products planned to do so this year are washing machines, refrigerated display cabinets, and light emitting diode (LED) bulbs. A pilot project has been implemented through the use of the LED street lamps at four large dams, namely Bhumibol Dam, Sirikit Dam, Srinagarind Dam, and Vajiralongkorn Dam. Regarding CSR activities in the past year, the main project was “Headwaters Reforestation Project at Sirikit Dam in Commemoration of the 80 th Birthday Anniversary of Her Majesty Queen Sirikit”. The project included the planting of 1,000,000 saplings in the watershed area of Sirikit Dam in Nan Province and a campaign for community participation in planting 500,000 vetiver grasses as well as building 896 check dams. Coupled with the mission in acquiring new energy sources, another commitment of EGAT is to build up good relations with the communities around power plants as a good and caring neighbor who participates in all activities in order to improve their quality of life and environment for sustainable development. The important events held by EGAT in 2012 included the 10th Mae Moh Festival on November 16-18 in the compound of Mae Moh Mine, Lampang Province. The event was promoted to be a national tourism festival which achieved its aim with 150,000 visitors attending the event. Throughout the past years, EGAT’s operation is based on good corporate governance and accountability to all stakeholders both in the CSR in process and CSR after process. In 2012, EGAT was awarded two SOE Awards (State-Owned Enterprise) organized by the Ministry of Finance for its Outstanding Organization Management and Outstanding Innovation. EGAT won the Outstanding Innovation award for its insulator delivery. On behalf of EGAT, I would like to express my grateful thanks to the government, general public, local communities, and all parties concerned in public and private sectors for their continued support and cooperation which have significantly contributed to the achievement of EGAT in the past years.

(Dr. Pornchai Rujiprapa) Chairman, Board of Directors Electricity Generating Authority of Thailand (EGAT)

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Report of the Audit Committee

EGAT Audit Committee consists of three directors. In 2012, members of the Committee were as follows:

- January - February 2012, the Committee included Mr. Lae Dilokvidhyarat as Chairman, Mr. Prawit Sarakitprija and Mr. Porametee Vimolsiri as members.

- March - May 2012, as the period of office of Mr. Lae Dilokvidhyarat had ended and the new chairman had not been appointed, the Committee was chaired by Mr. Prawit Sarakitprija and Mr. Porametee Vimolsiri attended the meeting as member.

- June - December 2012, the Committee included Mr. Surachai Tansitpong as Chairman, Mr. Prawit Sarakitprija and Mr. Porametee Vimolsiri as members.

EGAT Assistant Governor - Internal Audit Bureau served as secretary of the Committee.

The Audit Committee has performed its duties in accordance with the procedures set forth in the Audit Committee Charter to enhance good corporate governance. During 2012, the Committee convened totally 11 meetings to discuss relevant agenda with EGAT management and independent auditors (Office of the Auditor General of Thailand). The significant issues are summarized as follows:

• Review with the Governor, Deputy Governor - Account and Finance and independent auditors on EGAT’s annual financial statements for the year ended December 31, 2011 and the quarterly financial statements for the periods ended March 31, 2012, June 30, 2012, and September 30, 2012 and comparative financial statements for the respective periods of the year 2011 to give an opinion on the accuracy and reliability of the financial statements in accordance with generally accepted accounting principles before submitting them to the Board of Directors

• Review EGAT’s risk management and internal control system and processes to consider the sufficiency and suitability to ensure the coverage of all significant issues

• Review quarterly internal audit reports of EGAT and annual audit reports of EGAT’s subsidiaries and continuously follow up correction and improvement in accordance with the audit comments

• Review the evaluation reports of the Governor’s performance

• Discuss with the Governor and independent auditors in developing internal control systems

• Discuss with top management and management team of each business unit to consider risk management, internal control systems and monitoring processes of key activities within their respective units to provide the best interests for EGAT’s operations

• Discuss with top management and the concerned management to follow up the compensation reimbursement from the insurance company in accident of Tha Tako substation at Nakhon Sawan Province

• Discuss with independent auditors on the scope and processes of their auditing practices to achieve good coordination and reduce duplication of efforts

• Review an annual audit plan for 2013 and a 5-year strategic audit plan (2013-2017) as well as sufficiency of the Internal Audit Bureau resources and assessment of Internal Audit Bureau’s performance

• Review the appropriateness of the Audit Committee Charter, the Internal Audit Charter, and the Internal Audit Work Manual

• Prepare and submit the Committee’s performance reports to EGAT Board of Directors, the Ministry of Energy, and the Ministry of Finance

• Set meeting schedules and agendas for the whole year of 2013 to cover all issues within the remit of the Audit Committee in order to ensure the effectiveness of the meetings

• Conduct an annual self-assessment including both individual member and entire committee self-assessments based on the guidelines set for state enterprises by the Ministry of Finance and report the evaluation results to the Board of Directors to enhance the effectiveness, transparency, and reliability of the Committee’s performance.

The Committee believed that throughout the year 2012, EGAT had maintained the effective risk management, internal control systems, and good corporate governance practices which enabled EGAT’s operations to meet the set objectives. EGAT’s financial statements were also prepared in accordance with generally accepted accounting principles and were presented with adequate information disclosure. EGAT also operated in complete compliance with the laws, rules, and regulations with no significant deficiency. In performing their duties, each member of the Committee had expressed their opinions independently and provided straight recommendations to the management and concerned parties to ensure the best interests of all related parties.

(Mr. Surachai Tansitpong) Chairman of the Audit Committee January 23, 2013

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Economic and Electricity Overview

Overall electricity demand faced by EGAT system in 2012 grew considerably from the previous year with net energy generation and net peak generation of 9.05 and 9.29 percent respectively due to a rise in average temperatures and the country’s economic recovery. According to the Thai Meteorological Department, it was found that the average temperatures of central Thailand measured on the seven hottest days with peak electricity demand in the year 2012 raised by 3.6 degree Celsius from the previous year. In the economic point of view, Thailand’s economy started to recover from the worst 2011 inundation catastrophe which damaged almost 65 provinces of the country and caused an interruption on supply chain and logistic system in the flooded areas, the reduction of overall domestic consumption and exports, and, on the whole, overall economy slowness. In the first half of the year 2012, manufacturing sector, household sector consumption, and private sector investment started to become on the path of recovery from the great flood in 2011. In addition, the Thai government launched major national economy stimulation and people income boost programs such as the first car tax rebate program and the overall minimum wage increase program. In the second half of the year 2012, the Thai economy could not fully return to normal situation on account of the global economic recession, especially in Europe. However, the Thai government’s major national economy stimulation and people income boost programs, especially automobile industry, along with the better sign of Europe’s economy resolution as well as relaxed fiscal measures to stimulate economy of major countries including the measure of continuously expanding money supply of the United States of America, Europe and Japan, played an important role to support Thailand’s economy with higher confidence of overall economy and investment atmosphere. In the last quarter of 2012, the Thai economy showed its sign of recovery by some important economic indicators, namely agricultural production index, industrial production index, and private consumption and investment indexes.

The National Economic and Social Development Board (NESDB) expected that the overall Thai economy in 2012 would grow by 5.5 percent from the previous year on the assumption that the recovery of damaged industries from the great flood in 2011 was delayed from the plan. Around 18.5 percent of inundated factories could not yet return on their operation, encouraging unmet growth of industrial productions and exports. Therefore, there was less chance that the Thai economy would grow more than 5.5 percent. In all, the overall net peak demand of the EGAT system in 2012 stood at 26,121.10 MW occurring on April 26, 2012 at 14.30 hours. This marked 9.24 percent or 2,220.89 MW increase compared with the 2011 recorded high peak demand level at 23,900.21 MW. The total net energy generation requirement of EGAT system in 2012 increased from the prior year by 9.05 percent or 14,379.79 million kWh from 158,870.49 million kWh to 173,250.28 million kWh (information on January 2, 2012). For the year 2013 outlook, it is anticipated that the overall net peak demand of EGAT system will stand at 26,950 MW or grow by 3.2 percent from the previous year. The total net energy generation requirement of EGAT system will reach 178,962 million kWh or 3.3 percent growth from the prior year. According to the prediction of NESDB, the overall Thai economic growth will be in the range of 4.5 to 5.5 percent in 2013 with the assumptions of better world economic situation and better trend of export value - trade in computer and electronic goods will be higher than those in the previous year. Overall domestic consumption and private investment of the country will be in a good situation. Water management along with infrastructure and logistic investment from the governmentâ&#x20AC;&#x2122;s policy which require about two trillion Baht will be one of the major economic drivers. Moreover, the world economy is expected to be better than that in 2012. However, some risk exposures should be cautiously considered, including limitation of high labor intensive industry growth, fluctuation in oil price due to speculation, and an excess of liquidity in global economy.

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Operations Generation System In 2012, EGAT power plants had an installed generating capacity of 15,010.13 MW or 46.04 percent of the country’s gross energy generation. The purchased power capacity included 12,741.69 MW from domestic independent power producers (IPPs) representing 39.08 percent of the country’s total generating capacity, 2,444.60 MW or 7.50 percent from small power producers (SPPs), and 2,404.60 MW or 7.38 percent from neighboring countries.

System Installed Capacity

Apart from the new capacity of 12.00 MW of the downstream hydropower plant of Chao Phya Dam Units 1 and 2, there was no new large power plant added to the power system. For energy purchase, more energy was purchased from Theun Hinboun Expansion Hydroelectric Power Plant Unit 3, GHECO-One Co. Ltd., and small power producers with fixed power supply. Energy Generation and Purchase In 2012, the peak power demand topped 26,121.10 MW on April 26, 2512 which was 2,220.89 MW or 9.29 percent higher than the previous year. The net energy in 2012 was 173,250.28 million units which was 14,379.79 million units or 9.05 percent higher than the preceding year. The energy of 77,502.85 million units or 44.73 percent of the country’s energy demand was from the EGAT power plants, whereas the energy of 95,747.43 million units or 55.27 percent was purchased from independent power producers and from neighboring countries. Fuel Utilization In 2012, natural gas remained a major source of fuel in electricity generation which could generate the net energy of 117,057.63 million units or 67.56 percent of the country’s net energy. Second in priority was lignite coal which could generate the net energy of 32,533.25 million units or 18.78 percent. Hydropower power plants could generate the net energy of 8,436.21 million units or 4.87 percent with addition of the imported power of 10,516.54 million units or 6.07 percent. The energy generated by fuel oil and diesel was 2,067.71 million units or 1.20 percent. The energy generated by biomass and renewable energy was 2,638.94 million units or 1.52 percent of the net energy.

Energy Sources for Electricity Generation

Gas consumption during 2008-2012 had a tendency to increase except in the year of 2011 when the great flood incident occurred. However, the average price of gas during 2008-2012 had continued to increase owing to the import of liquefied natural gas (LNG) which had a higher price per unit since the mid of 2011. Energy Sales EGAT sold a total of 169,375.89 million kWh of electric energy out of which 49,991.71 million kWh to the Metropolitan Electricity Authority (MEA) and 116,031.38 million kWh to the Provincial Electricity Authority (PEA) which were the main customers. The total of 3,228.32 million kWh electric energy was sold to direct customers and the neighboring countries (Lao PDR, Malaysia, and Cambodia). The rest of 119.81 million kWh was sold to other minor customers. Energy Adjustment Charge (Ft tariff) In the year 2012, the fuel price increased from the year 2011. Natural gas price, the 70 percent of fuel share for power generation, increased 48 Baht/million BTU or 19 percent (from the average of 252 Baht/ million BTU to 300 Baht/ million BTU), resulting in the increase of power generation cost despite the attempt of the EGAT generation management to reduce the cost. As a result, the Energy Regulatory Commission (ERC) allowed the Ft Tariff to be increased gradually, not yet fully covering the actual cost, in order to alleviate the cost of living of the people and the manufacturing sectorâ&#x20AC;&#x2122;s flood impacts in late 2011. Therefore, EGAT had to temporarily shoulder the accrued Ft revenue of approximately 6,978 million Baht.

In 2012, the Ft Tariff was revised 3 times as follows: Revision

Month

Ft Tariff (Baht/Unit)

Average Retail Tariff including Ft (Baht/Unit)

January-April

0.00

3.24

May June-August

0.00 0.30

3.24 3.54

September-December

0.48

3.72

Note: Excluding VAT

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EGAT Generation Facilities

EGAT’s power capacity included the following:

Type of power plant

Hydropower Thermal Combined cycle Diesel Renewable energy Total

Installed Capacity (MW)

3,435.74 4,699.00 6,866.00 4.40 4.99 15,010.13

Percentage of the System Capacity

10.54 14.41 21.06 0.01 0.02 46.04

EGAT’s power plant performance was as follows:

1 Heat Rate (kJ/kWh)

2 GWEAF (%)

2009 2010 2011 2012

8,871.69

8,835.93

8,694.21

8,662.41

91.32

90.72

92.75

90.54

3 POF (%)

4.23

5.48

3.39

5.00

4 UOF (%)

3.19

2.46

2.58

2.84

In 2012, the overall performance of EGAT’s generating power plants fared better than the prior year both in terms of heat rate and availability factor. The generating weighted equivalent availability factor (GWEAF) of all power plants of EGAT amounted 2.2 percent lower than the preceding year due to the great flood during October-November 2011 resulting in the adjustment of the plan on some maintenance work to 2012. The planned outage factor (POF) in 2012, when compared with the year 2011, was found to be increased, whereas the unplanned outage factor (UOF) was slightly increased. However, EGAT could control the rate of UOF to be less than 3 percent. Transmission System In 2012, EGAT pursued its plan in transmission system development covering improvement, maintenance, and extension of the transmission system as well as the transmission facilities to increase the capability and stability in the power supply system. Major transmission system projects completed during the year included 2 circuits of 500 KV Pluak Daeng-Wang Noi transmission line system and one circuit of 230 KV Nawanakorn-Wang Noi transmission line system. Moreover, the KT1A, KT2A, and KT3A transformers of the 300 MVA capacity were installed at Nawanakorn Substation, whereas KT4A transformer of the capacity of 200 MVA was installed at Pluak Daeng Substation, and KT4A transformer of the capacity of 200 MVA was installed at Prachin Buri Substation. The new substations added to the transmission system were Mae Moh 4, Navanakorn, and Nakhon Phanom 2. In 2012, EGAT’s transmission system network comprised 31,556.46 circuit-kilometers of transmission lines with 212 substations, 546 delivery points, and a total transformer capacity of 86,730.19 MVA. Throughout the year, EGAT’s transmission system managed to address the problems and critical situation such as the delay in the plan or other constraints with satisfactory result. In 2012, forced outages occurred 73 times, out of which 14 times were caused by failure of the transmission lines and 59 times from the substation equipment. The interruption was mainly caused by malfunction of substation

equipment (26 times), by animals (24 times), by human errors, either staff or outside people (7 times), by environment (6 times), by weather (3 times), and by unidentifiable reasons (7 times).

Among the forced outages, important events which worth mentioning were as follows:

• On May 13, 2012 at 16.09 hours, a forced outage occurred in a wide area including Sakon Nakhon 1 Substation, That Phanom Substation, Nakhon Phanom Substation, Mukdahan Substations 1 and 2, and Substations of Electricité du Laos (Ta Khaek, Pak Bo). This interrupted power supply of 94.3 MW to PEA for 9 minutes and of 108.5 MW to Ta Khaek and Pak Bo substations for 2 minutes.

• On May 22, 2012 at 15.56 hours, a partial blackout occurred in the lower southern part of Thailand covering Songkhla, Yala, Pattani, Narathiwat, and Satun provinces. The partial blackout of 641.4 MW lasted 26 minutes.

In 2012, EGAT’s bulk power supply system reliability performance was as follows:

• System interruption severity (SISI) - System-minutes (MW-minutes/MW)

1.97607

• System average interruption frequency index (SAIFI), number of occurrence/delivery point

0.30306

• System average interruption duration index (SAIDI), minutes/delivery point

6.79035

The availability of the transmission system in 2012 was as follows:

• System availability (SA) (%)

99.9987

• Transmission circuit availability (%)

99.99073

• Transformer availability (%)

99.52174

The quality of the power supply service has been well maintained with frequency being controlled within the band of 49.50-50.50 Hz and system voltage being steadily controlled within the range of 95-105 percent of nominal voltage. To ensure the availability and continuity of the supply service, EGAT has given top priority to the improvement and maintenance of existing transmission facilities. Work carried out during the year included insulator cleaning for the 500 kV transmission lines in the area highly exposed to dirt, pollution, smoke, and waste from birds; drills and exercises of emergency preparedness and black start restoration plan; analytical review of the power supply system to properly prepare transmission maintenance and development plan; planning power dispatch in line with transmission constraints and system requirements; implementing preventive measures to minimize interruption of supply caused by human errors and equipment malfunctions caused by animals; and public communication program to reduce losses and damages to transmission facilities caused by community activities and address concern and complaints of all stakeholders with regards to power transmission. With this, EGAT has successfully maintained its high quality in electricity supply with continuity, stability, and reliability. Long-lasting friendship...Sustainable energy

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Most of EGAT's CSR projects have originated from EGAT’s concern on social problems and its intention to take part in remedying or in encouraging the society to participate in the problem solving. The Ban Khlong Rua Micro-Hydropower Plant Project in Pak Song Sub-district in Phato District of Chumphon Province was constructed by the collaboration of EGAT and Ban khlong Rua community to generate electricity owing to the remote location of the community which is a watershed area where electricity could not reach. The construction of the power plant was completed in 2012 and could supply electricity to 81 households. This hydropower plant can be regarded as a successful model of community power plant which has been originated from the real need of the community, managed by and for the beneﬁt of the community while taking into account the way of life of the people and the environmental conservation.

The Biological Way of Life for Sustainable Development Program has been implemented by EGAT since 1999 to promote natural

agriculture and self-reliance approach.

The “Wan Kaew” Project, launched in 2003, focuses on accepting

donated spectacle frames and lens and dispatching the mobile optometry units to provide free eye tests and eyeglasses across the country.

Nature of Business of EGAT and Affiliates EGAT’s Business Operation EGAT is a state-owned enterprise under the supervision of the Ministry of Energy and the Ministry of Finance. Its main operations focus on electricity generation, acquiring electricity and sales of electricity to the Metropolitan Electricity Authority (MEA), the Provincial Electricity Authority (PEA), a number of direct consumers by law, and neighboring countries. It also offers a variety of energy-related services under the EGAT Act. 1. Electricity Business

1.1 Generation

EGAT owns and operates various types of power plants located in 40 sites countrywide with a total installed capacity of 15,010.13 MW. Its power generation facilities consist of 3 thermal power plants, 6 combined cycle power plants, 22 hydropower plants, 8 renewable energy power plants, and a diesel power plant.

1.2 Power Purchase

In addition to operating its own power plants, EGAT also purchases bulk electricity from 11 Independent Power Producers totaling 12,741.69 MW, from Small Power Producers totaling 2,444.60 MW, and from neighboring countries, namely Lao PDR and Malaysia, totaling 2,404.60 MW.

1.3 Transmission

EGAT transmits electricity generated by its own power plants and purchased from private power producers through its own grid network covering all parts of the country. EGAT’s transmission lines comprise different voltages ranging from 500 kV, 230 kV, 115 kV, and 69 kV. EGAT sells electricity directly to two distributing authorities, MEA and PEA which will deliver electricity to their retail customers nationwide. EGAT also sells electricity to the power utilities of the neighboring countries, namely Lao PDR at 115 kV and at 22 kV lines and Malaysia at 300 kV lines. 2. Other Businesses

2.1 EGAT’s Related Business

In 2012, Thailand was recovered from the flood situation which occurred at the end of 2011. However, as most of EGAT energy-related businesses were not affected from such flood disaster, and the businesses grew up as a result of growth in power generation industry of Thailand together with the upcoming ASEAN Economic Community (AEC), there were good opportunities to initiate new projects both domestically and internationally throughout the year. In 2012, EGAT provided services to various groups of customers according to the service agreements which generated the total revenue of 2,800 million Baht. According to the business development strategies of EGAT, the following projects, contracts, and activities were developed in 2012:

• Maintenance service contract for Nam Ngum 2 Hydropower Plant of 615 MW in Lao PDR for 7 years

• Operation and maintenance service contract for District Cooling System and Power Plant Co., Ltd. (DCAP) after the gas turbine was upgraded to GE model LM6000, and the total installed capacity was increased from 55 MW to 97 MW

• Research and development to increase the value of coal combustion products (fly ash and gypsum) to be used in the construction material industry and in fertilizer and soil improvement materials

2.2 Investment

EGAT has invested in electricity generation and energy-related business in 5 companies as follows:

Subsidiary Companies • Ratchaburi Electricity Generating Holding Public Company Limited (RATCH)

Nature of Business

RATCH was established as a holding company on March 7, 2000. As a holding company, RATCH gets dividends from its invested companies as main revenue. The company focuses mainly on investing and developing electricity generating business which concentrates on diversity of resources, ranging from natural gas, oil, coal, hydro, and alternative energy such as wind power. The company is also interested in expanding into other related business, such as power plant operation and maintenance and coal mining. The company is, moreover, interested in investing jointly with partners in various projects, both in Thailand and abroad. At present, RATCH has a total generating capacity of 5,203.28 MW comprising 4,396.01 MW from domestic projects and 807.27 MW from overseas projects. Shareholding As at December 31, 2012, RATCH had a total issued and paid-up registered capital of 1,450 million shares (equivalent to 14,500 million Baht). Its ownership structure is composed of 45% stake held by EGAT and 55% held by the general public. Long-lasting friendship...Sustainable energy

• EGAT International Company Limited (EGATi)

Nature of Business

EGATi was established by EGAT on December 18, 2007. In order to supply energy to Thailand, EGATi aims to directly invest or set up subsidiaries to invest in power development projects in neighboring countries. Shareholding As at December 31, 2012, EGATi had a total issued and paid-up registered capital of 370 million Baht. EGAT presently holds 99.99% stake in EGATi. • EGAT Diamond Service Co., Ltd. (EDS)

Nature of Business

EDS is a joint venture business founded on 15 December 2009 by EGAT, Mitsubishi Heavy Industries, Mitsubishi Corporation, and Ratchaburi Electricity Generating Holding PCL. (RATCH). The company’s objective is to provide refurbishment work for the hot gas path parts of gas turbine. Shareholding As at December 31, 2012, EDS had a total registered capital of 6.23 million shares at 100 Baht per share (equivalent to 623 million Baht), of which 81.31 Baht per share was paid-up or equivalent to 506.56 million Baht. Its ownership structure is composed of EGAT (45%), MHI (30%), Mitsubishi Corporation (15%), and RATCH (10%). Associated Company • Electricity Generating Public Company Limited (EGCO)

Nature of Business

EGCO, the first independent power producer (IPP) in Thailand, was established by EGAT on 12 May 1992. As a holding company, EGCO earns dividends from its affiliates which sell electricity under long term power purchase agreements to EGAT and other customers in the country and the ASEAN region. EGCO also provides a variety of energy-related services categorized into 5 groups as follows; 1) 2) 3) 4) 5)

Independent power producer (IPP) group Small power producer (SPP) group Very small power producer (VSPP) group Overseas power producer group Other business group including operation and maintenance, water supply, management and administrative services, biodiesel, and coal mining

At present, EGCO has a total installed capacity of 6,194 MW comprising 5,131 MW from domestic projects and 1,063 MW from overseas projects. Shareholding As at December 31, 2012, EGCO had a total registered capital amounting to 530 million shares (5,300 million Baht) of which 526.47 million shares (5,264.65 million Baht) were issued and paid-up. EGCO’s shareholders are EGAT (25.41%), TEPDIA Generating B.V. (23.94%), and the general public (50.65%). Joint Venture • District Cooling System and Power Plant Co., Ltd. (DCAP)

Nature of Business

DCAP is a joint venture business co-founded on April 2, 2003 by EGAT, PTT Public Company Limited, and the Metropolitan Electricity Authority (MEA). The company’s objective is to generate and sell electricity and cooling water to the Suvarnabhumi International Airport. DCAP has been expanding its capacity to cope with the expansion of the Suvarnabhumi International Airport and to maintain stability and reliability of the power production and cooling system with the total project cost of 1,816 million Baht. Two units of 20 MW gas turbine were changed to two 41 MW gas turbines. These units have been in operation since November 23, 2011 and March 15, 2012 respectively. At present, DCAP has been studying for further expansion of a new project in order to support higher demand of electricity and cooling water of the Suvarnabhumi International Airport (phase 2) which is expected to commercially supply power in 2016. Shareholding As at December 31, 2012, DCAP had a total registered capital of 167 million shares (1,670 million Baht). Its ownership structure is composed of EGAT, PTT Public Company Limited, and the Metropolitan Electricity Authority (MEA) with the portion of 35%, 35%, and 30% stakes respectively. EGAT’s Investment in Its Affiliates Company

Registered Capital % Ownership (Million Baht)

Ratchaburi Electricity Generating Holding Public Company Limited (RATCH)

Status

14,500

Subsidiary

EGAT International Company Limited (EGATi)

370

99.99

Subsidiary

EGAT Diamond Service Co., Ltd. (EDS)

623

Subsidiary

Electricity Generating Public Company Limited (EGCO)

5,300

25.41

District Cooling System and Power Plant Co., Ltd. (DCAP)

1,670

Associated Company Joint Venture

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Analysis of Operating Results and Financial Status 1. Analysis of Operating Results of EGAT and its Subsidiaries Operating results of EGAT and its subsidiaries including associated company and jointly controlled entity for the years ended December 31, 2012 and 2011 are summarized as follows: Operating Results

2012 Million Baht

2011 Increase/(Decrease) Million Baht Million Baht Percentage

Revenue from sales and services

512,991.89

418,445.19

94,546.70

22.59

Revenue from electric energy sales Revenue from sales of other goods and services Cost of electric energy sales Cost of sales of other goods and services Gross profit

486,243.70 26,748.19

399,377.40 19,067.79

86,866.30 7,680.40

21.75 40.28

430,191.42 25,311.68 57,488.79

348,625.41 17,833.44 51,986.34

81,566.01 7,478.24 5,502.45

23.40 41.93 10.58

Other revenue Income before expenses

6,114.57 63,603.36

3,879.88 55,866.22

2,234.69 7,737.14

57.60 13.85

Selling expenses Administrative expenses Other expenses

131.85 17,568.48 96.23

152.54 15,986.95 809.64

(20.69) 1,581.53 (713.41)

(13.56) 9.89 (88.11)

Operating income 45,806.80 Share of profit from associated company and share of profit from jointly controlled 3,695.46 entity of subsidiaries under the equity method Income before financial cost and income tax 49,502.26 Financial cost 5,343.21 Income tax (part of subsidiaries) 887.23

38,917.09 2,533.42

6,889.71 1,162.04

17.70 45.87

41,450.51 5,341.69 1,853.16

8,051.75 1.52 (965.93)

19.42 0.03 (52.12)

Net income for the year

43,271.82

34,255.66

9,016.16

26.32

Net income - Non-controlling interests

4,480.15

2,433.01

2,047.14

84.14

Net income - EGAT and its subsidiaries

38,791.67

31,822.65

6,969.02

21.90

For operating results in 2012, EGAT and its subsidiaries recorded a net income of Baht 38,791.67 million, an increase of Baht 6,969.02 million or 21.90% from the year 2011. The analysis is as follows:

1.1 Analysis of revenue from electric energy sales

For the year ended December 31, 2012, revenue from electric energy sales, which was the primary source of revenue of EGAT and its subsidiaries, amounted to Baht 486,243.70 million, increasing by Baht 86,866.30 million or 21.75% from Baht 399,377.40 million in 2011. The higher sales revenue was mainly attributable to an increase of Baht 0.298 in unit selling price from Baht 2.571 in 2011 to Baht 2.869 in 2012, while electricity consumption increased. The volume of electric energy sales of EGAT and subsidiaries for the year 2012 increased by 14,170.90 million kWh or 9.12% to 169,496.23 million kWh, compared with 155,325.33 million kWh in 2011 which had been adjusted from the previous report. This was because the severe flooding during the last quarter of the year 2011 had eased up, electricity consumption in the year 2012 returned to normal, consumption and investment had improved, household population and entrepreneur of private sector restored dwellings and equipments, and industrial sector could return to operate. Besides, the summer started since the last week of February 2012. Therefore, electricity consumption in the year 2012 increased. Besides, EGATâ&#x20AC;&#x2122;s revenue from electric energy sales in 2012 was reduced in the amount of Baht 5,110.25 million because EGAT had to transfer the cross subsidies between power utilities amounting to Baht 3,688.45 million and to return the electricity charge by differential from actual investment and planning between the periods of 2008-2010 amounted Baht 1,421.80 million. 1.2 Analysis of cost of electric energy sales

In 2012, the cost of electric energy sales of EGAT and its subsidiaries increased from the year 2011 by Baht 81,566.01 million. Components of the cost of electric energy sales are detailed as follows: Cost of Electric Energy Sales

2012 Million Baht

2011 Million Baht

Electricity purchased Fuel Generating expenses Transmission expenses Total

209,206.82 176,240.28 34,962.81 9,781.51 430,191.42

174,182.03 35,024.79 20.11 133,014.68 43,225.60 32.50 32,051.04 2,911.77 9.08 9,377.66 403.85 4.31 348,625.41 81,566.01 23.40

Increase (decrease) Million Baht Percentage

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1.2.1 Electricity purchased In 2012, the cost of electricity purchased increased by Baht 35,024.79 million or 20.11%. The increase was attributable to an increase of 5,508.54 million kWh or 7.36% in electricity purchased from private power producers amounting to 80,365.32 million kWh, and the higher average power purchase price of Baht 2.603 per kWh increased by Baht 0.276 per kWh, compared with Baht 2.327 per kWh in 2011. The significant details are as follows: • Electricity purchased from Electricity Generating Plc. (EGCO) increased by 1,877.50 million kWh or Baht 5,509.82 million because the demand for electricity was higher than the prior year, and PTT’s eastern gas supply was higher than the prior year. Therefore, the company increased in purchasing power from intermediate plants which could unlock and parallel the power plant to the system instantly to support the electricity demand. • Electricity purchased from Global Power Synergy Co., Ltd. (As formerly, Independent Power (Thailand) Co.,Ltd.) increased by 372.20 million kWh or Baht 2,409.09 million due to generation availability from a decrease in reserved shutdown from the prior year. • Electricity purchased from Gulf Power Generation Co., Ltd. increased by 2,015.95 million kWh or Baht 6,973.39 million because its power plant was available to increase production to support the demand. • Electricity purchased from GHECO-One Co.,Ltd. increased by 2,749.94 million kWh or Baht 6,770.29 million due to the fact that the company started to commercial trade on July 26, 2012 and first synchronize on November 1, 2012. However, the company was under test-run in the prior year. • Electricity purchased from small power producers increased by 120.11 million kWh or Baht 7,449.24 million due to an increase of purchasing power from non-firm because there was generation availability and an increase in commercial operation from 4 producers. 1.2.2 Fuel cost In 2012, the electricity produced by EGAT and its subsidiaries amounted to 93,005.31 million kWh, increasing from the prior year by 8,780.71 million kWh. The details of fuel consumption are as follows: Fuel

Natural gas (MBtu) Heavy oil (liter) Diesel oil (liter) Lignite (ton)

2012 Million Unit

525.86 500.43 28.57 16.78

2011 Increase / (Decrease) Million Unit Million Unit Percentage

458.14 434.70 11.65 17.16

67.72 65.73 16.92 (0.38)

14.78 15.12 145.24 (2.21)

The fuel cost for the year ended December 31, 2012 amounted to Baht 176,240.28 million, increasing by Baht 43,225.60 million or 32.50%. The details of fuel cost are as follows:

Fuel

2012 Million Baht

154,417.50 114,052.60 40,364.90 35.39 11,905.41 9,257.81 2,647.60 28.60 685.29 274.44 410.85 149.70 9,232.08 9,429.83 (197.75) (2.10) 176,240.28 133,014.68 43,225.60 32.50

Natural gas Heavy oil Diesel oil Lignite Total

2011 Increase / (Decrease) Million Baht Million Baht Percentage

1.2.3 Electricity Generating Expenses For the year ended December 31, 2012, expenses for electricity generation increased by Baht 2,911.77 million. The increase was mainly attributable to an increase in depreciation of generation assets under the power plants, and equipments for power plants items increased by Baht 1,098.13 million and Baht 644.74 million respectively. In addition, maintenance expenses in electricity generation increased by Baht 465.65 million. 1.3 Revenue and cost of sales of other goods and services

Revenue and cost of sales of other goods and services were mainly derived from fuel supplies sold at cost to EGAT’s subsidiaries; such other services rendered to external companies as operation and maintenance services, engineering and construction consulting services, and telecommunication services. In 2012, EGAT and its subsidiaries recorded the revenue from sales of other goods and services in the amount of Baht 26,748.19 million, increasing from the year 2011 by Baht 7,680.40 million or 40.28%, and the cost from sales of other goods and services in the amount of Baht 25,311.68 million, increasing from the year 2011 by Baht 7,478.24 million or 41.93%, mainly due to an increase of Baht 7,603.86 million and Baht 471.90 million in the revenue from sales and cost of natural gas and heavy oil to its subsidiaries. 1.4 Other revenue

Other revenue for the year ended December 31, 2012 amounted to Baht 6,114.56 million, increasing from the prior year by Baht 2,234.68 million or 57.60%, mostly caused from following reasons. • Gain from power purchase agreement cancellation of Collinsville power plant of Ratchaburi Electricity Generating Holding Plc. to get the compensation from the cancellation in the amount of Baht 1,069.44 million. • Gain on disposal of long-term investment from share offering 14% of Loy Yang A power plant which is indirect subsidiary of Ratchaburi Electricity Generating Holding Plc. in the amount of Baht 783.68 million. • Dividend income increased in the amount of Baht 128.25 million.

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1.5 Share of profit from associated company of EGAT and share of profit from jointly controlled entities of subsidiaries by using the equity method

For the year ended December 31, 2012, share of profit under the equity method totaled Baht 3,695.46 million, increasing from the year 2011 by Baht 1,162.05 million or 45.87% which consisted of share of profit from associated company increasing by Baht 1,726.75 million, and share of profit from jointly controlled entity decreasing by Baht 564.70 million. 1.6 Income tax

For the year ended December 31, 2012, the income tax of its subsidiary, namely Ratchaburi Electricity Generating Holding Plc. amounted to Baht 887.23 million, decreasing from the year 2011 by Baht 965.93 million or 52.12% due to a decrease in corporate income tax rate from 30% to 23%. 2. Analysis of Financial Positions of EGAT and its Subsidiaries

Financial Status

2012 Million Baht

Total assets Total liabilities Equity of EGAT and subsidiaries Non-controlling interests

534,121.76 208,316.15 295,700.43 30,105.18

2011 Increase / (Decrease) Million Baht Million Baht Percentage

496,977.04 194,773.93 275,132.79 27,070.32

As at December 31, 2012, the total assets of EGAT and its subsidiaries increased by Baht 37,144.72 million mainly due to the following reasons.

• A decrease in cash and cash equivalents of Baht 10,694.63 million, mainly from a decrease in its subsidiaries’ bill of exchange of Baht 17,840.00 million and an increase in current and saving accounts of EGAT and subsidiaries of Baht 6,651.59 million.

• An increase of Baht 11,341.78 million in accounts receivable, largely from an increase of Baht 3,304.51 million and Baht 8,039.42 million from Metropolitan Electricity Authority and Provincial Electricity Authority respectively.

• An increase of Baht 10,635.34 million, largely from investment of EGAT in fixed deposits more than 12 months of Baht 10,005.34 million.

• An increase in investment in associated company and jointly controlled entities of subsidiaries by using equity method of Baht 3,404.18 million resulting from the operating results recognition and the increasing investment during the year as follows:

37,144.72 13,542.22 20,567.63 3,034.86

7.47 6.95 7.48 11.21

Unit : Million Baht Increase (Decrease)

Associated Companies

Jointly-Controlled Entities

Tri Energy Co.,Ltd.

Ratchaburi Power Co.,Ltd. Chubu Ratchaburi Electric Services Co.,Ltd. SouthEast Asia Energy Ltd. Hongsa Power Co.,Ltd. Phufai Mining Co.,Ltd. Nam Ngum 3 Hydro electric Power Co.,Ltd. Nava Nakorn Electricity Generation Co.,Ltd. Ratchaburi World Cogeneration Co.,Ltd. Solarta Co.,Ltd. Solar Power (Korat 3,4,7) Co.,Ltd. Songkhla Biomass Co.,Ltd Songkhla Biofuel Co.,Ltd.q KK Power Co.,Ltd. Xae Pien - Xae Nam Noi Co.,Ltd. Sukhothai Energy Co.,Ltd. Perth Power Partnership (Kwinana)

Electricity Generating Plc. First Korat Wind Co.,Ltd. K.R. Two Co.,Ltd.

2,557.59 172.08 152.40

2,882.07

(181.94) 376.61 16.55 224.57 (372.62) (0.06) (0.04) 55.59 340.39 54.80 58.88 15.46 0.39 15.16 (0.98) 24.27 (105.02)

Total

522.11 3,404.18

• Net property, plant, and equipment decreased by Baht 4,538.34 million as the assets of EGAT and its subsidiaries increased during the year of Baht 21,508.34 million, mainly from EGAT’s power plant equipments and transmission system. On the contrary, depreciation expense for the year amounted to Baht 24,810.16 million.

• An increase of Baht 20,869.53 million resulted mainly from investment in the Wang Noi combined power plant construction project – Block 4.

As at December 31, 2012, the total liabilities of EGAT and its subsidiaries increased by Baht 13,542.22 million, mainly detailed as follows:

• Account payables increased by Baht 11,569.58 million, mostly from an increase in account payable – cost of electricity purchased from local electricity purchased payable and fuel amounting to Baht 6,453.91 million and Baht 3,434.22 million respectively. Long-lasting friendship...Sustainable energy

• The accrued remittance to the Ministry of Finance increased by Baht 1,034.31 million, due to EGAT’s higher net income compared with the prior year.

• Long-term loans and current portion of long-term loans decreased by Baht 13,904.88 million, due to repayment of EGAT’s long term loans amounting to Baht 23,751.96 million, offset by long term loans withdrawal amounting to Baht 11,147.35 million.

• Other non-current liabilities increased by Baht 4,139.93 million, mostly from an increase in retention from EGAT’s contractors amounting to Baht 4,174.78 million.

Equity of EGAT and its subsidiaries totaled Baht 295,700.43 million, increasing by Baht 20,567.63 million, as shown in the following details.

• For the year ended December 31, 2012, the net income of EGAT and its subsidiaries totaled Baht 38,791.67 million.

• EGAT wrote off the depreciation of multi-purpose dams in the portion of their irrigation purposes, resulting in a decrease of Baht 62.33 million in the Contribution from the Government.

• A decrease in other comprehensive income under other components of equity in the amount of Baht 830.40 million.

• Remittance to the Ministry of Finance for the amount of Baht 17,331.31 million

3. Analysis of Cash flow As at December 31, 2012, cash and cash equivalents of EGAT and its subsidiaries amounted to Baht 40,644.20 million, decreasing from December 31, 2011 by Baht 10,694.63 million. The details of cash flows from each activity are as follows:

Cash and cash equivalents as at December 31, 2011 51,338.83 Net cash inflows from operating activities 61,129.74 Net cash outflows from investing activities (35,193.67) Net cash inflows from financing activities (36,603.87) Effects from foreign exchange rate in cash and cash equivalents (26.83) Cash and cash equivalents as at December 1202 ,13 40,644.20

In 2012, net cash inflows from operating activities totaled Baht 61,129.74 million which was derived from net income of Baht 38,791.67 million, adjusted by non-cash items in statements of income, such as depreciation and gains (losses) on foreign exchange etc. totaling Baht 71,286.51 million. Besides, changes in working capital resulted in a decrease in cash of Baht 9,427.11 million, cash receipts on interest of Baht 912.70 million, and cash payment on income tax totaling Baht 1,642.36 million.

Unit : Million Baht

Net cash outflows from investing activities amounted to Baht 35,193.67 million, mainly consisting of investments for the construction of combined cycle power plant projects, transmission system, and construction projects and durable goods including interests totaling Baht 31,043.10 million, and the payment for additional share capital in associated company and the jointly controlled entities of subsidiaries totaling Baht 849.79 million. Meanwhile, EGAT and its subsidiaries received cash on power purchase agreement cancellation of Baht 3,167.37 million, interest of Baht 743.61 million, and dividends of Baht 1,698.53 million. Net cash outflows from financing activities totaled Baht 36,603.87 million, comprising of cash receipts from short- and long-term loans of Baht 27,987.35 million, accrued common shares of Baht 34.93 million, repayment of loans and interest of Baht 43,272.77 million, remittance to the Ministry of Finance of Baht 16,297.00 million, and dividend paid of Baht 5,056.38 million. 4. Financial Ratio Based on the operating results and financial positions for the year ended December 31, 2012 and 2011, the financial ratios of EGAT and its subsidiaries are as follows:

Liquidity Ratio

Current ratio (Time) Quick ratio (Time) Cash ratio (Time)

Profitability Ratio

Ratio of gross profit to net sales (Percentage) Ratio of net profit to net sales (Percentage) EBITDA (Million Baht)

Efficiency Ratio

Rate of return on assets (Percentage) Rate of return on fixed assets (Percentage) Total assets turnover (Time)

Financial Policy Ratio

Debt to equity ratio (Time) Times interest earned (Time) Fixed charge coverage (cash basis) (Time)

2012

2011

1.42 1.29 0.70

1.51 1.36 0.81

11.21 8.44 70,321.12

12.42 8.19 63,361.17

8.39 25.11 1.01

7.09 21.24 0.88

0.64 9.26 1.10

0.64 7.76 1.67

Remark: EBITDA is calculated from gross profit after selling expenses, administrative expenses, excluding depreciation and other amortization expenses.

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Enterprise Risk Management

EGAT has adopted the COSO-ERM principles as a main approach to manage its risks and has continuously improved its risk management capabilities as directed by the State Enterprise Policy Office (SEPO), the Ministry of Finance. The integrated enterprise risk management approach has been continuously and effectively deployed throughout the organization. It has also stepped up effort to raise employee awareness of the risk management. The implementation of its integrated enterprise risk management has provided reasonable assurance for EGATâ&#x20AC;&#x2122;s operation and business continuity which has efficiently met the corporate strategic objectives with appropriate allocation of resources and risks being managed and controlled within its risk appetite throughout the year 2012. EGATâ&#x20AC;&#x2122;s risk management system is a participatory one which has involved all levels of employees from all units. Risk factors have been identified with risk owners being assigned to be responsible for each risk factor. Committees and working groups are established to monitor risk management at each level and line of command. EGAT Board of Directors appoints the Enterprise Risk Management Committee (ERMC) to oversee EGATâ&#x20AC;&#x2122;s overall risk management and also appoints Audit Committee to review the sufficiency of the risk management plans/ measures and the effectiveness of the risk management system. Both Committees are required to report to the Board of Directors.

Immediately under the ERMC is the Management Committee on Corporate Strategy, Risk Management, and Internal Control assigned by EGAT Governor to manage EGATâ&#x20AC;&#x2122;s Risks and provide technical support to the Governor and ERMC. At each line of command or business unit with a Deputy Governor on the top, the Deputy Governor then sets up its Core Group Subcommittee to operate risk management within the business unitâ&#x20AC;&#x2122;s responsibility.

Moreover, the Management Committee on Corporate Strategy, Risk Management, and Internal Control also establishes two working groups. The first group is the risk management and internal control working group assigned to explore and present risk management method and/or approach to the above committee. The other one is the Business Continuity Planning Working Group assigned to introduce Business Continuity Management Method or Approach to the above committee as well. EGAT has monitored and revised the sufficiency of risk management action plans and measures on a quarterly basis, with additional reviews being undertaken if urgent needs arise, to ensure that EGATâ&#x20AC;&#x2122;s mission will always be fulfilled.

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Results of Risk Management in 2012 In order to pursue and achieve its vision towards being an international leader in the power industry, EGAT has deliberately considered risks in all aspects which could compromise its operation. Risk appetites and tolerance have been defined to provide a framework for determining corporate strategies and integrating risk management process with its strategic objectives. EGAT has set up an enterprise risk management plan and has quarterly reported the results of the risk management implementation to the Enterprise Risk Management Committee to ensure the success of EGAT’s strategies. Key risk management results in 2012 are summarized as follows: 1. Strategic & Corporate Risk

For the security and reliability of the country’s power supply system, EGAT has been continuously managing risks to maintain its major share of country’s generating capacity. In 2012, it had successfully maintained the appropriate business growth rate which was indicated as one of the EGAT’s strategies (2012-2016). 2. Financial Risk

EGAT has managed financial risks in an effort to maintain its financial status and stability by balancing its Return on Invested Capital (ROIC) and Weighted Average Cost of Capital (WACC). In order to increase ROIC, EGAT emphasized on reducing its power plant and transmission system maintenance costs which may have been caused by flooding and accidents, by implementing essential preventive measures. In addition, EGAT has also taken into account its current financial position and its future financial position to determine the proper financial status and stability In 2012, in compliance with the government policies, EGAT had absorbed the increasing costs of power production which came from the increase of fuel prices. However, EGAT was able to reduce the impact by actively clarifying and providing all necessary information to the concerned government agencies and related regulatory bodies. As a result, its normal business operations had been continued, and EGAT was able to invest on the expansion of power plants and transmission system as planned. 3. Operational Risk

In order to manage operational risks, EGAT has prepared itself to take on risks inherent in all aspects of its operations, including electricity generation, transmission, the development of power plant and transmission system, employees, community, environment, public communication concerning EGAT’s operations as well as information technology. As a result, in 2012, EGAT was able to cope with major

incidents such as the fire incident that burnt a transformer at Ang-Thong Substation which EGAT had set up a preliminary investigation committee and was able to find the causes of the incident and, as a result, issued the measures to reduce the probability of the next occurrence. Another incident was the failure of natural gas production in Myanmar during May which led to the natural gas shortage for 4 days. However, by switching the natural gas to fuel oil which had been stocked for emergency usage as planned, EGAT was able to resume the normality of its power plants to maintain the stability of the countryâ&#x20AC;&#x2122;s power system as well as responding to consumersâ&#x20AC;&#x2122; demand. 4. Compliance Risk

EGAT has strictly been giving attention to law and regulation compliance. In order to manage risks which involves the violation of the related laws and regulations, EGAT has appointed preventive and proactive plans and measures to avoid and reduce impacts from such risks. For instance, EGAT has done the Environment Impact Assessment (EIA), Health Impact Assessment (HIA), and Social Impact Assessment (SIA) for all of its power plants and transmission systems to ensure the complete law compliance and to meet the international standard. In addition, EGAT has been well aware of the new related laws which are expected to be enacted and may have effects on EGATâ&#x20AC;&#x2122;s operations such as the secondary laws provided for the Energy Industry Act, B.E. 2550 (2007) regarding the Engineering Standards or the planning processes of expanding energy network system. EGAT thus has closely monitored and thoroughly studied the effects of the new laws and regulations and has kept all concerned units informed so that EGAT can ready itself for any compliance risks. As a result of systematically and continuously managing risks during the year 2012, EGAT was able to fulfill its given mission as well as achieving its strategic objectives as appointed in enterprise corporate plans.

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Organization Chart

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Structure of Organizational Management EGAT organizational management consists of a Board of Directors and EGAT top management including Governor, Deputy Governors, Assistant Governors, and Division Directors. Apart from establishing broad policies and objectives to oversee EGAT’s overall operations, the Board of Directors also appoints EGAT top management who is responsible for managing the organization in accordance with the given policies and strategies. 1. Board of Directors 1.1 Composition, Qualific tions, and Criteria for Appointment

• The Board of Directors comprises a Chairman and Directors not exceeding 10 members including EGAT Governor who serves as an ex-officio Director.

• All members must be of Thai nationality and well qualified and experienced in business administration, science, engineering, economics, finance, or law. All members must not have any direct or indirect interest in the contracts made with EGAT or in the activities acted for EGAT, except that they are merely shareholders who invest in good faith in limited company or public limited company. All members must not hold any political post or possess prohibited attributes according to the Act on Qualification Standards for Directors and Officials of State Enterprises B.E. 2518 (1975) and its amendment.

• The Chairman and Directors, except the ex-officio Director, are appointed by the Cabinet.

1.2 Authority and Responsibilities

EGAT Board of Directors has the authority and responsibilities as follows:

• Lay down rules and regulations

• Establish EGAT’s vision and policies and accountable for the performance of EGAT management

• Review and approve significant policies and strategies including financial objectives, corporate social responsibility, and other EGAT’s initiatives as well as monitoring the performance of the management regularly

• Ensure the reliability of accounting system, financial statements, and auditing as well as the effectiveness and efficiency of internal control, internal audit, risk management, financial information disclosure, and follow up observance

• Control and address conflicts of interest issues that may occur among employees, management, or Directors as well as monitoring the misuse of EGAT’s property and investigate misconduct of illegal and unethical behavior

• Ensure that the structure and practices of EGAT Board of Directors comply with the principles of good corporate governance and high ethical standards

• Monitor the appropriateness of human resources management including position classification and manpower

• Evaluate the performance of EGAT Governor and review EGAT’s planning regularly

1.3 Members of the Board of Directors

Name

Position

Period of Office in 2012

1. Mr. Pornchai

Rujiprapa

Chairman

Jan. 1 - Dec. 31

2. Mr. Lae

Dilokvidhyarat*

Director

Jan. 1 - Feb. 29

3. Mr. Kurujit

Nakornthap

Director

Jan. 1 - Dec. 31

4. Mr. Trakul

Winitnaiyapak

Director

Jan. 1 - Dec. 31

5. Mr. Sukit

Charoenrattanakul

Director

Jan. 1 - Dec. 31

6. Mr. Porametee Vimolsiri

Director

Jan. 1 - Dec. 31

7. Mr. Prawit

Sarakitprija

Director

Jan. 1 - Dec. 31

8. Mr. Kulit

Sombatsiri

Director

Jan. 1 - Dec. 31

9. Mr. Ariyawich

Ek-Ularnpun**

Director

Jan. 1 - Apr. 16

10. Mr. Arun

Eamsureya**

Director

Jan. 1 - Apr. 16

11. Mrs. Amporn

Nitisiri***

Director

May 1 - Dec. 31

12. Mr. Surachai

Tansitpong***

Director

May 1 - Dec. 31

Director

May 1 - Dec. 31

Director (Ex-officio) & Secretary

Jan. 1 - Dec. 31

13. Mr. Yongyutt Chaipromprasith*** 14. Mr. Sutat

Patmasiriwat****

Remark: Only one change to the Board of Directors was made on May 1, 2012. * Retired ** Resigned *** Having been appointed to replace the members who retired and resigned **** EGAT Governor serves as ex-officio director

Long-lasting friendship...Sustainable energy

1.4 Board Members Holding Office in EGAT’s Affiliates

Name

Position in EGAT’s Affiliates

Period of Office in 2012

Electricity Generating Public Company Limited (EGCO)

1. Mr. Pornchai Rujiprapa

Chairman

Jan. 1 - Dec. 31

2. Mr. Kulit

Director

Jan. 1 - Dec. 31

Sombatsiri

Ratchaburi Electiricity Generating Holding Public Company Limited (RATCH)

1. Mr. Kurujit

Nakornthap

Chairman

Jan. 1 - Dec. 31

2. Mr. Trakul

Winitnaiyapak

Director

Jan. 1 - Dec. 31

3. Mr. Surachai Tansitpong

Director

Jan. 1 - Dec. 31

4. Mr. Sutat

Director

Jan. 1 - Dec. 31

Chairman

Jan. 1 - Dec. 31

Patmasiriwat

EGAT International Company Limited (EGATi)

1. Mr. Sutat

Patmasiriwat

2. Board Committees The Board has appointed seven committees to handle particular critical issues. These committees are Executive Committee, Audit Committee, Enterprise Risk Management Committee, Corporate Governance Committee, Human Resources Committee, Committee for Deputy Governor Nomination, and Committee for Assistant Governor and Division Director Nomination. 2.1 Executive Committee

Duties and Responsibilities • Consider and approve Term of Reference (TOR) and procurement of supplies within the value limits not exceeding 300 million Baht • Consider and screen all issues concerning EGAT’s financial and investment policies and plans as well as annual budget, and recommend the financial and investment strategies that will be beneficial to EGAT • Approve information technology master plan • Consider other issues assigned by the Board or proposed by the Management before submitting to the Board

Members of the Executive Committee

Name

Position

Period of Office in 2012

1. Mr. Ariyawich Ek-Ularnpun*

Chairman

Jan. 1 - Apr. 16

2. Mr. Pornchai Rujiprapa**

Chairman

Apr. 27 - Dec. 31

3. Mr. Kurujit

Nakornthap

Member

Jan. 1 - Dec. 31

4. Mr. Trakul

Winitnaiyapak

Member

Jan. 1 - Dec. 31

5. Mr. Kulit

Sombatsiri

Member

Jan. 1 - Dec. 31

6. EGAT Governor

Member & Secretary

Jan. 1 - Dec. 31

Remark: * Resigned ** Having been appointed to replace Mr. Ariyawich Ek-Ularnpun

2.2 Audit Committee

Duties and Responsibilities • Review the adequacy and effectiveness of EGAT’s internal control and risk management system • Review the reliability of financial statements and financial reports • Monitor observance of laws, rules and regulations, related policies, and EGAT Code of Conduct and Ethics • Monitor the effectiveness and efficient use of information technology systems and resources that meet corporate objectives and create added values for EGAT • Monitor the executive management’s response to recommendations made by independent auditors and the Internal Audit Bureau concerning internal controls and risk management • Review the operation of the Internal Audit Bureau and consider, in consultation with EGAT Governor, the appointment, transfer, performance evaluation, and salary raise of the Assistant Governor - Internal Audit Bureau • Meet and discuss with independent auditors the results of the annual audit • Review at least once a year the appropriateness and effectiveness of the Audit Committee Charter and the Internal Audit Charter

Members of the Audit Committee

Name

Position

Period of Office in 2012

1. Mr. Lae

Dilokvidhyarat*

Chairman

Jan. 1 - Feb. 29

2. Mr. Surachai

Tansitpong**

Chairman

May 25 - Dec. 31

3. Mr. Prawit

Sarakitprija

Member

Jan. 1 - Dec. 31

4. Mr. Porametee

Vimolsiri

Member

Jan. 1 - Dec. 31

Secretary

Jan. 1 - Dec. 31

5. Assistant Governor-Internal Audit Bureau***

Remark: * Retired ** Having been appointed to replace Mr. Lae Dilokvidhyarat *** Assistant Governor-Internal Audit Bureau serves ex-officio as the secretary of Audit Committee 2.3 Enterprise Risk Management Committee

Duties and Responsibilities • Ensure the adequacy and effectiveness of risk management framework and policies which cover all EGAT’s operations • Review policies and systems used in assessing and evaluating risk management and controls as well as auditing and reporting procedures • Oversee and ensure the observance of risk management • Review EGAT’s risk management reports and information to be submitted to regulatory bodies and the public • Perform any other tasks within the purview of the Enterprise Risk Management Committee as assigned by the Board of Directors

Long-lasting friendship...Sustainable energy

Members of the Enterprise Risk Management Committee

Name

1. Mr. Kurujit Nakornthap 2. Mr. Sukit Charoenrattanakul 3. Mr. Yongyutt Chaipromprasith 4. Mr. Sutat Patmasiriwat 5. Deputy Governor - Policy and Planning*

Position

Period of Office in 2012

Chairman Member Member Member Member & Secretary

Jan. 1 - Dec. 31 Jan. 1 - Dec. 31 May 25 - Dec. 31 Jan. 1 - Dec. 31 Jan. 1 - Dec. 31

Remark: * Deputy Governor - Policy and Planning serves ex-officio as the secretary of Enterprise Risk Management Committee 2.4 Corporate Governance Committee

Duties and Responsibilities • Establish policy, strategies, and practical guidelines for corporate governance and social responsibility • Oversee and ensure the observance of the defined plans and practices • Promote and encourage involvement of Directors, EGAT management, and employees in corporate governance and CSR activities

Members of Corporate Governance Committee

Name

1. Mr. Trakul Winitnaiyapak 2. Mr. Kulit Sombatsiri 3. Deputy Governor - Administration 4. Deputy Governor - Corporate Social Affairs 5. Assistant Governor - Human Resources 6. Director of the Office of the Governor*

Position

Chairman Member Member Member Member Member and Secretary

Period of Office in 2012

Jan. 1 - Dec. 31 Jan. 1 - Dec. 31 Jan. 1 - Dec. 31 Jan. 1 - Dec. 31 Oct. 1 - Dec. 31 Jan. 1 - Dec. 31

Remark: * Director of the Office of the Governor serves ex-officio as the secretary of Corporate Governance Committee 2.5 Human Resources Committee

Duties and Responsibility • Propose policy guidelines on human resources • Consider EGAT’s Human Resources Master Plan before submission to the Board of Directors • Perform any other tasks related to HR oversight as assigned by the Board of Directors

Members of the Human Resources Committee

Name

1. Mr. Sukit Charoenrattanakul 2. Mr. Lae Dilokvidhyarat* 3. Mrs. Amporn Nitisiri** 4. Deputy Governor - Administration 5. Assistant Governor - Human Resources***

Position

Period of Office in 2012

Chairman Member Member Member Member & Secretary

Jan. 1 - Dec. 31 Jan. 1 - Feb. 29 May 25 - Dec. 31 Jan. 1 - Dec. 31 Jan. 1 - Dec. 31

Remark: * Retired ** Having been appointed to replace Mr. Lae Dilokvidhyarat *** Assistant Governor - Human Resources serves ex-officio as the secretary of Human Resources Committee

2.6 Committee for Deputy Governor Nomination

The Committee is responsible for considering and recommending Deputy Governor nominees or rotation for the position of Deputy Governor. Members of the Committee for Deputy Governor Nomination

Name

1. Mr. Pornchai 2. Mr. Kurujit 3. Mr. Trakul 4. Mr. Vitaya 5. Mr. Apichart 6. Mr. Surachai 7. Mr. Santad 8. EGAT Governor

Rujiprapa* Nakornthap Winitnaiyapak Kotcharug** Dilogsopon Tansitpong*** Jirayuwat

Position

Period of Office in 2012

Chairman Member Member Member Member Member Member Member & Secretary

Jan. 1 - Dec. 31 Jan. 1 - Dec. 31 Jan. 1 - Dec. 31 Jan. 1 - Apr. 18 Jan. 1 - Dec. 31 Jun. 22 - Dec. 31 Jun. 22 - Dec. 31 Jan. 1 - Dec. 31

Remark: * Chairman of the Board of Directors serves ex-officio as the chairman of Committee for Deputy Governor Nomination, and EGAT Governor serves ex-officio as the secretary of Committee for Deputy Governor Nomination ** Retired *** Having been appointed to replace Mr. Vitaya Kotcharug 2.7 Committee for Assistant Governor and Division Director Nomination

The Committee is responsible for considering and recommending candidates for nomination or rotation for the position of Assistant Governor and Division Director. Members of the Committee for Assistant Governor and Division Director Nomination

Name

1. EGAT Governor* 2. Mr. Kurujit Nakornthap 3. Deputy Governors 4. Deputy Governors - Administration*

Position

Period of Office in 2012

Chairman Member Member Member & Secretary

Jan. 1 - Dec. 31 Jan. 1 - Dec. 31 Jan. 1 - Dec. 31 Jan. 1 - Dec. 31

Remark: * EGAT Governor serves ex-officio as the chairman of Committee for Assistant Governor and Division Director Nomination, and Deputy Governors - Administration serves ex-officio as the secretary of Committee for Assistant Governor and Division Director Nomination

Long-lasting friendship...Sustainable energy

3. Meetings of the Board of Directors and Committees The Board of Directors regularly meets at least once a month. Additional meetings are convened as necessary. For each meeting, further information from the Management can be requested by the members. For the Board Committees, certain committees regularly meet on a monthly basis whereas others hold meetings only when needs arise. Meeting Attendance in 2012

Committee

of Directors Committee Committee Governance Resources for Deputy

Board

Executive

Audit

for Assistant

Corporate Committee

Human Committee

Name

Governor Nomination

Enterprise Risk

Governor & Management Division

Committee

Director

Nomination

1. Mr. Pornchai Rujiprapa 13/13 2. Mr. Lae Dilokvidhyarat 3/3 3. Mr. Kurujit Nakornthap 13/13 4. Mr. Trakul Winitnaiyapak 10/13 5. Mr. Sukit Charoenrattanakul 2/13 10/13 6. Mr. Porametee Vimolsiri 7. Mr. Prawit Sarakitprija 12/13 8. Mr. Kulit Sombatsiri 11/13 9. Mr. Ariyawich Ek-Ularnpun 3/3 10. Mr. Arun Eamsureya 3/3 11. Mr. Surachai Tansitpong 6/8 12. Mrs. Amporn Nitisiri 8/8 13. Mr. Yongyutt Chaipromprasith 7/8 14. Mr. Santad Jirayuwat 15. Mr. Apichart Dilogsopon 16. Mr. Sutat Patmasiriwat 13/13

12/12 11/12 9/12 11/12 12/12

2/2 9/11 10/11 6/6

2/2 2/2

1/1 1/4 3/3

2/2 2/2 2/2 2/2 2/2 2/2 2/2

4/4 4/4

4/4 1/4

2/3

Remark : Times of attendance by each member against total number of meetings convened during his/her period of office

4. Board Self-Assessment Board self-assessment is conducted to examine the performance and effectiveness of the Board of Directors to help identify weak points that need improvement. The self-assessment also provides an opportunity for all Board members to review their past performance and obstacles confronted and to gauge their contribution to EGAT’s success in order to improve their performance in discharging their oversight duties and in determining EGAT’s strategic directions. The annual self-assessment comprises individual self assessment and collective Board selfassessment. Results of the evaluation are notified to the entire Board for discussion. For new Board members, an orientation program has been provided. The program includes an insight into EGAT’s policies, mission, rules and regulations, business operations and practices, and work systems. They have been also given a set of handbooks containing guidelines and other necessary information. In addition, training and development programs organized by various institutions are arranged for all Board members. They have been notified of these programs to enable each member to attend as appropriate.

5. Remuneration for Directors The remuneration for directors of EGAT is stated at the rates set by the Cabinet. In addition, directors appointed to serve as members of Board committees including Audit Committee, Executive Committee, Corporate Governance Committee, and Enterprise Risk Management Committee will receive more remuneration at the same rates. The remuneration for EGAT Board of Directors in 2012 totaled 5,541,540.31 Baht detailed as follows:

Name

Meeting Allowance (Baht)

Bonus Total (Baht) (Baht)

1. Mr. Pornchai

Rujiprapa

225,000.00

424,178.43

649,178.43

2. Mr. Kurujit

Nakornthap

215,000.00

339,342.75

554,342.75

3. Mr. Trakul

Winitnaiyapak

187,500.00

331,923.39

519,423.39

4. Mr. Sukit

Charoenrattanakul

30,000.00

83,467.74

113,467.74

5. Mr. Porametee Vimolsiri

210,000.00

83,467.74

293,467.74

6. Mr. Prawit

Sarakitprija

230,000.00

83,467.74

313,467.74

7. Mr. Kulit

Sombatsiri

200,000.00

83,467.74

283,467.74

8. Mr. Lae

Dilokvidhyarat

70,000.00

339,342.75

409,342.75

9. Mr. Ariyawich

Ek-Ularnpun

80,000.00

62,600.81

142,600.81

10. Mr. Arun

Eamsureya

30,000.00

37,375.01

67,375.01

11. Mrs. Amporn

Nitisiri

132,500.00

12. Mr. Surachai

Tansitpong

180,000.00

13. Mr. Yongyutt

Chaipromprasith

70,000.00

14. Mr. Sutat

Patmasiriwat

15. Mr. Witoon

Simachokedee

16. Mr. Arkhom

345,000.00

482,500.00

191,906.25

Termpittayapaisith

255,874.99

17. Mr. Kasemsun

Chinnavaso

257,791.66

18. Mr. Thevan

Vichitakul

253,958.32

19. Mr. Vitavas

Srivihok

255,875.00

114,999.99

20. Gen. Viddhavat Rajatanun Total

137,500.00

1,997,500.00

3,544,040.31

5,541,540.31

Remark : Some members of the Board resigned or vacated their office during 2012

Long-lasting friendship...Sustainable energy

Long-lasting friendshipâ&#x20AC;ŚSustainable energy

Realizing the importance of community and local area development together with power development, EGAT has collaborated with all relevant parties to develop the communities around the power plants as appropriate according to the potential of each area to create jobs and generate income for the better economic in a sustainable way. â&#x20AC;&#x153;Mae Moh Festivalâ&#x20AC;? has been organized by EGAT for ten consecutive years. Today, around 150,000 people have visited the festival annually. As a result, it was added to the calendar of the Tourism Authority of Thailand as one of the national events.

Board of Directors Education / Training

- PH. D. (Regional Economics), University of Pennsylvania, U.S.A. - M.Sc. (Regional Economics), University of Pennsylvania, U.S.A. - M.P.A. (Programming Planning Administration), National Institute of Development Administration (NIDA) - B.Sc. (Agro-Industry), Kasetsart University - National Defense Course (Class 41), National Defense College of Thailand - Director Accreditation Program (DAP), Thai Institute of Directors Association (IOD)

Mr. Pornchai Rujiprapa Age 60 Chairman

Work Experience

2012 - Present 2010 - 2012 2006 - 2010 2003 - 2006 1999 - 2003

Former Permanent Secretary, Ministry of Science and Technology Permanent Secretary, Ministry of Science and Technology Permanent Secretary, Ministry of Energy Deputy Permanent Secretary, Ministry of Energy Deputy Secretary General, National Economic and Social Development Board (NESDB)

Directorship / Management Position in Other State Enterprise / Company

â&#x20AC;˘ Board Chairman, Electricity Generating Public Company Limited (EGCO) â&#x20AC;˘ Board Chairman, National Innovation Board

Amount / Value of Shares in Other Companies *

None

Connected Transactions in 2012

None

* Refers only to shares of company in the same industry or business in which EGAT operates and the amount of the shares held is equal to or higher than 10 percent of the total voting rights.

Mr. Lae Dilokvidhyarat Age 65 Director

Education / Training

- M.A. (Development Studies), Institute of Social Studies, The Hague, The Netherlands - B.A. (Political Science - Public Finance), Chulalongkorn University - Training programs held by the Thai Institute of Directors Association (IOD) • Finance for Non-Finance Director Program (FND) • Director Accreditation Program (DAP) • Director Certification Program (DCP) • Role of the Chairman Program (RCP) • Audit Committee Program (ACP) • DCP Refresher Course • Monitoring the Internal Audit Function Program (MIA) • Monitoring the Quality of Financial Reporting Program (MFR)

Work Experience

2007 - Present 1972 - 2007

Distinguished Scholar, Faculty of Economics, Chulalongkorn University Associate Professor, Faculty of Economics, Chulalongkorn University

Directorship / Management Position in Other State Enterprise / Company

• Director, Ratchaburi Electricity Generating Holding Public Company Limited (RATCH) • Director, Ratchaburi Power Company Limited

Amount / Value of Shares in Other Companies *

None

Connected Transactions in 2012

None

* Refers only to shares of company in the same industry or business in which EGAT operates and the amount of the shares held is equal to or higher than 10 percent of the total voting rights.

Long-lasting friendship...Sustainable energy

Education / Training

- Ph.D., M.Sc. in Petroleum Engineering, University of Oklahoma, U.S.A. - B.Sc. (with Special Distinction) in Petroleum Engineering, University of Oklahoma, U.S.A. - Civil Service Executive Program for Senior Civil Servants (Visionary Leadership: Class 46), Office of the Civil Service Commission - Senior Executive Program - SEP60, London Business School, U.K. - Training programs held by the Thai Institute of Directors Association (IOD) • Director Accreditation Program (DAP 64/2007) • Audit Committee Program (ACP 32/2010) • Role of Compensation Committee (RCC 12/2011) - National Defense Course (Class 51), National Defense College of Thailand - Top Executive Program in Commerce and Trade - TEPCoT, (Class 3/2010) - Leadership for Change, (Class 2/2011), Right Livelihood Foundation, Matichon Group, Bangkok - Senior Executive Program on Administrative Justice, (Class 2 2011), Institute of Administrative Justice Development - Capital Market Academy Leadership Program (Class 12), Capital Market Academy, Stock Exchange of Thailand - Energy Literacy Leadership Program (Class 1), Thailand Energy Academy

Mr. Kurujit Nakornthap Age 57 Director

Work Experience

2010 - Present 2008 - 2010 2006 - 2008 2006

Deputy Permanent Secretary, Ministry of Energy Director - General, Department of Mineral Fuels, Ministry of Energy Deputy Permanent Secretary, Ministry of Energy Deputy Director - General, Department of Mineral Fuels, Ministry of Energy

Directorship / Management Position in Other State Enterprise / Company

• Chairman, Ratchaburi Electricity Generating Holding Public Company Limited • Director, ESSO (Thailand) Public Company Limited

Amount / Value of Shares in Other Companies *

None

Connected Transactions in 2012

None

* Refers only to shares of company in the same industry or business in which EGAT operates and the amount of the shares held is equal to or higher than 10 percent of the total voting rights.

Mr. Trakul Winitnaiyapak Age 62 Director

Education / Training

- LL.M., School of Law, Tulane University, U.S.A. - Barrister at Law, Institute of Legal Education of Thai Bar Association - LL.B., Thammasat University - National Defense Course for the Joint State - Private Sector (Class 17), National Defense College of Thailand - Politics and Governance in Democratic Systems for Executive Course (Class 11), King Prajadhipok’s Institute - Crime Prevention and Treatment of Offender, UNAFEI, Japan - Training in Child Abuse Prosecutors and Investigators, American Prosecutor Research Institute, U.S.A. - Children’s Rights, British Council International Seminar, Oxford University, U.K. - The 2000 Executive Leadership Program, Georgetown University, U.S.A. - Senior Criminal Justice Executive Program, International Law Enforcement Academy, Thailand - Senior Crisis Management Program, Maryland University, U.S.A.

Work Experience

2011 - Present 2005 - 2011 2005 - 2006 2003 - 2005

Deputy Attorney - General, Office of the Attorney General Inspector General, Office of the Attorney General Director - General, Advisory Department, Office of the Attorney General Director - General, International Affairs Department, Office of the Attorney General

Directorship / Management Position in Other State Enterprise / Company

• Director, Ratchaburi Electricity Generating Holding Public Company Limited (RATCH) • Director, Provincial Waterworks Authority

Amount / Value of Shares in Other Companies *

None

Connected Transactions in 2012

None

* Refers only to shares of company in the same industry or business in which EGAT operates and the amount of the shares held is equal to or higher than 10 percent of the total voting rights.

Long-lasting friendship...Sustainable energy

Education / Training

- Cert. of Advanced Study (Pol. Sc. & Pub. Ad. Equivalent to Doctor Degree 3 Year Cycle in France) Northern Illinois Univerity, U.S.A. - M.A. (Political Science), Eastern New Mexico University, U.S.A. - B.A. (Political Science), Chiangmai University, Thailand - Personnel Management, University of Essex, U.K. - Senior Executive Government (13) Department of Provincial Administration, Ministry of Interior - National Defense Course (Class 43), National Defense College of Thailand

Mr. Sukit Charoenrattanakul Age 60 Director

Work Experience

2012 - Present

2011 - 2012 2009 - 2011 2008 - 2009 2008 - 2008

Visiting Lecturer, College of Local Administration, Khon Kaen University Visiting Lecturer, Faculty of Political Sciences, Ramkhamhaeng University Director General, Department of Provincial Administration Inspector General, Ministry of Interior Director General, Department of Local Administration Deputy Permanent Secretary, Ministry of Interior

Directorship / Management Position in Other State Enterprise / Company Director, Provincial Waterworks Authority of Thailand Amount / Value of Shares in Other Companies *

None

Connected Transactions in 2012

None

* Refers only to shares of company in the same industry or business in which EGAT operates and the amount of the shares held is equal to or higher than 10 percent of the total voting rights.

Mr. Porametee Vimolsiri Age 52 Director

Education / Training

- Ph.D. (Economics), Carleton University, Canada - M.A. (International Affairs), Columbia University, U.S.A. - B.A. (Economics), Chulalongkorn University - Executive Creative Economy Training, Office of Knowledge Management and Development in collaboration with University of the Thai Chamber of Commerce - National Defense Course, National Defense College of Thailand - Director Certification Program (DCP), Thai Institute of Directors Association (IOD) - Chief Information Officer (CIO) Program (Class 23) - Top Executive Program in Commerce and Trade : TEPCot (Class 5) Work Experience

2011 - Present 2011 - Present 2010 - Present 2006 - Present

Deputy Secretary General, Office of the National Economic and Social Development Board (NESDB) Management Board, Thailand Creative Economy Agency Director, National Innovation Board Management Board, Neighboring Countries Economic Development Cooperation Agency

Directorship / Management Position in Other State Enterprise / Company

• Director, Mass Rapid Transit Authority of Thailand • Director, Neighboring Countries Economic Development Cooperation Agency • Director, Thailand Creative Economy Agency • Director, National Innovation Board • Director, National Center for Genetic Engineering and Biotechnology • Director, the Halal Science Center, Chulalongkorn University

Amount / Value of Shares in Other Companies *

None

Connected Transactions in 2012

None

* Refers only to shares of company in the same industry or business in which EGAT operates and the amount of the shares held is equal to or higher than 10 percent of the total voting rights

Long-lasting friendship...Sustainable energy

Education / Training

- M.A. (Development Economics), Boston University, U.S.A. - B.A. (Business Administration), Boston University, U.S.A. - National Defense College (Class 49), National Defense College of Thailand - Chief Information Officer Program (Class 19) - Director Certification Program (DCP), Class 75, Thai Institute of Directors Association (IOD) - The Civil Service Executive Development Program 1 (Class 39), Office of the Civil Service Commission

Mr. Prawit Sarakitprija Age 59 Director

Work Experience

2008 - 2011 2006 - 2008 2003 - 2006

Public Debt Advisor, Public Debt Management Office, Ministry of Finance Deputy Director - General, Public Debt Management Office, Ministry of Finance Director, Payment Administration and IT Bureau, Public Debt Management Office, Ministry of Finance

Directorship / Management Position in Other State Enterprise / Company

â&#x20AC;˘ Committee, Zoological Park Organization of Thailand â&#x20AC;˘ Committee, Financial Institutions Development Fund (FIDF), Bank of Thailand

Amount / Value of Shares in Other Companies *

None

Connected Transactions in 2012

None

* Refers only to shares of company in the same industry or business in which EGAT operates and the amount of the shares held is equal to or higher than 10 percent of the total voting rights.

Mr. Kulit Sombatsiri Age 49 Director

Education / Training

- M.B.A., University of Southern California, U.S.A. - M.P.A., San Diego State University, U.S.A. - B.A. (Political Science), Ramkhamhaeng University - Capital Market Academy Leadership Program (Class 10), Capital Market Academy, Stock Exchange of Thailand - Corporate Governance Program for Directors and Executives of State Enterprises and Public Organizations (Class 3), Public Director Institute (PDI) - Director Certification Program (DCP) Class 124, Thai Institute of Directors Association (IOD) - Executive Training 2 (Class 1), Office of the Civil Service Commission - Executive Training 1 (Class 40), Office of the Civil Service Commission - The Joint State-Private Sector Course (Class 24), National Defense College of Thailand

Work Experience

2011 - Present 2010 - 2011 2008 - 2010 2007 - 2008 2006 - 2008

Inspector General, Ministry of Finance Advisor, State Enterprise Policy Office, Ministry of Finance Deputy Director, State Enterprise Policy Office Director, Office of Currency Manage Treasury Department, Ministry of Finance Deputy Secretary General, National Telecom Commission

Directorship / Management Position in Other State Enterprise / Company

â&#x20AC;˘ Director, TOT Public Company Limited â&#x20AC;˘ Director, Krung Thai Asset Management PLC

Amount / Value of Shares in Other Companies *

None

Connected Transactions in 2012

None

* Refers only to shares of company in the same industry or business in which EGAT operates and the amount of the shares held is equal to or higher than 10 percent of the total voting rights.

Long-lasting friendship...Sustainable energy

Education / Training

- Master of Business Administration, Chulalongkorn University - B.Sc. (Agricultural Economics), Kasetsart University - B.A. (Laws), Thammasat University

Mr. Ariyawich Ek-Ularnpun Age 62 Director

Work Experience

Executive Vice President, Krung Thai Asset Management Public Company Limited. Directorship / Management Position in Other State Enterprise / Company

Independent Director, Classic Gold Futures Company Limited.

Amount / Value of Shares in Other Companies *

None

Connected Transactions in 2012

None

* Refers only to shares of company in the same industry or business in which EGAT operates and the amount of the shares held is equal to or higher than 10 percent of the total voting rights.

Mr. Arun Eamsureya Age 51 Director

Education / Training

- M.B.A. (Business Administration), New Hampshire College, U.S.A. - B.A. (Economics), Thammasat University - Capital Market Academy Leadership Program, Capital Market Academy, Stock Exchange of Thailand - Real Estate Development Program (Class 7), the Real Estate Executive Association of Chulalongkorn University - Directors Certification Program (DCP), Thai Institute of Directors Association (IOD) Work Experience

2010 - Present 2009 - Present 2009 2002 - Present 1996 - Present

Sub - Committee, Bureau of Community College Administration Independent Director, M Pictures Entertainment Company Limited Executive Committee, Office of Small and Medium Enterprise Promotion President, Shanghai Food Company Limited President, AEH Company Limited

Directorship / Management Position in Other State Enterprise / Company

â&#x20AC;˘ President, Shanghai Food Company Limited â&#x20AC;˘ President, AEH Company Limited

Amount / Value of Shares in Other Companies *

None

Connected Transactions in 2012

None

* Refers only to shares of company in the same industry or business in which EGAT operates and the amount of the shares held is equal to or higher than 10 percent of the total voting rights.

Long-lasting friendship...Sustainable energy

Education / Training

- M.A. (Political Science), Thammasat University - B.A. (Social Science), Kasetsart University - Capital Market Academy Leadership Program (Class 6), Capital Market Academy - Democratic Politics and Governance for High-Level Administrators Program (Class 10), King Prajadhipokâ&#x20AC;&#x2122;s Institute - National Defense Course (Class 45), National Defense College of Thailand - Financial Statements for Directors Program-FSD (Class 16), Thai Institute of Directors

Mrs. Amporn Nitisiri Age 61 Director

Work Experience

2008 - 2011 2007 2006

Director - General, Department of Labor Protection and Welfare, Ministry of Labor Inspector General, Office of Permanent Secretary, Ministry of Labor Advisor, Office of Permanent Secretary, Ministry of Labor

Directorship / Management Position in Other State Enterprise / Company

Director, Welfare and Benefits Sub-Committee, Office of the National Broadcasting and Telecommunications Commission Amount / Value of Shares in Other Companies *

None

Connected Transactions in 2012

None

* Refers only to shares of company in the same industry or business in which EGAT operates and the amount of the shares held is equal to or higher than 10 percent of the total voting rights.

Mr. Surachai Tansitpong Age 63 Director

Education / Training

- M.P.A., National Institute of Development Administration (NIDA) - B.B.A., Sukhothai Thammathirat Open University - B.Eng. (Civil Engineering), Chulalongkorn University - National Defense Course, National Defense College of Thailand - Senior Executive Program, Department of Provincial Administration - Civil Service Executive Program for Civil Senior Executive Officers, Office of the Civil Service Commission - Director Accreditation Program (DAP), Thai Institute of Directors Association (IOD)

Work Experience

2009 - Present 2008 - 2009 2006 - 2007 2002 - 2005

Executive Board Chairman, Siam Geotechnic Company Limited Permanent Secretary, Ministry of Transport Deputy Permanent Secretary, Ministry of Transport Director - General, Department of Rural Roads, Ministry of Transport

Directorship / Management Position in Other State Enterprise / Company

â&#x20AC;˘ Board Chairman, Siam Geotechnic Company Limited â&#x20AC;˘ Director, Dhanasindhi Company Limited

Amount / Value of Shares in Other Companies *

None

Connected Transactions in 2012

None

* Refers only to shares of company in the same industry or business in which EGAT operates and the amount of the shares held is equal to or higher than 10 percent of the total voting rights.

Long-lasting friendship...Sustainable energy

Education / Training

- M.B.A., Southern New Hampshire University, U.S.A. - Bachelor of Economics (Monetary Economics and Finance), Chulalongkorn University, Thailand - National Defense Joint Public - Private Sector Course (Class 24), National Defense College of Thailand - Psychological Operations Staff Course (Class 90), Applied Psychology Institute

Mr. Yongyutt Chaipromprasith Age 47 Director

Work Experience

2012 - Present 2012 - Present 2005 - Present

Director, Krungthai Bank Sub - Committee on Strategic Management, National Health Security Office (NHSO), Chief Executive Officer, Aquarius Estate Company Limited

Directorship / Management Position in Other State Enterprise / Company

â&#x20AC;˘ Chief Executive Officer, Aquarius Estate Company Limited â&#x20AC;˘ Director, MCOT PLC.

Amount / Value of Shares in Other Companies *

None

Connected Transactions in 2012

None

* Refers only to shares of company in the same industry or business in which EGAT operates and the amount of the shares held is equal to or higher than 10 percent of the total voting rights.

Mr. Sutat Patmasiriwat Age 59 Director (Ex - officio) and Secretary

Education / Training

- B.Eng. (Mechanical Engineering), Chulalongkorn University - Advanced Management Program, Harvard Business School, U.S.A. - Senior Executive Development Program, Foundation for International Human Resource Development - Creating Value through Product Management and Customer Profitability Program, Sasin Graduate Institute of Business Administration of Chulalongkorn University - Training programs held by the Thai Institute of Directors Association (IOD) • Director Certification Program (DCP) • Role of the Chairman Program (RCP)

Work Experience

2009 - Present 2008 - 2009 2007 - 2008

EGAT Governor Deputy Governor - Generation, EGAT Assistant Governor - Administration, Generation Area, EGAT

Directorship / Management Position in other State Enterprise / Company

• Chairman, EGAT International Company Limited (EGATi) • Chairman, Ratchaburi Power Company Limited • Director, Ratchaburi Electricity Generating Holding Public Company Limited (RATCH)

Amount / Value of Shares in Other Companies *

None

Connected Transactions in 2012

None

* Refers only to shares of company in the same industry or business in which EGAT operates and the amount of the shares held is equal to or higher than 10 percent of the total voting rights.

Long-lasting friendship...Sustainable energy

Executives Mr. Sutat Patmasiriwat Age 59 Governor

Education / Special Training

• Bachelor of Engineering (Mechanical Engineering), Chulalongkorn University • Advanced Management Program, Harvard Business School, U.S.A. • Senior Executive Development Program-2, Foundation for International Human Resource Development • Masterful Coaching Workshop, Hay Group • Creating Value Through Product Management and Customer Profitability, Sasin Graduate Institute of Business Administration of Chulalongkorn University • ASEAN Executive Development Program, Thammasat Business School • Training programs held by the Thai Institute of Directors Association (IOD) - Director Certification Program (DCP) - Role of the Chairman Program (RCP)

Work Experience

December 29, 2009 October 1, 2008 December 21, 2007 October 1, 2006

Governor Deputy Governor - Generation Assistant Governor - Administration, Generation Area Assistant Governor - Operation and Maintenance Business Mr. Thanakorn Poolthavee Age 59 Deputy Governor - Fuel

Education / Special Training

• Bachelor of Engineering (Mining Engineering), Chulalongkorn University • Public Director Certification Program, Public Director Institute (PDI) • Executive Program for Senior Management, Fiscal Policy Research Institute Foundation • Senior Executive Development Program-1, General Electric Company, U.S.A. • Finance for Executive Decision Program, Continuing Education Center, Chulalongkorn University • Director Certification Program, Thai Institute of Directors Association • Senior Executive Development Program-2, Foundation for International Human Resource Development

Work Experience

January 6, 2010 March 31, 2006 October 1, 2005

Deputy Governor - Fuel Assistant Governor - Fuel Management Executive Vice President - Fuel Management

Mr. Surasak Supavititpatana Age 60 Deputy Governor - Generation Education / Special Training

• Bachelor of Engineering (Electrical Engineering), Kasetsart University • Public Economics Management for Executives, King Prajadhipok’s Institute • Director Certification Program, Thai Institute of Directors Association • Senior Executive Development Program-2, Foundation for International Human Resource Development • Masterful Coaching Workshop, Hay Group • Finance for Executive Decision Program, Continuing Education Center, Chulalongkorn University • Positioning Utility Executives for Change, University of Idaho, U.S.A. • Air War College, The Royal Thai Air Force

Work Experience

January 6, 2010 October 1, 2006

Deputy Governor - Generation Assistant Governor - Power Plant 2

Mr. Thana Putarungsi

Age 57 Deputy Governor - Transmission System Education / Special Training

• Master of Engineering (Electrical Engineering), Kasetsart University • Bachelor of Engineering (Electrical Engineering), Kasetsart University • Energy Literacy for a Sustainable Future Course, Thailand Energy Academy • Politics and Governance in Democratic Systems for Executives, King Prajadhipok’s Institute • Director Certification Program, Thai Institute of Directors Association • Financial Statement for Directors Program, Thai Institute of Directors Association • Senior Executive Development Program-2, Foundation for International Human Resource Development • Masterful Coaching Workshop, Hay Group • Finance for Executive Decision, Continuing Education Center, Chulalongkorn University

Work Experience

October 1, 2010 October 1, 2008

Deputy Governor - Transmission System Assistant Governor - Transmission System Operation Long-lasting friendship...Sustainable energy

Mr. Pithsanu Tongveerakul

Age 59 Deputy Governor - Business Development Education / Special Training

• Master of Engineering, Lamar University, U.S.A. • Bachelor of Engineering (Mechanical Engineering), Chulalongkorn University • Director Certification Program, Thai Institute of Directors Association • Senior Executive Development Program-2, Foundation for International Human Resource Development

Work Experience

October 1, 2011 December 21, 2007

Deputy Governor - Business Development Assistant Governor - Operation and Maintenance Business

Mr. Viwat Saeneemanomai

Age 59 Deputy Governor - Transmission System Development Education / Special Training

• Bachelor of Engineering (Electrical Engineering), Chulalongkorn University • Director Certification Program, Thai Institute of Directors Association • Masterful Coaching Workshop, Hay Group • Finance for Executive Decision Program, Continuing Education Center, Chulalongkorn University • Senior Executive Development Program-2, Foundation for International Human Resource Development • Electrical Power System Program: Transformer and Electrical Appliance, in Germany, England, and Switzerland

Work Experience

October 1, 2011 December 21, 2007

Deputy Governor - Transmission System Development Assistant Governor - Transmission System Engineering

Mr. Mongkol Sakulkao

Age 59 Deputy Governor - Policy and Planning Education / Special Training

• Master of Engineering (Water Resources Engineering), Asian Institute of Technology • Bachelor of Engineering (Mechanical Engineering), Kasetsart University • Thailand and ASEAN Economic Community (AEC) Program, King Prajadhipok’s Institute • Senior Executive Program, Sasin Graduate Institute of Business Administration of Chulalongkorn University • Senior Executive Development Program-2, Foundation for International Human Resource Development • Masterful Coaching Workshop, Hay Group • Finance for Executive Decision, Continuing Education Center, Chulalongkorn University • ASEAN Executive Development Program, Thammasat Business School

Work Experience

October 1, 2011 October 1, 2008

Deputy Governor - Policy and Planning Assistant Governor - Planning

Mr. Soonchai Kumnoonsate

Age 56 Deputy Governor - Power Plant Development Education / Special Training

• Bachelor of Engineering (Electrical Engineering), Chulalongkorn University • EGAT Successor Development Program • Excellence in Situation Management Program • Energy Literacy for a Sustainable Future Course, Thailand Energy Academy • Public Administration and Law for Executives Course, King Prajadhipok’s Institute • Director Accreditation Program, Thai Institute of Directors Association • Advanced Management Program, Harvard Business School, U.S.A. • Psychological Operations Staff Course, Applied Psychology Institute

Work Experience

October 1, 2011 January 6, 2010

Deputy Governor - Power Plant Development Assistant Governor - Fuel Management

Long-lasting friendship...Sustainable energy

Mr. Piboon Buacham

Age 58 Deputy Governor - Administration Education / Special Training

• Master of Science Program in Applied Statistics (Hons.), National Institute of Development Administration • Bachelor of Engineering (Electrical Engineering), Chulalongkorn University • Public Administration and Law for Executives Course, King Prajadhipok’s Institute

Work Experience

October 1, 2012 October 1, 2008

Deputy Governor - Administration Assistant Governor - System Control Mr. Poonsuk Tochanakarn

Age 58 Deputy Governor - Account and Finance Serving as Chief Financial Officer (CFO) Education / Special Training

• Bachelor of Accountancy, Chulalongkorn University • Director Certification Program, Thai Institute of Directors Association • Executive Finance Management Program, Economics and Finance Academy

Work Experience

October 1, 2012 October 1, 2011 January 6, 2010

Deputy Governor - Account and Finance, serving as Chief Financial Officer (CFO) Assistant Governor - Account Assistant Governor - Internal Audit Bureau Mr. Pongdith Potchana

Age 57 Deputy Governor - Corporate Social Affairs Serving as EGAT Spokesman Education / Special Training

• Master of Engineering (Civil Engineering), The Georgia Institute of Technology, U.S.A. • Bachelor of Engineering (Civil Engineering), Chiangmai University • Public Administration and Law for Executives Course, King Prajadhipok’s Institute

Work Experience

October 1, 2012 July 1, 2012 October 1, 2010

Deputy Governor - Corporate Social Affairs, serving as EGAT Spokesman Assistant Governor - Corporate Social Affairs Assistant Governor - Corporate Social Responsibility

Executives Posted to EGAT Affiliates Mr. Noppol Milinthanggoon Age 58 Engineer Level 14 to the Governor Chief Executive Officer, Ratchaburi Electricity Generating Holding Public Company Limited Education / Special Training

• Master of Engineering (Nuclear Technology), Chulalongkorn University • Bachelor of Engineering (Electrical Engineering) 2nd Class Honors, Chulalongkorn University • Public Economics Management for Executives Course, King Prajadhipok’s Institute • Finance for Executive Decision Program, Continuing Education Center, Chulalongkorn University • Director Certification Program, Thai Institute of Directors Association • Certificate of Senior Executive Development Program-1, General Electric Company, U.S.A. • Certificate of Senior Executive Development Program-2, Foundation for International Human Resource Development • Certificate of ASEAN Executive Development Program, Thammasat Business School • Certificate of Senior Command Course, Institute of Police Administration Development

Work Experience

October 1, 2010 October 1, 2008 December 21, 2007 October 1, 2005

Engineer Level 14 to the Governor appointed as President of Ratchaburi Electricity Generating Holding Public Company Limited Engineer Level 13 to the Governor appointed as President of Ratchaburi Electricity Generating Holding Public Company Limited Assistant Governor - Thermal Power Plant Construction, EGAT Executive Vice President - Power Plant Engineering, EGAT

Long-lasting friendship...Sustainable energy

Mr. Somboon Arayaskul Age 59 Engineer Level 14 to the Governor Senior Executive Vice President and Acting President, EGAT International Company Limited Education / Special Training

• Master of Engineering (Mechanical Engineering), Villanova University, U.S.A. • Bachelor of Engineering (Mechanical Engineering), Mapua Institute of Technology, Philippines • Public Director Certification Program, Public Director Institute (PDI) • Civil Service Executive Development Program 1, Office of the Civil Service Commission • Senior Executive Development Program-1, General Electric Company, U.S.A. • Finance for Executive Decision Program, Continuing Education Center, Chulalongkorn University • Director Certification Program, Thai Institute of Directors Association • Senior Executive Development Program-2, Foundation for International Human Resource Development • General Manager Program, Harvard Business School, U.S.A.

Work Experience

October 1, 2011 December 6, 2007 October 1, 2005

Engineer Level 14 to the Governor appointed as Senior Executive Vice President and Acting President of EGAT International Company Limited Deputy Governor - Development, EGAT Executive Vice President - Thermal Power Plant Construction, EGAT

Mr. Sahust Pratuknukul Age 57 Engineer Level 14 to the Governor President, Electricity Generating Public Company Limited Education / Special Training

• Bachelor of Engineering (Electrical Engineering), Chulalongkorn University • Joint Public - Private Sectors Regular Course, National Defense College of Thailand • Senior Executive Development Program-1, General Electric Company, U.S.A. • Director Certification Program, Thai Institute of Directors Association • Finance for Executive Decision Program, Continuing Education Center, Chulalongkorn University

Work Experience

October October October October

1, 2011 1, 2008 1, 2006 1, 2005

Engineer Level 14 to the Governor appointed as President of Electricity Generating Public Company Limited Deputy Governor - Policy and Planning, EGAT Assistant Governor - Policy, EGAT Assistant Chief Executive Officer - Planning, EGAT

Executives Retiring during 2012

Mr. Wirash Kanchanapibul Deputy Governor - Administration (January 6, 2010 - September 30, 2012) Reaching retirement age on October 1, 2012

Mr. Thawat Vadjanapornsithi Deputy Governor - Corporate Social Responsibility (November 15, 2010 - September 30, 2012)

Reaching retirement age on October 1, 2012

Mrs. Sunanta Kietsirikul Deputy Governor - Account and Finance (October 1, 2011 - September 30, 2012) Reaching retirement age on October 1, 2012

Long-lasting friendship...Sustainable energy

Corporate Governance It has been the intention of EGAT to execute the organization with efficiency, full capability, and transparency to create sustainable value and enhance corporate image as well as stakeholders’ confidence and trust. EGAT has also improved its corporate governance system and practices to meet the international best practices. EGAT’s corporate governance is based on 6 pillars of good corporate governance consisting of rules of law, moral integrity, transparency, participation, responsibility and accountability, and effectiveness and efficiency. From its commitment to continuously give importance to its governance system and practices, in 2012 EGAT won the following awards which reflected its good corporate governance:

• “Best Organizational Management Award” for 7 consecutive years from 2005 to 2012. Moreover, in 2008 and 2012 EGAT was given an honorary trophy for having won “Best Management Award” for 3 consecutive years

• “Outstanding Innovation Award” for the invention of “insulator delivery”

• EGAT’s three inventions won 3 gold medals in the Seoul International Invention Fair (SIIF), namely suspension line cross insulator for 230 KV transmission line, sound control device for electricity system control centre, and internal grinding machine.

• “Environmental Impact Assessment (EIA) Monitoring Awards” from the Office of Natural Resources and Environmental Policy and Planning during 2008-2012 for the Fuel Unloading Pier for Krabi Thermal Power Plant Project and North Bangkok Power Plant Project

• “Sing Thong Good Governance Award 2012” to the Director of Northeastern Hydropower Plant by the Broadcaster and Journalist’s Assembly of Thailand

• “CSR-DIW (Corporate Social Responsibility: Department of Industrial Works) Award” for Mae Moh Power Plant, Bhumibol Dam, and Ubol Ratana Dam during 2010-2012

Today, EGAT still has a strong determination to develop its good governance system and practices for the best interest of all stakeholders. In 2012, its governance practice still emphasized the independence as well as checks and balances of its governance structure with diverse knowledge, skills, and experiences to drive EGAT toward excellence. Principal achievements are as follows: 1. Corporate Governance Policy Corporate Governance policy was established as a basis and guidelines for the employees in continuous operation. Policy for effective operation under the changing circumstances is also issued by the EGAT Governor.

2. Corporate Governance Structure

2.1 Independence and balance

Independence is a key factor to enhance accountability of each Board member. Independent members shall be able to use their independent judgments and drive for change or inhibition of any execution when necessary.

In 2012, EGAT Board of Directors consisted of 11 members as follows:

Composition

Number

Executive officer from the Ministry of Energy

Executive officers from the Ministry of Finance

Independent directors

EGAT Governor

Total

The greater number of independent members on EGAT Board of Directors than half of the total members reflects the suitable structure of corporate governance.

2.2 Board expertise

Members of EGAT Board of Directors are competent professionals in various areas beneficial for EGAT including the following: • Energy • Business management and administration • Engineering • Human resources management and labor relations • Administration, politics, and national security • Economics, finance, and treasury • Communication and information technology Long-lasting friendship...Sustainable energy

3. The State of Direction Policy The Ministry of Finance, by the State Enterprise Policy Office, as owner, gives advice to EGAT together with the Ministry of Energy and the National Economics and Social Development Board based on state of direction policy (SOD) in establishing the strategic framework and EGAT corporate plan to achieve the target. Moreover, another mechanism is the appointment of representatives of the Ministry of Finance and Ministry of Energy which are the supervisory organizations of EGAT together with independent members on the list of Ministry of Finance in the EGAT Board of Directors to give advice and comments on good corporate governance. 4. Responsibility of the Board of Directors The Board of Directors has a key role in monitoring the operation, making decision, and planning EGATâ&#x20AC;&#x2122;s policy and strategy. Seven committees are appointed by the Board of Directors to deliberate, approve, and review action plans of EGATâ&#x20AC;&#x2122;s five key systems as well as monitoring the operation and functioning of those system including risk management, internal control, internal audit, information technology management, and human resources management systems. The Board committees and their scope of responsibility are as follows: 1. Executive Committee 2. Audit Committee 3. Corporate Governance Committee 4. Enterprise Risk Management Committee 5. Human Resources Committee 6. Committee for Deputy Governor Nomination 7. Committee for Assistant Governor and Division Director Nomination Moreover, regular financial and non-financial reports are prepared monthly or quarterly as necessary. Operation monitoring of the systems is carried out mostly through the meeting of the Board of Directors which is scheduled at least one month in advance. The Board of Directors has made various observations and suggestions regularly. Other monitoring channels are visits to EGAT operation, participation in EGAT activities, and requests for additional information or relevant persons to give further information in the meeting. The Enterprise Risk Management Committee is responsible for reviewing key risk management factors and adding new risk factors on the damage of transmission system from the accidents as well as deterioration and risk in connection with the lignite and nuclear power plant development projects owing to the insufficient understanding of the public.

In complying with the laws, rules, and regulations, apart from observing the legal provisions, rules and regulations, and government policy, EGAT has given importance to the adoption of the Enterprise Risk Management (ERM) framework of the Committee of Sponsoring Organization Enterprise Risk Management (COSO) as a tool to achieve EGAT’s strategic goals and objectives. The integration of good corporate governance, enterprise risk management, and compliance practices will cultivate risk management as the key part of the corporate culture and enhance EGAT’s sustainable value. For the internal audit, EGAT’s Internal Audit Unit is responsible for preparing an effective internal control system which covers all aspects including finance, operation, and compliance practices as well as follow-up and evaluation to ensure that all operations are according to the plan. The Audit Committee is responsible for monitoring the internal audit system of EGAT and the affiliates, following-up the revision and improvement according to the recommendations continuously and quarterly. In the area of the information technology system, the Executive Committee has been delegated by the Board of Directors to oversee EGAT’s IT system management and development, as well as reviewing EGAT information technology and communication master plan before submission for the consideration of the Board. The EGAT Information Technology Committee (EITC) has gathered and prepared reports on the performance of EGAT with respect to information technology management as well as the EGAT information technology and communication (ICT) master plan for submission for approval of the Executive Committee and the Board of Directors. The approved ICT master plan is also submitted to the Ministry of Energy and the Ministry of Information Technology and Communication for acknowledgement. With respect to the human resource management system, the Human Resources Committee was appointed to oversee and advise on the human resource policy and review the human resource master plan prior to submission to the Board of Directors as well as performing other tasks related to human resources. The Policy and Development Consideration Committee of EGAT chaired by EGAT Deputy Governor - Administration is entrusted to prepare the EGAT human resource master plan. The Board of Directors, moreover, is empowered by the EGAT Act to appoint the executive members form the level of Director and to issue rules and regulations. The matters concerning human resource have been submitted for consideration of the Board of Directors regularly. The Corporate Governance Committee is responsible for overseeing the work regarding corporate governance, corporate social responsibility, and code of ethics and conduct; giving advice on the policy; approving the plans; and promoting the involvement of the committees, executives, and EGAT personnel in good corporate governance and corporate social responsibility. The report is submitted to the Board of Directors every six months. Moreover, in order to comply with the international standard on good corporate governance, the Board of Directors has issued EGAT’s rules generally known as Charter on the Board Committees as follows:

• • • • •

Rules on the Executive Committee Rules on the Enterprise Risk Management Committee Rules on the Corporate Governance Committee Rules on the Human Resources Committee Rules on the Committee for Nomination of Governor, Deputy Governors, Assistant Governors, and Division Directors

The rules state the objectives, composition and qualification, duties and responsibility, terms of office, position leaving, meetings and reports, performance assessment, and compensation of the Board Committees. Long-lasting friendship...Sustainable energy

5. Treatment to stakeholders EGAT has given importance to all stakeholders, coupled with its responsibility to the society, community, and the environment. Stakeholders are divided into 5 groups with different mechanism to respond to their need as follows:

Stakeholders

Need and expectation

Response mechanism

Supervisory body comprising the government, Ministry of Energy, Ministry of Finance, and the Energy Regulatory Commission

1. Responding to the demand in electricity 2. Efficient management in accordance with the good corporate governance 3. Taking care of the society, community, and environment 4. Appropriate investment plan with income to the government as planned 5. Seeking investment opportunity abroad to generate income to the country 6. Promoting research and development of clean renewable energy

The main strategy in the EGATâ&#x20AC;&#x2122;s corporate plan should correspond with the need and expectation of the supervisory body. The strategic goal was established so that the action plan could be prepared by each responsible command line.

1. Efficiency in the management to obtain sufficient and reliable energy at a reasonable price 2. Accountability for the impact from the operation 3. Participation in the social activities

The main strategy in the EGAT corporate plan has been prepared to address the need and expectation of the society in the same manner as the supervisory body.

1. Control of pollution from the operation such as noise, dust, magnetic field, electric field, and greenhouse gases to be in the low level as specified by the law and complying with the standard on safety. 2. Corrective measures for accidents 3. Two-way communication to learn about EGATâ&#x20AC;&#x2122;s activities and opportunity to give opinion and make complaints 4. The well-being of people

The public relations unit of each power plant and provincial office is responsible for this matter. The Committee on Community Relations and Environment was appointed to be a tool in building relation with the communities and to listen to comments. Moreover, the executives of each power plant together with the staff have organized activities with the involvement of the communities in the vicinity of the power plants and the transmission lines.

Society as a whole

Communities in the vicinity o f EGATâ&#x20AC;&#x2122;s power plants and transmission lines

The work in relation to the communication and social help falls under the command line of Deputy Governor - Corporate Social Affairs

Stakeholders

Need and expectation

Response mechanism

EGAT Employees

1. Sustainable growth of EGAT 2. Security in their career 3. Tangible progress in their career path 4. Reasonable salary/social welfare 5. Participation in the decision making and opportunity in giving opinion 6. Hygiene and safety at the workplace

In responding to the need and expectation of the employees, attempt has been made by EGAT to create a sense of belonging and loyalty of the employees to the organization

Private sector

1. Transparency 2. Involvement 3. Information disclosure 4. All-round study

• The main strategy in building relationship has been specified • The target groups are identified to find the common approach • Formal and informal meetings have been organized.

In enhancing corporate governance practices for the best interest of all stakeholders, the Information Management Committee was appointed to be responsible for EGAT’s information service for all operational lines and units. Moreover, communication channels for information service and complaints for stakeholders have been provided, namely EGAT Information Center, EGAT Call Center 1416, EGAT’s website, and the government’s hotline 1111. The received complaints are transferred to the EGAT’s Opinion Handling Center for further action. In 2012, EGAT implemented the Good Corporate Governance master plan (2012-2016) to enhance EGAT as an organization with good corporate governance which can satisfy the demand of all stakeholders. The Good Corporate Governance master plan has been incorporated with the EGAT strategic plan to cover all lines of command which are required to be responsible for the activities in the action plan with the clearly specified indicators. Moreover, a Working Group chaired by Deputy Governor - Policy and Planning and consisting of a Corporate Governance Agent of each line of command was appointed to coordinate the implementation and monitor and report the progress of the work to the Board of Directors quarterly. From the report, every line of command was able to carry out the work as planned. EGAT has constantly given priority to its accountability to society and environment which has been an integral part of its mission. Its social objective has been set in the corporate strategy map as “a caring organization for society and environment” within the strategy driving framework of “accountability to the society, community, and environment with honesty, fairness, and sincerity” reflecting the systematic integration of EGAT’s social responsibility and operation. Moreover, in the activities to enhance employees’ volunteering spirit in supporting the social responsibility, it has been found that a number of employees have long dedicated themselves to social service and charity causes. A database of these volunteers has been created by EGAT.

Long-lasting friendship...Sustainable energy

6. Information Disclosure and Transparency Information disclosure is an indicator of transparency in the operation and a factor to create confidence of stakeholders. Realizing the importance of the disclosure of correct and precise information, EGAT has provided several channels through which stakeholders can have an easy access to the information. Various campaigns have been made to create awareness among Board of Directors, executives, and staff in information disclosure and transparency in the operation. Appropriate mechanism for receiving complaints has been provided to ensure fairness to all parties concerned. Financial and non-financial information has been provided in the EGAT annual report. News and information have been communicated to all stakeholders with equity in accordance with the Official Information Act, B.E. 2540 (1997) and other relevant laws. Importance has been given to financial and management reports as an oversight tool. The reports have been ensured that they are accurate, reliable, up-to-date, and accountable to reduce the risk that might affect the operation. EGAT emphasizes the transparency of its operation founded on the principle that employees at all levels perform their duties to maximize EGAT’s benefits without personal interest. 7. Ethics and Code of Conduct EGAT issued Code of Conduct to provide guidance for the Board of Directors, Executives, and employees in interacting with all stakeholders. They are also required to discharge their respective duties in compliance with the Notification of the National Anti-Corruption Commission concerning the provisions for the acceptance of property or any other benefit on ethical basis by government officials B.E 2543 (2000) which was also included in EGAT Good Corporate Governance Handbook. In 2012, EGAT promoted ethical conduct and accountability of EGAT employees in all interaction as a continued activity from the preceding year. In the preparation of annual plan on ethical conduct, the Committee on Ethical Conduct, Accountability, and Culture of EGAT has taken into account all factors related to interaction such as • legal provisions on ethical conduct, • requirements in accountability in Good Corporate Governance Handbook, • EGAT Charter of Ethical Conduct and EGAT core value, • EGAT’s corporate culture “Being committed to the organization, Striving for excellence, and Upholding moral integrity” which focuses on the objective in the master plan (2009-2013) to enhance EGAT as an “Honest Organization”, • a strategic goal in the latest corporate plan as well as • expectation of all stakeholders The percentage of executives with ethical role was chosen as an achievement indicator. To elaborate on an ethical behavior based on good governance and the dedication of the executives of all levels, the main ethical behavior of the model was specified in line with the corporate development strategy with an emphasis on the national ethical development which is “learning, honesty, transparency, and caring to the society”. A handbook on ethical behavior of the management level was also prepared for the executives. The commitment of the executives to become a model of ethical behavior was publicized by the Working Group on Ethical Conduct, Good Governance, and Corporate Culture of each line of command in a monthly meeting agenda. It was also publicized on information boards and in other activities organized to promote the understanding and motivation in the ethical behavior by the Human Resources Unit; EGAT Buddhist Club; and the Working Group on Ethical Conduct, Good Governance, and Corporate Culture. Examples of such activities were the inclusion of the topic of moral in the orientation of new employees, seminar, and lecture for employees of different groups and lines of command. In 2012, representatives of EGAT attended the 5th National Moral Marketplace and Assembly and participated in the elaboration of the National Honesty Plan (2012-2016) on behalf of the strategic party. An exhibition “EGAT, an Honest Organization” was organized together with a forum for exchanging ideas entitled “Transparent Corporate

for the Honest Thailand” under the theme “Transparency and Honesty”. In the event, the organization and EGAT Governor were chosen as a model organization in honesty and a model person on behalf of the state enterprises respectively. To ensure the ethical behavior in all interaction with stakeholders, EGAT Governor participated in the signing of Charter on national honesty which has an aim to implement the National Honesty Plan so that Thailand will become “The Society of Honesty and Transparency for Every Thai” as stated in its vision. 8. Conflicts of Interest EGAT Board of Directors has established a preventive measure against the abusive self-dealing of the Board members. Every member has to report on the other positions they are holding including committee member and management position in other state enterprise or company as well as connected transactions (in the fiscal year 2012), amount/value of shares in other companies in the same industry or business in which EGAT operates, and the amount of the shares held which is equal to or higher than 10 percent of the total voting rights. The qualification of the Board members shall comply with the Constitution of Thailand Act on Qualification Standards for Directors and Officials of State Enterprises, B.E. 2518 (1975) and its amendment and other related laws. The qualification of the Board Committees shall comply with the EGAT Rules on Board Committees which is a measure in checking the qualification of committee members. In addition to the report of the Board members mentioned above, the Good Corporate Governance Handbook also contains a form for disclosing the conflict of interest between one’s personal interest and the organization’s interest for observation of Deputy Governors or the equivalent and above. The matter of conflict of interest is disclosed upon the beginning of the post as well as the one occurring during the year. The concerned people who are members of the procurement committee must report on this matter as soon as a conflict of interest is found. Moreover, the Handbook on Good Corporate Governance also contains the guideline in handling the conflict of interest. For example, in such a situation when decision is to be made in approving the items which involve or are suspected to involve a conflict of interest, a report should be made to the superior or the one who has the approval authority before withdrawing from such work. Self-assessment on conflict of interest must be performed using the form of self-assessment on conflict of interest. 9. Promotion and publication EGAT has organized the following activities to promote and support the participation in good corporate governance which is a part of corporate culture: • Communication and awareness campaigns such as the website on good corporate governance, news, and articles on the intranet • Information on good corporate governance on the first page of EGAT website as another channel • Handbook on good corporate governance to serve as guideline for employees • Lectures by knowledgeable and experienced persons in good governance for executives and the Board of Directors, as well as lectures on good governance and implementation of the Good Corporate Governance Master Plan (2012-2016) • Participation in the 5th National Moral Marketplace and Assembly with the other 22 organizations to materialize the ethical conduct plan • Activity on “EGAT - the Clean Organization” was organized in June 2012 incorporation with the National Anti-Corruption Commission. Long-lasting friendship...Sustainable energy

Official Information Act Compliance Report

The Official Information Act, B.E. 2540 (1997) was enacted on the principle that under the democratic system, it is necessary for the people to have wide opportunity to know about the information regarding the operation of the State agencies so as to be able to express opinion and to use political right correctly supporting the concept of being a government by the people. Therefore, it is essential that the people have the right to know all public data and information possessed by the government with exception of the information which may affect the countryâ&#x20AC;&#x2122;s security or personal interest upon disclosure. In compliance with the Official Information Act, B.E. 2540 (1997), EGAT has appointed the Committee on Information Management to be responsible for determining policies, rules or criteria, and procedures regarding information management as well as categorizing permission and services, with the endorsement of EGAT Deputy Governor - Corporate Social Affairs. EGAT Information Center is responsible for information service in accordance with the policy in information management which focuses on the intention of EGAT to provide information service in a fair, equitable, and transparent manner, and in compliance with the Official Information Act B.E. 2540 (1997) and other relevant laws.

EGAT has put in place its information disclosure system which defines clear rules, procedures, systems, and practices for the disclosure of information about EGAT’s operations and activities complying with the Official Information Act B.E. 2540 (1997). EGAT’s information is available at the EGAT Information Center in various forms, such as documents, internet-accessible information, audiotext, fax on demand, and assistance by EGAT staff. Interested persons can visit the EGAT Information Center to search and peruse information, documents, and publications at the center by themselves at the Corporate Communications Building, EGAT Head Office, Nonthaburi Province. In addition to the information provided at the Center, detailed information on specific issues can also be reached from the concerned divisions with the assistance of appointed EGAT staff in each division. Interested persons can visit the required division by themselves or by telephone. Internet-Accessible Information EGAT website: www.egat.co.th provides another easy public access on 24-hour basis to a wide range of EGAT’s information, operations, and activities such as corporate profile, its operations, information and data on generation and transmission systems, energy sales, power development projects, etc. EGAT employees and interested people can also send their inquiry or complaints to EGAT via the website channel. EGAT Call Center Since 2012, EGAT Call Center has provided a complete information service via interactive voice response around the clock to facilitate the public reporting of emergency situations related to the transmission system as well as public inquiry and suggestion and other emergency in general via the Call Center Phone 1416 system which was tested on December 16, 2011 prior to replacing the original 20 lines. Activities of EGAT Information Center In 2012, EGAT Information Center provided 7,853 times of information services through its Call Center system 1416. Types of information of public interest included the following:

• Information on EGAT operations

• Information on the project “Headwaters of Sirikit Dam in Commemoration of the 80th Birthday Anniversary

• Job recruitment, internship training opportunities, and requested visits

• Contact of EGAT staff and office

• Reservation for accommodations at EGAT’s dams

• Information on the areas of the transmission lines

• Emergency situation and complaints

Moreover, EGAT Information Center also provided information and answer to inquiries via EGAT website and to the visitors.

Long-lasting friendship...Sustainable energy

EGAT Information Management Committee The Committee on EGAT Information Management is responsible for setting policies, measures, and rules on public information management concerning the request and permission to disclose information and information service as well as considering complaints or objection to official information disclosure.

In 2012, major considerations by the committee included the following:

• Approval for a request to reveal EGAT’s auctioning of insulated copper wire scrap at Mae Moh Mine in Lampang Province

• Approval for a request by Mr. Natkit Sottayasai to have 5 documents following the decision of the Information Disclosure Tribunal 4 - Information Disclosure in Public Administration and Enforcement of Law

The committee also took note of the decision of the Tribunal to dismiss the appeal of Mr. Natkit Sottayasai after having been clarified by the EGAT representative.

• Approval for a request by the Chairman of the Environmental Protection Network of Nan People for a copy of the report of the feasibility study of the 500 kV Power Network System between the border-Nan 2- Mae Moh 3 and report of the environmental impact assessment (only the part responsible by EGAT) as well as the power purchase contract and annexes (as allowed by the contract party for disclosure between EGAT and Hong Sa Lignite Project)

• Approval for a request by the Network of the People of Eight Provinces in the Mekong River Basin for a copy of power purchase contract between EGAT and Xaiyaburi Power Project. The purchase contract and part of the information was disclosed. The requesting person was informed that the other information could be disclosed only with the approval of the contract party.

• Informing the Chairman of the National Human Right Committee, Permanent Secretary of the Prime Minister’s Office, and Permanent Secretary of the Ministry of Energy on the request of Mr. Niwat Roikaew (representative of the Network of the People of Eight Provinces in the Mekong River Basin) to withdraw the power purchase contract with Xayaburi Power Company Limited.

• Informing Mr.Thara Buakhamsri, Campaign Director of Southeast Asia Green Peace, the result of the committee’s consideration on the request to disclose the electricity sale/purchase of BLCP Power Plant and the request to increase the price of coals of Rio Tinto Co., Ltd.

• Considering the request of Ms. Wacharee Paoluengthong, Secretary of the 4 Networks of the People, for a copy of the power purchase contract of Gulf JP UT (formerly Siam Energy Co.Ltd.) and informing the result of the consideration of the committee to the requesting person

• Considering and informing the Information Disclosure Tribunal in Public Administration and Enforcement of Law on the information providing to Mr. Prasert Kongsong who appealed against EGAT’s consideration on the information request for the information about heads of villages in Hua Sai District, Nakhon Si Thammarat Province

• Approval for the request of the Chief of Bang Kruai Police Station for a copy of the letter of Energy Absolute Public Co. Ltd. No 5507/08 dated July 9, 2012 on permission to rent and to use space (additional) as well as the letter on permission to rent and to use space submitted by the company to EGAT in applying for the implementation of the wind turbine power project

• Receiving request from the Office of the Permanent Secretary, Prime Minister’s Office, to remedy the people affected by the replacement power project of Mae Moh Power Plant, Units 4-7

Public Complaint Process During 2012, EGAT received 7 public complaints and opinions through the government’s central public complaint channels including telephone hotline 1111, its website, P.O. Box 1111, and 1111 Public Service Counter at the Government House. EGAT had promptly addressed all of the complaints and issues and reported the results to the Office of the Permanent Secretary under the Prime Minister’s Office through the complaint system. Moreover, “EGAT’s Opinion Handling Center” was established by the Executive Committee to handle opinion and comments from 8 groups of stakeholders comprising government agencies and supervisory body, financial institutions, EGAT employees, contract parties and affiliates in businesses, main customers and retail customers, academics and NGOs, communities in the vicinity of EGAT’s power plants and the transmission lines, and mass media. A pilot program was launched on the intranet concerning comment and complaint management with the improvement throughout 2012. The center is planned to officially open for receiving comments and complaints from all stakeholders in 2013. In the meantime, EGAT’s Opinion Handling Center has compiled stakeholders’ comments and complaints from various channels, i.e. through the EGAT Website, government’s complaint system 1111, letters received by EGAT, EGAT Call Center 1416, and EGAT Information Center. The complaints and comments received are directed to the responsible units for action and to inform the owners of complaints and comments of the action.

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Long-lasting friendshipâ&#x20AC;ŚSustainable energy

EGAT’s social and environmental projects in the area of power development do not only strengthen the communities and contrib-

ute to the better quality of life of the people, but also increase the awareness of the people in protecting local natural resources. EGAT’s projects are based on participatory process of the communities since the beginning of the projects to sustain the continuity and ensure real beneﬁts to the people. Examples are the following projects: • The Project “Conserve the Watershed, the River Basin, and the Lower Basin” of Bhumibol Dam • The Project “Aware of Saving the Hometown, Aware of Saving the Environment” of Bang Pakong Power Plant to raise awareness of the youth in mangrove restoration • The Project “Water Stream Inspector” of South Bangkok Power Plant to increase the awareness of the youth in environmental protection • The Project “Blue Crabs Bank of Klong Na Tab”of Chana Power Plant to restore the breeding sites for aquatic animals • The Project “Return the King Prawns to Tapi-Pum Duang River Basin” of Surat Thani Power Plant • The Project “Books Circulation in the Mosque” of Krabi Power Plant Community • The Project “Move World Together” to promote participation in energy and environmental development of the youth

Power Development and Future Plan To cope with the forecasted increasing power demand, the Power Development Plan (PDP) was revised by the Ministry of Energy as PDP 2010: third revision (2012-2030). The themes of PDP 2010 substantially focus on the adequacy of power system to enhance various infrastructure development projects in accordance with the National Economic and Social Development Plan. The PDP 2010: third revision (2012-2030) is also in line with the Alternative Energy Development Plan (AEDP) (2012-2021) and the 20-Year Energy Efficiency Development Plan (EEDP) (2011-2030) approved by the National Energy Policy Council (NEPC) on November 30, 2011 and endorsed by the Cabinet on December 27, 2011. Important issues of the PDP 2010: third revision (2012-2030) are as follows: 1. The forecasted power demand results approved by the Thailand Load Forecast Subcommittee (TLFS) on May 30, 2012 are adopted within the following frameworks:

- The projected Thai Gross Domestic Products (GDP) and projected Gross Regional Products (GRP) estimated by the Office of National Economic and Social Development Board (NESDB) on November 29, 2011, covering the economic stimulation policies and flooding effects at the end of 2011.

- The approved 20-Year Energy Efficiency Development Plan (EEDP) (2011-2030) proposed by the Ministry of Energy.

2. Energy supply security takes into account the fuel diversification and appropriate power reserve margin level. 3. Clean energy and efficient utilization, including the Alternative Energy Development Plan (AEDP) (2012-2021), the 20-Year Energy Efficiency Development Plan (EEDP) (2011-2030), and cogeneration system are to be promoted. The PDP 2010: third revision (2012-2030) was approved by the National Energy Policy Council (NEPC) on June 8, 2012 and endorsed by the Cabinet on June 19, 2012. According to the PDP 2010: third revision (2012-2030), EGATâ&#x20AC;&#x2122;s new power projects during 2013-2019 are as follows:

EGATâ&#x20AC;&#x2122;s Power Projects The following new power plants of EGAT with a total contractual capacity of 3,899.9 MW will be constructed during 2013-2019. Project Location Fuel Contractual Scheduled Commercial Capacity Operational Date (Province) (MW) (SCOD)

1. Wang Noi Combined Cycle Block 4

Ayutthaya

Natural Gas

768.7

Apr. 2014

2. Chana Combined Cycle Block 2

Songkhla

Natural Gas

782.2

Apr. 2014

3. North Bangkok Combined Cycle Block 2

Nonthaburi

Natural Gas

848.3

Oct. 2015

4. Krabi Clean Coal Thermal Power Project

Krabi

Coal

800.0

Jun. 2019

Wind, solar, hydro

700.7

2013-2019

5. Renewable Energy Power Projects Several sites

Total 3,899.9

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Power Purchase

• Independent Power Producer (IPP) Projects

During 2013–2019, a total power supply of 4,640 MW will be purchased from the 3 existing IPP projects which is targeted to start commissioning during 2014-2017 and from a new power plant proposed by the Electricity Generating Public Company Limited (EGCO) and approved by the National Energy Policy Committee (NEPC) to replace the power plant of which the supply contract will expire in 2016.

Project Location Fuel Contractual Scheduled Commercial Capacity Operational Date (Province) (MW) (SCOD)

1. Gulf JP NS Co., Ltd. Blocks 1-2

Saraburi

Natural Gas

1,600

Jun. - Dec. 2014

2. Gulf JP UT Co., Ltd. Blocks 1-2

Ayutthaya

Natural Gas

1,600

Jun. - Dec. 2015

3. Electricity Generating Plc.

Nakhon Si Thammarat

Natural Gas

900

Jul. 2016

Coal

540

Nov. 2016 - Mar. 2017

4. National Power Supply Co., Ltd. Chachoengsao Unit 1-4 Total

4,640

• Small Power Producer (SPP) Projects

The PDP 2010: third revision (2013-2030) includes 6,655 MW of power supply to be purchased during 20132019 from small power producers (SPPs) consisting of 4,770 MW of power from firm energy contract SPPs using cogeneration system and 1,885 MW from SPPs using renewable energy.

• Power Imported from Neighboring Countries

Currently, EGAT imports electricity with a total capacity of 2,111 MW from neighboring countries under 5 hydroelectric power projects. According to the PDP 2010: third revision (2013-2030), additional power supply of 3,316 MW will be purchased from neighboring countries during 2013-2019. In this connection, two projects of 2,693 MW have reached a power purchase agreement (PPA), and a Tariff Memorandum of Understanding (Tariff MOU) has been signed for another two projects of a total capacity of 623 MW. Project Fuel Contractual Capacity (MW)

Scheduled Commercial Operational Date (SCOD)

PPA-Signed Projects (under construction)

1. Hong Sa Unit 1-3 2. Xayaburi

Lignite Hydro

1,473 1,220

Jun.- Nov. 2015, Mar. 2016 Oct. 2019

Hydro Hydro

354 269

Aug. 2018 Jan. 2018

Tariff MOU-Signed Projects

3. Xe-Pian Xe-Namnoy 4. Nam Ngiep 1 Total

3,316

Power Project Development 1. Construction of New Power Plants

Chana Combined Cycle Power Plant Block 2

1.1 Chana Combined Cycle Power Plant Block 2

The power project of a total capacity of 800 MW using natural gas as fuel is located in the area of the existing Chana Power Plant, Chana District, Songkhla Province. The project received approval from the Cabinet on February 22, 2011 and approval on environmental impact assessment from the National Environment Board on May 4, 2011. This project has an investment cost of 22,434 million Baht. The constructor is the Consortium of Siemens Aktiengesellschaft, Siemens Limited, and Marubeni Corporation. The construction started in December 2011, and it is expected to complete in April 2014.

1.2 Wang Noi Combined Cycle Power Plant Block 4

The power project of 800 MW capacity using natural gas as fuel is located in the area of the existing Wang Noi Power Plant, Wang Noi District, Ayutthaya Province. The project was approved by the cabinet on February 22, 2011, with environmental impact assessment approved by the National Environment Board on September 27, 2010. This project has an investment cost of 21,747 million Baht. The constructor is the Consortium of Siemens Aktiengesellschaft, Siemens Limited, and Marubeni Corporation. The construction started in December 2011, and it is expected to complete in April 2014. Wang Noi Combined Cycle Power Plant Block 4

North Bangkok Combined Cycle Power Plant Block 2

1.3 Preparation for the North Bangkok Combined Cycle Power Plant Block 2 As the power demand of the country has become higher than the power forecast which was used as the basis in the preparation of the PDP 2010: third revision (2012-2030) coupled with the delay in Independent Power Producer projects (IPPs) and the renewable energy projects of the Small Power Producers (SPPs-Renewable) resulting in an inability to supply energy to the system as planned, the power reserve in 2014 will be 9.7 percent lower than the standard level. In an attempt to solve this problem as a matter of emergency, the project of North Bangkok Combined Cycle Power Plant Block 2 with a total capacity of 800 MW and to be located in the northern area of the existing North Bangkok power plant was proposed to the Cabinet. The project received the approval of the Cabinet on November 30, 2010 and is expected to be able to supply power to the commercial system by 2015.

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2. Renewable Energy Power Plant Development

In response to the strategy in renewable energy development (2008-2013) of the Ministry of Energy and the condition in the renewable portfolio standard (RPS), 5 percent of renewable energy power plant development would be conducted in 2011. There are the 89.7 MW renewable energy power plant projects which cost a total of 5,948 million Baht consisting of the following.

Renewable Energy Location Power Project

Capacity (MW)

Scheduled Commercial Operational Date (SCOD)

Naresuan Dam Baan Had Yai Sub-district, 1x8 = 8 Apr. 2012 Phrom Phiram District, Phitsanulok Province Khun Dan Prakanchol Dam Hin Tang Sub-district, 1x10 = 10 Jun. 2013 Mueang District, Nakhon Nayok Province Mae Klong Dam Muang Chum Sub-district, 2x6 = 12 Jul. 2013 Tha Muang District, Kanchanaburi Province Pasak Jolasid Dam Phatthana Nikhom District, 1x6.7 = 6.7 Dec. 2013 Lop Buri Province Kwae Noi Bamrungdan Dam Kan Chong Sub-district, 2x15 = 30 Jun. 2015 Wat Bot District, Phitsanulok Province Lam Ta Khong Wind Turbine Klong Pai Sub-district, 12x1.5 = 18 2014 Power Plant, Phase 2 Sikhio District & Nong Sarai (approved by the Cabinet and Sub-district, Pak Chong District, awaiting approval from the Nakhon Ratchasima Province National Environment Board) Solar Power Plant Na Hu Kwang Sub-district, 1x5 = 5 2014 Tab Sakae District, (during the designing process) Prachuap khiri khan Province

3. Renovation of the Existing Hydropower Plants

EGAT has been implementing the renovation projects with the following hydropower generators which have already been used for more than 30 years to extend their life cycle and to increase their performance efficiency for the readiness and stability in power generation and reduction of the maintenance cost. Hydropower plant Location

Ubol Ratana Dam Nam Phung Dam Sirindhorn Dam Chulabhorn Dam Kaeng Krachan Dam

Khon Kaen Province Sakon Nakhon Province Ubon Ratchathani Province Chaiyaphum Province Petchaburi Province

Capacity (MW)

Scheduled Commercial Operational Date (SCOD)

3x8.4 = 25.2 2x3 = 6 3x12 = 36 2x20 = 40 1x17.5 = 17.5

Unit 1: Dec. 2012 Unit 2: Feb. 2016 Unit 3: Feb. 2016 Unit 1: Jul. 2015 Unit 2: Jul. 2015 Unit 1: May 2015 Unit 2: May 2015 Unit 3: May 2015 Unit 1: Feb. 2015 Unit 2: Feb. 2015 March 31, 2010

4. Clean Coal Technology Power Project

The Clean Coal Technology Power Project, an extension project of Krabi Power Plant, is located in the area of existing Krabi Power Plant, Klong Kanan Sub-district, Nuea khlong District, Krabi Province. Being a power plant of a total capacity of 800 MW which has been incorporated in the PDP 2010: third revision (2013-2030) using imported coal as fuel, the project is expected to be completed by 2019. The Environmental Health Impact Assessment (EHIA) of the power plant and the loading pier construction for this project have been conducted by a consultant for 12 months (May 2012 - May 2013). 5. Replacement of Mae Moh Power Plant, Units 4-7

In response to EGAT’s policy in increasing the efficiency in power generation while decreasing the production cost, a feasibility study was conducted, revealing that it is appropriate to construct a new lignite power plant of a total capacity of 600 MW to replace the existing Mae Moh Power Plant, Units 4-7. The result of the feasibility study was submitted to the Permanent Secretary of Energy on December 20, 2012 to be further submitted for approval of the Cabinet. It is expected that the new units will be able to supply power to the commercial system in January 2018. Meanwhile, the existing Mae Moh Power Plant, Units 4-7 have continued their normal operation during the construction of the new power plants. 6. Nuclear Power Plant Project

On May 3, 2011, the Cabinet endorsed the resolution of the National Energy Policy Committee (NEPC) to postpone the development of Nuclear Power Plant for 3 years from the original schedule of 2020 to 2023 due to the radioactive leak incident of the nuclear power plant in Japan. Transmission System Development and Expansion Projects Transmission system planning and development is one of EGAT’s main responsibilities and has been continuously conducted to cope with the rising demand in energy and to efficiently interconnect the domestic power plants and the power plants in the neighboring countries with the EGAT’s power system to ensure the security and the reliability in the power system. Furthermore, in preparing for the incoming ASEAN Economic Community (AEC) in the year 2015, a study on ASEAN regional electric interconnection system is being conducted by EGAT.

Major transmission system development and expansion projects are as follows:

• On-going Transmission System Projects

1. Bulk Power Supply for the Greater Bangkok Area Project, Phase 2 (BSB2)

The BSB2 is a successive project of the BSB1. BSB2 comprises several subprojects involving the construction of new transmission lines and the upgrade of existing lines totaling 89.025 circuit-kilometers, installation of transformers totaling 9,600 MVA and voltage control equipment totaling 384.0 MVAr. This project has an investment cost of 9,170 million Baht, and its scheduled completion date is in 2015. 2. 500 kV Transmission Line Project for Power Purchase from IPP Projects in the Eastern Area

This transmission system project involves the construction of main transmission grid system to receive electric power from the IPP projects, which are situated in the eastern region of Thailand (along the Gulf of Thailand). The project consists of the construction of 500 kV double–circuit lines, totaling approximately 159 kilometers distance, from Pluak Daeng Substation to Nong Chok-Wang Noi Junction (3rd and 4th circuits). The project will enhance system reliability and accommodate future grid connection of the new IPP projects. This 4,985 million Baht project was scheduled for operation in 2012. As of November 2012, the progress of the project was 99.54 percent.

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3. Transmission System Expansion Project No. 11 (TS.11)

The TS.11, a successive scheme of the TS.10 consists of the construction of transmission lines totaling approximately 1,922.7 circuit-kilometers distance, 12 new substations, and the installation of transformers of 14,575 MVA and voltage control equipment of 1,741.2 MVAr. As of November 2012, the overall project achieved 70.88 percent progress. The project has an investment cost of 23,000 million Baht, and it is scheduled to be online in 2014. 4. Transmission System Development for the Power Purchase from IPPs

This transmission system project is to accommodate the power purchase from 4 awarded IPP power plants, totaling installed capacity of approximately 4,400 MW. The investment cost of the project is 7,985 million Baht. Progress of each sub-projects is as follows:

4.1 As of November 2012, the transmission system sub-project for the power purchase from the Gheco-One Power Plant Project reached 95.32 percent progress and would be due in 2012.

4.2 The sub-project for the power purchase from the National Power Supply Power Plant Project is currently pending due to the power plant rescheduling.

4.3 The sub-project for the power purchase from the Gulf JP UT Power Plant Project is currently in the process of land acquisition. It is planned to be in service in 2014.

4.4 The sub-project for the power purchase from the Gulf JP NS Power Plant Project reached 20.97 percent progress. It is expected to be completed in 2014.

5. Transmission System Development for the Power Purchase from Theun Hinboun Expansion Hydroelectric Power Plant Project

This transmission system project is intended to accommodate the power purchase from Theun Hinboun Expansion Hydroelectric Power Plant Project in Lao PDR. The project includes the construction of a new 230 kV Nakhon Phanom 2 Substation and the transmission lines with a total distance of approximately 108 circuit-kilometers. This 665 million Baht project is scheduled to be completed in 2013. As of November 2012, the progress of the project was 96.77 percent. 6. Transmission System Development for the Power Purchase from Hongsa Lignite-Fired Thermal Power Plant Project

This project is intended to accommodate the power purchase from Hongsa Lignite-Fired Thermal Power Plant Project in Lao PDR, which will supply 1,473 MW of power to Thailand. This transmission system project consists of 500 kV transmission lines from Mae Moh 3 Substation

to Thai/Lao border (Nan Province) and other transmission system expansion in northern area with a total length of approximately 1,192 circuit-kilometers, a new substation, and the installation of transformers of 1,150 MVA. The scheduled completion date of this 21,160 million Baht project is in 2014. As of November 2012, the progress of the project was 3.13 percent. 7. Transmission System Development for the Power Purchase from Nam Ngum 3 and Nam Theun 1 Hydropower Plant Project

This transmission system project is to accommodate the power purchase from Nam Ngum 3 and Nam Theun 1 and/or other potential projects in Lao PDR. The project consists of the new 500 kV transmission lines Nam Phong 2 - Chaiyaphum 2 - Tha Tako connected to Ban Na Bong (Lao PDR) - Udon Thani 3 - Nam Phong 2 (currently operating at 230 kV) forming the 500 kV Ban Na Bong - Udon Thani 3 - Chaiyaphum 2 - Tha Tako line including 230 kV Chaiyaphum 2 - Chaiyaphum line with a total length of approximately 728 circuit-kilometers, a new substation, and installation of transformers of 4,000 MVA. This 17,550 million Baht project is now in the process of engineering design and is scheduled for operation in December 2016. 8. Transmission System Development in the Area of Loei, Nongbua Lamphu, and Khon Kaen Provinces for the Power Purchase from Lao PDR Project

This transmission system project is to receive the imported electric power from the Xayaburi Hydroelectric Power Plant Project in Lao PDR, which will supply power of 1,220 MW to Thailand. The project involves the construction of 500 kV double-circuit transmission lines from Thai/ Lao Border in Loei Province to the new Loei 2 Substation and the new Khon Kaen 4 Substation, with the distance of approximately 52 and 173 kilometers, respectively. This project consists of 450 circuit-kilometers of transmission lines (only in Thai Territory), two new substations, and transformers of 1,000 MVA. This 12,060 million Baht project is planned for completion in 2017. 9. Transmission System Development for Chana Power Plant Block 2 Project

This project is a new transmission system project to receive 800 MW power from EGATâ&#x20AC;&#x2122;s new Chana Power Plant Project, Block 2. It comprises the construction of 230 kV Chana - Chana Junction - Khlong Ngae transmission system, with a total distance of 90 circuit-kilometers and the construction and expansion of 2 existing substations. As of November 2012, the progress of this 1,290.50 million Bath project was 3.48 percent, and the scheduled completion date of the project is in 2014.

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10. Transmission System Development for Wang Noi Power Plant Block 4 Project

This project consists of the construction of 500 kV transmission lines from Wang Noi Power Plant, Block 4 - Wang Noi, with a total distance of 1.2 circuit-kilometers. As of November 2012, the 68 million Bath project had its progress of 19.27 percent and is planned to be completed in 2013. 11. Transmission System Expansion and Renovation Project, Phase 1: Substation

This project involves the improvement and/or replacement of aged substation equipment and control systems of 15 substations and other miscellaneous transmission system expansion. This 3,815 million Baht project is now in the process of engineering design and is scheduled for operation in 2015. 12. New Transmission System Interconnection Project between Su-ngai Kolok Substation (EGAT) and Rantau Panjang Substation (TNB)

This new interconnection system project is intended to strengthen energy security and reliability in Narathiwat Province by allowing for more imported power from Malaysia via the new transmission system and promote the cooperation between Thailand and Malaysia. The investment cost of the project is 535 million Baht. The project is planned to be in service in 2014 under the condition that the construction process can be commenced only after the Interconnection Agreement between EGAT and Tenega Nasional Berhad (TNB) is achieved. 13. Main Transmission System Expansion Project for Power Purchase from SPP Cogeneration Power Plant, based on Request for Proposal 2010

This project involves the construction of new 230 kV lines linking Ayutthaya 4 and Si Khiu 2 Substations, improvement of related transmission lines with the distance of 482 circuit-kilometers, a new substation, the installation of transformers of 2,650 MVA, and other miscellaneous improvement of transmission system. The investment cost of the project is 10,610 million Baht. The project is now in the process of engineering design and is scheduled for operation in 2015. 14. Transmission System Expansion and Renovation Project, Phase 1: Transmission Line

This project involves the replacement and upgrade of aged transmission lines and their related equipment of 15 line routes and other miscellaneous transmission system expansion. This 9,850 million Baht project is planned to be completed in 2014-2016.

â&#x20AC;˘ Transmission System Development Projects Submitted for Approval

1. Transmission System Development in the area of Ubon Ratchathani, Yasothon, and Amnat Charoen Provinces for the Power Purchase from Lao PDR Project

This project is intended to accommodate the power purchase from Xepian-Xenamnoy Hydropower Plant Project which has the generating capacity of 3x130 MW and any additional power from other potential projects from the Southern Lao PDR. The project consists of the construction of new 500 kV transmission lines from Thai/Lao Border (Ubon Ratchathani) to Ubon Ratchathani 3 (new substation) with the distance of 90 km and renovation of the relevant transmission system with a total of 440 circuit-kilometer lines (in Thai territory only), a new substation, and installation of transformers of 400 MVA. This 7,300 million Baht project is expected to be completed in 2018. 2. Transmission System Expansion and Renovation Project, Phase 2

This project involves the renovation and expansion of 19 substations, 11 transmission lines, and other miscellaneous systems. The project has an investment cost of 21,900 million Baht and is scheduled to be completed in 2015-2017. 3. Transmission System Improvement Project in the Eastern Region for System Security Enhancement

The project consists of the construction of transmission line of 358 circuit-kilometers, 2 new substations, and installation of transformers of 4,000 MVA. This 12,000 million Baht project is scheduled for operation in 2019. 4. Bulk Power Supply for the Greater Bangkok Area, Phase 3 (BSB3)

The project comprises the construction and renovation of 27 circuitkilometer transmission lines, 2 new substations, installation of 4,200 MVA transformers, and voltage control equipment of 288.0 MVAr. The investment cost of this project is 12,100 million Baht. The project is planned to be in operation in 2018. Research and Development In 2012, EGAT instigated the research and development roadmap to be used as a framework in supporting and promoting the research for the development of generation system and power sales together with the environmental protection with participation of the community and the sustainable well-being of the community in the vicinity of EGATâ&#x20AC;&#x2122;s power plants. At present the roadmap is being reviewed before the implementation.

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EGAT has continuously supported educational institutions, outside research institutions, and its own research and development unit in the research and development projects. In 2012, EGAT funded 33 new research and development projects which were 11 projects more than the preceding year. From 2006 up to present, 158 research and development projects have been funded by EGAT with the total amount of 1,001.26 million Baht. In addition, EGAT in cooperation with the Thailand Research Fund has provided support on a co-funding basis. By this, more channels are provided for researchers to use their ability for the country development. In 2012, 21 EGAT-funded projects were completed. Among these projects are the following: â&#x20AC;˘ Development of Photovoltaic Floating Plant with Water Weighted Tracking System

Realizing that the development of photovoltaic floating plant with water weighted tracking system may help to solve the problem of installation space and believing that installation of photovoltaic plant on the water surface which has lower temperature than the ground surface will help to upgrade the efficiency of the system as the efficiency of the system will become lower with the higher temperature, a research and development on photovoltaic floating plant with water weighted tracking system was conducted. The aim of the project was to prepare a model of photovoltaic floating plant with water weighted tracking system and to study the impact of the system. A floating plant equipped with 30.24 kW solar cells which could rotate in accordance with the direction of the sun together with weighted tracking equipment was designed and constructed by EGAT. The test of the photovoltaic floating plant was conducted at the reservoir of Srinagarind Dam in Kanchanaburi Province.

The chemical reaction between sodiumborohydride and water generates hydrogen

From the test, it was found that the solar cell using the tracking system could produce more electrical power than the fixed installation by 28 percent and had higher performance ratio of approximately 16.86 percent. Regarding the impact on the environment, there was no effect on the water quality in the installation area. The quality of the water in the reservoir still complied with the standard of surface water. From the result of the research, EGAT was sure that the photovoltaic floating plant with water weighted tracking system could be effectively used in any other reservoirs, which could reduce the land use as an installation area as well as the construction cost. â&#x20AC;˘ Development of Sodiumborohydride Production Processes for Hydrogen Generation and Storage Purposes

The EGAT-funded R&D project on development of sodiumborohydride production processes for hydrogen generation and storage purposes focuses on the study of the generation of hydrogen in the form of solvent and its storage at low pressure, which is safer and cheaper than the high-pressure storage. This study can lead to the development of a new source in energy production in the future.

The prototype of 1 kW-hydrogen generator developed in the laboratory

A model system developed in the laboratory could generate hydrogen from the chemical reaction between sodiumborohydride and water with the use of a mixture of cobalt and ruthenium-coated alumina which was also developed from this research as a reactor. It was found that the sodiumborohydride could also be produced from sodium hydroxide at normal pressure. The result can be regarded as an early stage of finding appropriate methods to produce sodiumborohydride in a large amount using local raw materials. This project is among several R&D projects supported by EGAT in an attempt to acquire new energy sources which are environmentalfriendly and suitable for the community so as to provide them with another opportunity to learn and keep abreast of new technology. â&#x20AC;˘ The Study and Development of Boiler Water Circulation Control Process for Reliability and Optimization Case Study of Mae Moh Power Plant, Unit 11

The project was a study and analysis of the appropriate rate of water circulation in a boiler by means of an inverter to control the frequency of the electricity supplied to the motor of the boiler water circulating pump (BWCP) to correspond to the circulation of the water in the boiler. The result of the study of Mae Moh Power Plant, Unit 11, can be applied with other power plants to save the energy in the power production process. â&#x20AC;˘ Development of Condition-Based Maintenance for Calcium Carbonate Slurry Pump in Flue Gas Desulfurization System at Mae Moh Power Plant, Units 4-7

Presently, two desulfurization systems are available at Mae Moh Power Plant, Units 4-7. A system is for use of Units 4-5, and the other is for Units 6-7. In the operation, calcium carbonate is supplied to the burning system to cause reaction with sulphur dioxide by the 24-hour operation of the calcium carbonate slurry pump to prevent the hardening of calcium in the 2 km long tube. It was found that the amount of 200 cubic meters per hour of calcium carbonate coming from the pump and returning to the storage was excessive and required a lot of energy. Moreover, motor pump trips occurred several times resulting in the reduced stability of the production system. The result of the study revealed that the installation of an inverter and control equipment could save 1,613,529 kWh/year while reducing the carbon dioxide emission from the energy production process by 936 ton/year. Moreover, the motor pump trip problem could be reduced. The inverter could contribute to the soft start of the calcium carbonate slurry pump and reduce its maintenance cost The result of the study can be applied with other calcium carbonate slurry pumps which have similar working process. Long-lasting friendship...Sustainable energy

Organization and Human Resource Development

Human Resource Management Recognizing that human resources are essential for the growth of the organization, EGAT’s human resource management focuses on the management of human resources and systems appropriate to the mission and vision of EGAT for sustainable development. In 2012, EGAT developed an employee engagement strategy and employees’ benefit in order to effectively retain the talented employees with EGAT in the long term. Human Resource Development EGAT has given importance to the human resource development continuously. Training and development programs have been designed to increase skill, competency, and life quality of all employees. They also aim at enhancing attitudes of the teamwork synergy, ethical attitudes and behaviors, accountability to the stakeholders, volunteering spirit, and responsibility to society and environment. EGAT considers that human resources are vital to the success of EGAT’s mission which is reflected in the slogan “Power for Thai Happiness”.

In designing the training programs, EGAT has complied with the framework in increasing the performance of employees at all levels to be able to respond to the missions and vision, core values, special ability, and the strategic direction of the organization. Various training procedures have been designed including classroom training, coaching, on-the-job training, assignment, self-learning, and in-country and overseas training. The main objective of the human resource development is to build professionally competent, good, and happy employees. EGAT’s Training Roadmap in line with the EGAT’s strategy in preparedness of employees at all levels in their career paths has been established comprising the following. 1. Management Program

The program is designed for supervisory positions of all levels from the section chief upward. The training aims at increasing the knowledge, ability, and experience of the supervisors in the contexts of the organization and of the business as a whole. 2. Preparatory Programs for Non-Management Groups

This includes programs designed for new employees and the employees who will be promoted to managerial positions, orientation program for new recruits, and training programs for outstanding employees not higher than level 10 who have not been promoted. The training aims at increasing the knowledge, ability, and experience of the target groups in the contexts of the organization and of the business as a whole. 3. Technical Training Programs

These training programs are designed to serve specific needs of each division in technical and professional areas including control engineering, information technology, and knowledge management to increase the ability of the employees in the contexts of the basic knowledge of the career. 4. General Development Programs

These programs are designed according to EGAT’s policy. They include training to better the life quality of EGAT employees focusing on physical and mental health and financial management. In addition, in-country and overseas training and development programs are provided to broaden experiences of EGAT personnel and to create business alliance network. In short, human resource development in 2012 focused on the improvement of employees’ capability leading to the success of EGAT as well as creating the attitude aiming at the benefit of the society and working culture. It has continuously promoted EGAT as high performance organization leading to sustainable development. This will enhance the recognition of EGAT as a leading organization and the “National Pride ”.

Long-lasting friendship...Sustainable energy

Information and Communication Technology Management In accordance with the IT Governance, the information and communication technology management of EGAT covers risk management and rules coupled with information management process to obtain information which is reliable, secure and continual correct for use, available for need, and complying with the law supporting the aim of EGAT to become a high-performance organization as stated in EGAT’s Corporate Strategic Plan (2012-2016). The Information Technology Committee has been appointed to lay down policy, rules, and regulations and to consider and follow up the results of operations and the project implementation for business alignment to increase the efficiency and effectiveness in responding to the need of all stakeholders. Recently, EGAT has formulated the Information and Communication Technology (ICT) master plan (2013-2017) which focuses on the use of IT in EGAT’s core business units and business support units, namely development, production, maintenance, power system control and transmission, fuel and coal management, administration, accounting and finance, human resources, and procurement. Key ICT strategies as outlined in the ICT master plan are as follows:

Strategy 1 : Develop EGAT’s ICT professionals both in terms of quality and quantity to create, produce, and use ICT in an efficient, effective, ethical, and discreet manner

Strategy 2 : Strengthen EGAT’s ICT governance

Strategy 3 : Develop EGAT’s ICT infrastructure

Strategy 4 : Use ICT to promote EGAT’s good governance

Strategy 5 : Use ICT to build EGAT’s sustainable competitiveness.

To optimize EGAT’s operational efficiency, the Enterprise Resource Planning (ERP) has regularly been maintained and improved to be aligned with business processes. The elevation of level of ERP use and the expansion of ERP system are made to include business processes of newly-established units, including integration of data and information of day-to-day operations into the Executive Information System (EIS). Information Technology (IT) Security EGAT’s IT security policy, IT security standards, and IT security manuals (ISO 27001) were approved by the Electronic Transactions Commission of Thailand on September 28, 2011. Presently, EGAT is in the process of complying with the notification on policy and practice guideline on personal data protection of a government agency, B.E. 2553 (2010) issued by the Electronic Transactions Commission. It is scheduled for completion by early 2013. From 2010, the information security management system of EGAT has been successfully certified for its security in the provision of internet and email services according to ISO/IEC 27001 : 2005.

Long-lasting friendship...Sustainable energy

Corporate Social Responsibility EGAT carries out its principal mission in acquiring, generating, and transmitting electricity together with its corporate social responsibility (CSR) both in process and after process as well as social activities to develop the environment and promote the quality of life of communities through the participatory process. The main activities were as follows: Activities Concerning the Communities around the Power Plants Participatory process has been used in communication and promotion of the quality of life of the communities around the power plants as follows: 1. Communication with the communities to promote the acceptance of the communities and to support the mission of EGAT

1.1 The power projects to increase the generating capacity of the existing power plants namely the Project of North Bangkok Power Plant, Block 2 and the Replacement Power Project of Mae Moh Power Plant, units 4-7

1.2 New power plant development projects

1.2.1 Coal power plants in Chumphon Province, Krabi Province, and Nakhon Si Thammarat Province

1.2.2 Wind energy and solar energy power plants in Sikhio District of Nakhon Ratchasima Province and Thap Sakae District of Prachuap Khiri Khan Province.

1.2.3 To increase the understanding in the nuclear power plants in every area throughout the country.

2. Promotion of the life quality of the communities in the vicinity of the new power plants to create sustainable development

2.1 Promotion of the activities regarding education, religion, culture, sanitation, and environmental conservation

2.2 Promotion of the occupation by increasing the knowledge and skill in their basic occupation and sidelines including the use of efficient microorganism in agriculture and sustainable environmental protection.

Environment Preservation and Protection EGAT with participation of the community and local administration has implemented the following projects on natural resource conservation in response to Her Majesty the Queen’s initiation by means of campaigns and job creation. 1. EGAT’s project on reforestation to increase water sources of Sirikit Dam to commemorate the 78th Birthday Anniversary of Her Majesty the Queen

This project of forest conservation was under the Organizing Committee of the Ministry of Energy to commemorate His Majesty King Bhumibol’s 60th Coronation Anniversary and the 78th Birthday Anniversary of Her majesty the Queen under the theme of “Planting the trees and building check dams to honor the Queen”.

EGAT has implemented the reforestation project in an area of 780 rai on the right riverbank of the Nan River National Park,Tha Pla District in Uttaradit Province. Moreover, 780 check dams were built around the reservoir of Sirikit Dam. 2. EGAT’s Project on increasing green area around Chana Power Plant

It is a project on environmental conservation implemented with the participation of the community with the objectives of adding value to the unused lots and of raising the awareness of the communities in participatory protection of the environment around the Chana Power Plant. The project consisted of planting the economic fast-growing trees to increase green area and add value to the lot of 170 rai. In 2012, 51 people in the community joined the tree planting, and the average height of the 95 percent surviving trees was 3.5 meters. 3. Promotion of the conservation of forests and the environment

The project was in cooperation with the communities and government agencies to increase the participation of the people in the forest and environment conservation. The project focused on planting and caring trees in the degraded areas as follows:

3.1 Planting and taking care of trees in Ubon Rachathani Province, Kalasin Province, and Surin Province covering the total area of 1,000 rai

3.2 Maintenance of mangroves in the area of 500 rai in the Mu Ko Chumphon National Park, Mueang District of Chumphon Province

3.3 Planting and maintenance of mangroves in an area of 60 rai along the banks of Na Tub canal

3.4 Planting and maintenance of trees in the public area of 60 rai in Bang Kruai District of Nonthaburi Province

4. Promotion of the environment conservation in the communities by means of using effective microorganism

4.1 Providing lecture on the use of effective microorganism in conservation of the environment of the community in the vicinity of power plants

4.2 Conducting training and establishment of microorganism bank in 16 communities in Nonthaburi Province under the project “Klong Suay Nam Sai” (beautiful canals, clear water). Long-lasting friendship...Sustainable energy

Activities Concerning the Environmental Conservation Under the policy framework in corporate social responsibility, EGAT has carried out its activities in studying and preparing the analysis of environmental impact of the development projects through the community participation. EGAT’s new projects, moreover, with the application of modern technology, could manage and control the emission from the power plants better than the standard limit specified by the law. Moreover, projects on reduction of greenhouse gas and electricity generation from clean energy and renewable energy have been implemented continuously. The achievements in 2012 are as follows: • Assessment of the environmental impact of the power development projects

In 2012, two projects of which the Environmental Impact Assessment (EIA) reports approved by the Office of Natural Resources and Environment Policy and Planning were North Bangkok Power Plant (Block 2) and Lam Ta khong Wind Turbine Power Project (Block 2)

• Monitoring the environmental quality

Apart from the preventive measure to reduce the environmental impact which may happen from the electricity generation process, continuous monitoring on the environmental quality, air quality, noise levels, water quality as well as the survey on the community attitude have been carried out. In 2012, the results were in compliance with the environmental standards prescribed by the law. EGAT, moreover, has given support to the establishment of a network in monitoring the environmental quality of the community in the vicinity of the power plants.

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• Research and development for society and environment

In 2012, the 46 million baht funds were given by EGAT to support 12 research and development projects of several technical institutes to study on the prevention and reduction of environmental impact from EGAT operation, development of communities around the power plants, and environmental-friendly power development. Moreover, EGAT and education institutes have cooperated to develop the wind database in Thailand.

• Stakeholder participation and public hearing

In recognizing the importance of stakeholders’ involvement and the public hearing on a continuous basis, in 2012 EGAT organized public hearing for the communities around the sites of new power plant development projects, namely the projects on increasing the capacity of Krabi Power Plant, Klong Tron Dam Power Plant, replacement of Mae Moh Power Plant (Units 4-7), and Mae Moh Lignite Mine.

• Clean Development Mechanism (CDM) Project

EGAT has developed Clean Development Mechanism (CDM) Project to reduce greenhouse gas emission. Seven projects have been developed, while 8 projects received Letter of Approval (LOA) from Greenhouse Gas Emission Management Institute of the Ministry of Natural Resources and Environment, namely 5 projects on small hydropower generator downstream of the irrigation dams (Chao Phraya Dam, Mae Klong Dam, Pa Sak Jolasid Dam, Khun Dan Prakarnchol Dam, and Kwae Noi Dam); Mae Moh retrofitting turbines (Units 10-11); Solar Power Generation System Project which is the first project of EGAT and of the Thai state enterprises to register with the CDM-RB for UNFCCC; and the Project of EGAT Irrigation Value Based Micro Hydro at Keang Krachan Dam and Mae Ngat Somboonchol Dam which has been considered as a project complying with the Crown Standard. • Environmental management in accordance with ISO 14001

EGAT has implemented the environmental management standard in accordance with ISO 14001 with the operating units to create confidence of the communities and society on the environmental management of EGAT. In 2012, 25 units of EGAT including power plants, dams, and lignite mine were successfully certified by a certification body (CB). To ensure the complete implementation of environmental management from the stage of power generation to the stage of transmission, ISO 14001 has also been applied by EGAT’s substations.

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Management of Environment and Society of the Power Plants EGAT has given importance to the social and environment management for sustainable development by strictly abiding to the public law and environmental regulations. Examples of the activities are studying and preparation of an environmental impact assessment report, observing the measures on prevention and reduction of environmental impact and monitoring of environmental quality concerning physical and biological resources, value and use of human beings and value to quality of life with focus on social impact assessment (SIA) and health impact assessment as well as the implementation of ISO 14001 and Thai Industrial Standard on Occupation health and Safety (TIS 18001) from the power plant construction to the power generation. Along with these activities, to increase the correct understanding and acceptance of all stakeholders of the power development projects, activities to increase participation of the communities and public hearings have been organized continuously in accordance with the provisions in the Constitution of Thailand, B.E. 2550 (2007). Social Activities It has been the intention of EGAT to strengthen good relationship and to encourage involvement of the communities around the power plants and along the transmission lines to better their quality of life through various projects as follows: • EGAT’s Project “Headwaters Reforestation at Sirikit Dam in Commemoration of the 80th Birthday Anniversary of Her Majesty Queen Sirikit”

Under this project, EGAT has been in encouraging cooperation of the people living in the vicinity of Sirikit Dam and nearby areas in planting 1,000,000 saplings. Moreover, through the campaign to promote the understanding in the use of vetiver grass in soil and water protection, EGAT could achieve in planting 500,000 vetiver grass and in building 896 check dams (beyond the target of 880 check dams). The campaign to invite participation of the people was also launched through the website www.egat.co.th/reforest.

• EGAT’s D.I.Y Camp for the Volunteering Spirit Fostering Project

The project aims to foster volunteering spirit among the university students through the volunteer camp activities. The integrated knowledge and experience in social responsibility are incorporated in the D.I.Y activities. Study tours are organized to the EGAT power plants to promote the understanding of the students in CSR in Process and CSR after Process and the concept of CSR volunteer camps.

• Biological Way of Life for Sustainable Development Project

EGAT has a strong determination to support and implement the royal initiative projects of their Majesties on the concept of sufficiency economy. The Biological Way of life for Sustainable Development Project which has been implemented for 11 years focuses on promoting the understanding of the concept of sufficiency economy and self-support among the communities around the power plants, substations, dams, transmission lines, construction sites and targeted communities as well as the requesting public and private organizations.

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Demand Side Management Demand side management is another mission of EGAT. From the attempt which has been made by EGAT for almost 20 years since 1993 to promote the effective use of electricity, the maximum electricity demand can be reduced to 2,778 MW, and the use of electrical energy has been reduced by 16,637 million units contributing to the reduction of carbon dioxide emission of 10 million ton. EGAT has been promoting the use of high efficient electrical appliances which have the No. 5 labeling and the Standby Power 1 Watt labeling. The 19 labeled products include lighting equipment, cooling equipment, household appliances, electric water heater, electric ventilator, and electric iron. At present EGAT has distributed 222 No. 5 labels in total. EGAT has signed an agreement with the manufacturers for the improvement of 3 electrical equipment namely washing machine, refrigerated display cabinet, and light emitting diode (LED) so as to be eligible for No. 5 label by next year. Moreover, a pilot project has been carried out to use the LED street lamps in the 4 large dams, namely Bhumibol Dam, Sirikit Dam, Srinagarind Dam, and Vajiralongkorn Dam to test on the energy saving prior to the actual launch of campaign for the use of LED lamps in 2013. The campaign to promote the use of electricity with efficiency has been carried out through various activities. The Green Classroom Project is among of these activities. It aims to promote the upgrading of the activity in electricity and environment conservation in 414 schools across the country. At present, 74 Green Schools have been achieved, and the activity has been extended to 925 nearby schools in the network. Moreover, EGAT has promoted the replacement of high efficiency T5 fluorescent tubes in government sectorâ&#x20AC;&#x2122;s buildings and religious places. EGAT has also provided air conditioner cleaning service for Bhumibol Adulyadej Hospital, the Foundation for the Crown Prince Hospitals, Royal Folk Arts and Crafts Center at Bang Sai, and government sector.

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Events

On May 31, 2012, Her Royal Highness Princess Maha Chakri Sirindhorn graciously officiated the opening of the Chao Phraya Dam Hydropower Plant in Chai Nat Province.

The project was to commemorate the 60th Coronation Anniversary of His Majesty the King. Being a clean energy power plant of the total capacity of 12 MW using the water downstream, the power plant can contribute to the reduction of carbon dioxide of 35,624 ton per year and of fuel import of 15 million liter.

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Her Royal Highness Princess Maha Chakri Sirindhorn graciously presided over the opening ceremony of the “2012 Inventor’s Day” on February 2, 2012.

The Princess observed the two inventions of EGAT and was welcomed by EGAT Deputy Governor - Transmission System, Mr. Thana Putarungsi, at IMPACT Exhibitions and Convention Center, Muang Thong Thani.

Her Royal Highness Princess Adityadhornkitikhun participated in the Project “Headwaters Reforestation Project at Sirikit Dam in Commemoration of the 8 0 th Birthday Anniversary of Her Majesty Queen Sirikit” on August 12, 2012 at Sirikit Dam in Tha Pla District of Uttaradit Province.

On this occasion, the Princess awarded 80 scholarships, planted vetiver grass, and built check dam at the dam.

Long-lasting friendship...Sustainable energy

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Prime Minister Ms. Yingluck Shinawatra led the team to the North with a view to preparing an integrated plan in sustainable management of water which covered the upper river basin, the river basin, and the lower river basin.

EGATâ&#x20AC;&#x2122;s Sirikit Dam was chosen as a model in water management for other 12 dams in the country. The Prime Minister was welcomed and briefed by EGAT Governor, Mr Sutat Patmasiriwat, on February 13, 2012 at Sirikit Dam in Uttaradit Province.

On June 14, 2012, Prime Minister Ms. Yingluck Shinawatra visited Bhumibol Dam in Tak Province to follow up the progress in inundation mitigation and the preparation for water circumstances in the upstream areas.

The Prime Minister was welcomed by EGAT Governor, Mr. Sutat Patmasiriwat.

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EGAT in collaboration with the Ministry of Energy gave a press conference on the launch of the Project on “Headwaters Reforestation Project at Sirikit Dam in Commemoration of the 80 th Birthday Anniversary of Her Majesty Queen Sirikit” on June 26, 2012 at EGAT Head Office.

The project which lasts from 2012 to 2015 aims to reforest 5 million trees on 25,000 rai of the Nan watershed areas upstream of Sirikit Dam as a commemoration of the 80 th Birthday Anniversary of Her Majesty the Queen and to respond to Her Majesty’s determination in sustainable conservation of forests and watershed areas. On November 6, 2012, a press conference was made on the achievement of the project. As of 2012, reforestation covered the areas of 5,000 rai planting 1 million saplings and 1 million vetiver grass as well as building 880 check dams. It is planned that the whole area of 10,000 rai will be completed in 2013 which will contribute to the reduction of 34,500 ton of carbon dioxide. Long-lasting friendship...Sustainable energy

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A celebration to commemorate the Birthday Anniversary of His Majesty the King was organized by EGAT on December 3, 2012 at EGAT Head Office.

A donation of robes for Buddhist monks together with scholarships for the Thai monks was part of the celebration. EGAT staff also took a vow to be good staff of a state-owned enterprise before singing songs in honor of the King with a live broadcast to its regional offices.

EGAT Governor, Mr. Sutat Patmasiriwat, was awarded â&#x20AC;&#x153;Outstanding Engineer of Chulalongkorn University of the year 2011â&#x20AC;? by the Faculty of Engineering

of Chulalongkorn University together with Chulalongkorn University Alumni Association as an alumnus who has contributed significantly to the society and the country. A plaque of honor and a commemorative certificate were presented to EGAT Governor, Mr. Sutat Patmasiriwat, by His Excellency Air Chief Marshal Kamthon Sindhavananda, Privy Councilor, at the Grand Hyatt Erawan Hotel, Bangkok in February 2012.

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EGAT participated as its second year in the 2012 Red Cross Fair under the theme “EGAT Joins the Thai People in Royal Celebration” to commemorate Her Majesty the Queen’s

80th birthday anniversary. The Red Cross Fair was held on Ratchdamnoen Nok Avenue in front of the office of the Army Area 1 in Bangkok during March 30 - April 7, 2012.

Long-lasting friendship...Sustainable energy

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EGAT handed over the community-based micro-hydropower plant of a total capacity of 100 kW to the representatives of Ban Khlong Rua Community in Pak Song Sub-district, Phato District of Chumphon

Province on June 5, 2012. It was intended that the power plant would become a self-reliant learning center on natural resources, environmental conservation, and participation of the community.

EGAT organized a welcome party for the weightlifters from the Thai Amateur Weightlifting Association (TAWA) on August

6, 2012 at EGAT Head Office after the success in the London Games 2012. â&#x20AC;&#x153;Nong Taewâ&#x20AC;? Pimsiri Sirikaew, won silver medal for the female 58 kg weightlifting. EGAT would continue to support TAWA for four more years. A fund of sixty-four million Baht was approved by the EGAT Board of Directors in August 2012 for the training of the weightlifting athletes for the 2016 Olympic Games in Brazil.

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EGAT’s advertisement spot entitled “Light” was awarded the best advertising television spot for consumers (Consumers Protection Award) and honorary award in the commemoration category.

The award presentation was jointly organized by the Office of the Consumer Protection Board and the Advertising Association of Thailand on August 29, 2012 at Siam Pavalai Royal Grand Theatre of Siam Paragon Department Store in Bangkok. The EGAT’s spot was chosen from 4,659 candidates. EGAT has won this award twice in 3 years.

EGAT introduced electric water heater and ventilation fan to the market as its two new Label No. 5 products in the event “Label No.5 Products Protect Us and the World” on 18 September 2012.

In this connection, EGAT signed a Memorandum of Understanding to introduce 3 more products, namely LED lamps, refrigerated display cabinet, and washing machine in 2013.

Long-lasting friendship...Sustainable energy

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E G AT w a s a w a r d e d t h e Outstanding State-Owned Enterprise (SOE Awards)of 2012 in the category of the best management (honorary prize) and the best innovation category for its insulator delivery on October 5, 2012.

The SOE Awards competition was organized by State Enterprises Policy Office (SEPO) of the Ministry of Finance. EGAT had won the best management award for three consecutive years (20052007) and also in 2008, 2010, and 2011. This was the seventh time for EGAT to win the award. For the best innovation category, this was the second time for EGAT to win the award for insulator delivery following the first time in 2011 for its photovoltaic floating plant with water weighted tracking system.

The 10th Mae Moh Festival w a s o r g a n i z e d b y E G AT o n November 16-18, 2012 at EGAT Mae Moh power plant and lignite mine in Mae Moh District of Lampang Province.

The event which was visited by almost 200,000 people was considered to be successful as a contribution to society and Mae Moh community. The community participatory event consisted of cultural shows and sale of OTOP products. Apart from entertainment, information on Mae Moh power plant and a visit to Mae Moh mine as well as to the beautiful commemorative garden was also provided.

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EGAT opened Udon Thani Substation 3 on November 20, 2012 at Nong Nakham Sub-district in Muang

District of Udon Thani Province to receive electricity purchased from Nam Ngum 2 Project of Lao PDR. The substation receives electricity from Nabong Station in Lao PDR and from the transmission line across the Khong River in Nong Khai Province for transmitting to the Namphong 2 substation at the distance of 85 km to be connected with the 115 kV electrical system in Nong Khai Province, Udon Thani Province, and Pangkhone District in Sakon Nakhon Province to stabilize the transmission system.

The celebration of three Buddha images â&#x20AC;&#x153;Phra Buddha Sirisattarachâ&#x20AC;? (Luang Phor Chet Kasat) of the width of 39 inches, 29

inches, and 19 inches respectively was organized by EGAT on November 30, 2012 at EGAT Head Office. On the monk side, the celebration was presided by two revered monks, Luang Poo Prasarn Sumano, Abbot of Wat Nong Khrai in Mueang District of Yasothon Province and Luang Poo Uthai Siritharo, Abbot of Wat Khao Yai (Charoentham) Yannasampanno in Pak Chong District of Nakhon Ratchasima Province.

Long-lasting friendship...Sustainable energy

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EGAT opened Nakhon Phanom 2 Substation on December 4, 2012 at Wern Phrabat Sub-district

in Tha Uthen District of Nakhon Phanom Province to receive power purchased from the Expansion of Theun Hinboun Power Plant Project of Lao PDR. The substation will cope with the rising demand for electricity of the country and support the development of Thailand to be a member of the ASEAN Economic Community.

EGATâ&#x20AC;&#x2122;s Sirikit Dam was awarded the best industry in 2012

in the category of safety management in the award competition organized by Ministry of Industry on November 30, 2012 at the Government House. Sirikit Dam was the first hydro power plant of EGAT to win the award based on six management principles, namely safety and occupational health and safety management, human resource management, prevention of accidents and danger control, investigation and analysis of accidents, prevention of danger and emergency plan, and safety system management.

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Eighteen EGATâ&#x20AC;&#x2122;s power plants were awarded 21 prizes of Corporate Social Responsibility, Department of Industrial Works: CSR-DIW for 2012 in 3 categories.

The award represented EGATâ&#x20AC;&#x2122;s long commitment to social responsibility and the sustainable development, as well as effort in making the community living in the vicinity of power plants in harmony. Examples of the CSR-DIW awards were CSR-DIW awards for Green System level 3 of seven power plants namely Krabi Power Plant, Tha Thung Na Dam, Vajiralongkorn Dam, Nam Phong Power Plant, Bang Pakong Power Plant, North Bangkok Power Plant, and Chana Power Plant. Eleven power plants which received CSR-DIW Continuous awards were Srinagarind Dam, Ubol Ratana Dam, Chulabhorn Dam, Bhumibol Dam, Lamtakong Jolabha Vadhana Hydro Power Plant, Mae Moh Power Plant, Nam Pung Power Plant, Rajjaprabha Dam, Surat Thani Power Plant, Sirikit Dam, and Sirindhorn Dam. The award presentation was held on December 19, 2012 by the Department of Industrial Works, Ministry of Industry at IMPACT Exhibitions and Convention Center at Muang Thong Thani.

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Long-lasting friendshipâ&#x20AC;ŚSustainable energy EGAT is always well aware that sustainable development must exist hand in hand with social responsibility like true friends on the never-ending path of development.

Key Statistical Data

System Installed Generating Capacity 2012 2011 Type of Power Plant MW Percentage MW Percentage

Increase Percentage

EGATâ&#x20AC;&#x2122;s Power Plants

Thermal

4,699.00

14.41

4,699.00

14.94

Combined Cycle

6,866.00

21.06

6,866.00

21.84

Hydropower

3,435.74

10.54

3,424.18

10.89

0.34

Diesel

4.40

0.01

4.40

0.01

Renewable energy

4.99

0.02

4.55

0.01

9.67

15,010.13

46.04

14,998.13

47.69

0.08

Subtotal Purchase from Domestic Private Power Plants

IPPs

12,741.69

39.08

12,081.69

38.42

5.46

SPPs

2,444.60

7.50

2,182.30

6.94

12.02

2,104.60

6.46

1,884.60

5.99

11.67

300.00

0.92

300.00

0.96

Subtotal

17,590.89

53.96

16,448.59

52.31

6.94

32,601.02 100.00

31,446.72

100.00

3.67

Neighboring Countries

Laos

EGAT-TNB Interconnection System

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Grand Total

Monthly Peak Generation Requirement

Month Monthly Peak Generation

Requirement (MW)

Increase

MW Percentage

2012 2011

January February March April May* June July August September October November December Yearly Peak Generation Requirement

22,251.10 23,554.40 24,571.51 26,121.10 25,207.27 23,927.30 23,932.60 24,155.70 24,009.30 24,131.33 24,657.91 24,073.85 26,121.10

21,288.30 22,206.90 23,156.33 23,322.12 23,900.21 23,029.24 23,351.35 23,442.50 22,808.58 22,062.10 20,954.60 21,104.90 23,900.21

962.80 1,347.50 1,415.18 2,798.98 1,307.06 898.06 581.25 713.20 1,200.72 2,069.23 3,703.31 2,968.95 2,220.89

4.52 6.07 6.11 12.00 5.47 3.90 2.49 3.04 5.26 9.38 17.67 14.07 9.29

* 2012 peak generation requirement occurred on April 26, 2012 at 14.30 hours 2011 peak generation requirement occurred on May 24, 2011 at 14.00 hours

Monthly Energy Generation Requirement

Month

Monthly Energy Generation

R equirement (Million kWh)

2012

January February March April May June July August September October November December Total

13,036.68 13,579.09 15,255.95 14,380.35 15,410.30 14,577.52 14,831.42 14,659.59 14,203.02 14,840.69 14,520.49 13,955.18 173,250.28

Increase

Million kWh Percentage

2011

12,309.89 12,286.67 13,575.68 13,060.59 14,319.15 13,936.50 14,110.94 14,169.29 13,813.60 13,125.23 12,189.28 11,973.67 158,870.49

726.79 1,292.42 1,680.27 1,319.76 1,091.15 641.02 720.48 490.30 389.42 1,715.46 2,331.21 1,981.51 14,379.79

5.90 10.52 12.38 10.10 7.62 4.60 5.11 3.46 2.82 13.07 19.13 16.55 9.05

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Gross Energy Generation and Purchase (by type of fuel) Source 2012 2011 Million Percentage Million Percentage kWh kWh

Increase/ (Decrease) Percentage

EGAT’s Power Plants

Natural gas

51,040.61

29.46

44,547.43

28.04

14.58

Lignite

16,817.40

9.71

16,800.80

10.57

0.10

Hydropower

8,408.36

4.85

7,912.97

4.98

6.26

Fuel oil

1,177.45

0.68

1,168.71

0.74

0.75

Diesel oil

55.46

0.03

29.50

0.02

88.00

7.85

0.01

(54.52)

70,467.26

44.36

Renewable Energy EGAT’s Total Generation

3.57 77,502.85

- 44.73

9.98

Purchase from Domestic Private Power Plants

• IPPs Natural gas

55,585.75

32.08

51,344.26

32.32

8.26

Coal

13,706.09

7.91

10,804.52

6.80

26.86

Fuel oil

727.24

0.42

473.92

0.30

53.45

Diesel oil

77.59

0.05

3.27

Subtotal

70,096.67

40.46

62,625.97

39.42

11.93

• SPPs Natural gas

10,431.27

6.02

10,590.11

6.67

(1.50)

2,009.76

1.16

2,040.61

1.28

(1.51)

Hydropower

27.85

0.02

32.03

0.02

(13.05)

Fuel oil

29.97

0.02

22.31

0.01

34.33

Biomass

2,499.56

1.44

2,264.34

1.43

10.39

135.81

0.08

0.54

15,134.22

8.74

Coal

Renewable Energy Subtotal

14,949.94

9.41

1.23

Neighboring Countries

• Laos

10,375.86

5.99

10,711.95

6.74

(3.14)

• Malaysia

140.68

0.08

115.37

0.07

21.94

Subtotal

10,516.54

6.07

10,827.32

6.81

(2.87)

Total Energy Purchase

95,747.43

55.27

88,403.23

55.64

8.31

173,250.28

100.00

Grand Total

120

158,870.49 100.00

9.05

Energy Sales Customer 2012 2011 Million Percentage Million Percentage kWh kWh

Metropolitan Electricity Authority (MEA)

Increase/ (Decrease) Percentage

49,991.71

29.52

45,766.87

29.49

9.23

116,031.38

68.51

106,391.71

68.55

9.06

1,693.21

1.00

1,580.60

1.02

7.12

Standby power supply

119.81

0.07

128.04

0.08

(6.43)

Electricité du Laos (EDL)

1,140.99

0.67

696.58

0.45

63.80

Tenaga Nasional Berhad (TNB) - Malaysia

1.06

322.99

0.21

(99.67)

0.23

315.75

0.20

24.48

(1.06)

Provincial Electricity Authority (PEA) Direct customers

Electricité du Cambodge (EDC) Other minor customers Total

393.06 4.67

169,375.89

100.00

4.72 155,207.26

100.00

9.13

Average Energy Sales Price Customer

2012 2011 Increase/ (Decrease) Baht/kWh Baht/kWh Percentage

Metropolitan Electricity Authority (MEA)

2.79

2.55

9.45

Provincial Electricity Authority (PEA)

2.81

2.56

9.53

Direct customers

3.01

2.71

11.16

Standby power supply

5.76

5.28

9.15

Electricité du Laos (EDL)

1.83

1.86

(2.04)

Tenaga Nasional Berhad (TNB) - Malaysia

7.69

4.83

59.23

Electricité du Cambodge (EDC)

3.41

3.12

9.13

Other minor customers

2.05

1.91

7.29

Overall Average Sales Price

2.80

2.57

9.12

Long-lasting friendship...Sustainable energy

121

Transmission System 2012 2011 Voltage Level (kV)

Line Length Number of Transformer (Circuit- Substations Capacity Kilometers) (MVA)

500

3,884.23

20,849.99

3,469.54

20,849.99

230

14,060.13

50,760.04

13,950.12

47,460.04

132

8.71

133.40

8.71

133.40

115

13,561.53

130

14,598.74

13,047.67

18.80

300 (HVDC)

23.06

388.02

22.99

388.02

Total

86,730.19

30,517.82

210

83,430.19

31,556.46

212

130

14,598.74

Fuel Consumption Type of Fuel 2012 2011

Natural gas (million cubic feet) *

Increase/(Decrease) Percentage

436,096.03

380,780.06

14.53

320.52

314.35

1.96

Lignite (million tons)

16.78

17.16

(2.22)

Diesel oil (million liters) *

17.84

11.08

61.01

Fuel oil (million liters) *

* Excluding gas and oil supplies provided for Rayong, Khanom, and Ratchaburi Power Plants

122

Reservoir Operation Operation 2012 2011 Increase/(Decrease) Percentage

Total reservoir capacity (million cubic meters) *

62,290

Total storage at year end (million cubic meters) *

21,255

54,406

(60.93)

Total water inflow (million cubic meters) *

33,009

58,646

(43.71)

39,502

42,801

(7.71)

- Extra release through spillways

2,297

(100.00)

- Extra release for irrigation **

292

523

(44.13)

3,176

2,851

11.41

42,971

48,470

(11.35)

413

(83.53)

8,407

7,913

6.24

5.10

5.62

(9.25)

Total water release (million cubic meters) * - Passed through generators

- Evaporation Total water release Water pumped up into the upper reservoir (million cubic meters) ** Generated energy (million kWh) *** Water used for energy generation (cubic meters/kWh)

* Excluding Pak Mun Dam, Lamtakhong Dam, and other mini hydropower plants ** Water pumped up into Bhumibol Dam, Srinagarind Dam, and Lamtakong Dam *** All of EGATâ&#x20AC;&#x2122;s hydropower plants

Workforce

Educational Level

at December 2012 Number of Persons Percentage

at December 2011 Increase/(Decrease) Number of Persons Percentage Percentage

Bachelorâ&#x20AC;&#x2122;s Degree and higher

7,543

33.59

7,286

31.70

3.53

Higher Vocational Certificate

7,978

35.52

7,677

33.41

3.92

Vocational Certificate

3,201

14.25

3,476

15.13

(7.91)

Others

3,738

16.64

4,542

19.76

(17.70)

Total

22,460

100.00

22,981

100.00

(2.27)

Long-lasting friendship...Sustainable energy

123

Auditor’s Report  

AUDITOR’S REPORT AUDITOR’S REPORT

TO: THE BOARD OF DIRECTORS OF THE ELECTRICITY GENERATING AUTHORITY OF TO: THE BOARD OF DIRECTORS OF THE ELECTRICITY GENERATING AUTHORITY OF THAILAND THAILAND

                                                                                                                         

                                               

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                                           

                                                              

(Signed) (Signed)

Prapee Ankinandana Prapee Ankinandana (Prapee Ankinandana) (Prapee Ankinandana) Deputy Auditor General Deputy Auditor General Acting Auditor General Acting Auditor General

(Signed) (Signed)

Adisorn Puawaranukroh Adisorn Puawaranukroh (Adisorn Puawaranukroh (Adisorn Puawaranukroh Director of Financial Audit Office No. 8. Director of Financial Audit Office No. 8.

                         

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Long-lasting friendship...Sustainable energy

125

Financial Statements  

   

   

     

  

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































































































 

 

 

 

 











 













 

       











































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





































  

  

  

  

  



126

     

                                       

  

   

     

          

          

          

          



  

  

  

  

  

        

        

        

        

 

 

 

 

  

  

  

  

     

    

    

    

  

  



  

  

Long-lasting friendship...Sustainable energy

127

     

   

   

  





























 













































































































































































  







 



 









 



  

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  

     



    







 

  













 

 



 











 

   









































  

  

Long-lasting friendship...Sustainable energy

129

130

474,767,280

9,064,310,580

474,767,280 -

9,126,643,343 (62,332,763) -

474,767,280

9,126,643,343

474,767,280

9,126,643,343

474,767,280 -

9,188,976,106 (62,332,763) -

474,767,280 474,767,280

9,188,976,106 9,188,976,106

(23,625,000) 23,625,000

(23,625,000) (23,625,000)

80,186,366,913

80,186,366,913 -

80,186,366,913

80,186,366,913 -

80,186,366,913 80,186,366,913

38,791,671,694 203,803,127,409

(8,077,994,513) (17,331,310,039)

(315,526) (9,253,000,000)

3,920,705 182,342,765,754 -

182,338,845,049

31,822,648,459 182,342,765,754

(7,043,684,473) (15,471,145,518)

(28,461,045) (8,398,695,954) (304,046)

(20,687,449) 165,991,262,813 -

177,642,537,863 (11,630,587,601) 166,011,950,262

Contribution from Surplus from Accrued common Retained earnings the government royalty on state share of jointly appropriated unappropriated property service controlled entity

Notes to the financial statements are an integral part of these financial statements.

Changes in equity for the year Additional investments from subsidiaries Dividends paid Total comprehensive income (loss) for the year Balance as at December 31, 2012

Balance as at January 1, 2012 (Before adjustment) Cumulative effect of the changes in accounting policies by beginning retained earnings adjustment 5.1 Balance as at January 1, 2012 - adjusted Depreciation of assets for irrigation 6.23 Share received in advance of subsidiaries Remittance to the Ministry of Finance 6.18 Increase of the year 2011 The year 2012 (Jan 1 - Jun 30, 2012) Provision for remittance to the Ministry of Finance The year 2012 (Jul 1 - Dec 31, 2012)

Changes in equity for the year Additional investments from subsidiaries Dividends paid Total comprehensive income (loss) for the year Balance as at December 31, 2011

Cumulative effect of the changes in accounting policies by beginning retained earnings adjustment Balance as at January 1, 2011 - adjusted Depreciation of assets for irrigation 6.23 Accrued common share of jointly controlled entity Remittance to the Ministry of Finance Increase of the year 2010 The year 2011 (Jan 1 - Jun 30, 2011) Increase of the year 2011 (Jan 1 - Jun 30, 2011) Provision for remittance to the Ministry of Finance The year 2011 (Jul 1 - Dec 31, 2011) 6.18

Balance as at January 1, 2011 (Before adjustment) Cumulative effect of the changes in accounting policies

Notes

(10,581,391) (75,403,720)

346,409 (64,822,329) -

(65,168,738)

(73,321,892) (64,822,329)

8,499,563 -

314,400,199 275,102,134

(39,298,065) -

(39,298,065)

(35,035,417) (39,298,065)

(4,262,648) -

(1,437,806,248) (1,437,806,248)

2,886,909,938

2,886,909,938 -

2,886,909,938

2,886,909,938 -

(44,893,141) (42,135,798)

2,757,343 -

2,757,343

2,757,343 2,757,343

348,484,287 565,187,751

216,703,464 -

216,703,464

236,782,836 216,703,464

(20,079,372) -

Other components of equity Other comprehensive income (loss) Currency Available-for-sale Actuarial losses Surplus on Income taxes Share of other translation financial assets subsidiaries and for other comprehensive differences associates using comprehensive gain (loss) of equity method gain (loss) associates 8,499,563 (4,262,648) 2,886,909,938 (20,079,372) 8,499,563 (4,262,648) 2,886,909,938 (20,079,372)

Total equity attributable to EGAT

Consolidated financial statement

ELECTRICITY GENERATING AUTHORITY OF THAILAND AND ITS SUBSIDIARIES STATEMENTS OF CHANGES IN EQUITY FOR THE YEAR ENDED DECEMBER 31, 2012

(TRANSLATION) -7-

(830,396,294) 2,171,854,057

346,409 3,002,250,351 -

3,001,903,942

131,182,870 3,002,250,351

2,871,067,481 -

2,871,067,481 2,871,067,481

Total other components of equity

37,961,275,400 295,700,426,239

(8,077,994,513) (17,331,310,039)

(315,526) (9,253,000,000)

4,267,114 275,132,793,641 (62,332,763) -

275,128,526,527

31,953,831,329 275,132,793,641

(28,461,045) (8,398,695,954) (304,046) (7,043,684,473) (15,471,145,518)

(20,687,449) 258,688,815,593 (62,332,763) 23,625,000

270,340,090,643 (11,630,587,601) 258,709,503,042

20,182,430 (1,794,375,000) 4,774,127,714 30,105,185,605

(130,927,798) 27,070,318,851 34,931,610

27,201,246,649

638,128,696 (1,794,375,000) 2,286,964,090 27,070,318,851

(25,309,839) 25,939,601,065 -

25,893,878,274 71,032,630 25,964,910,904

Total EGAT's equity Non-controlling interests

20,182,430 (1,794,375,000) 42,735,403,114 325,805,611,844

(8,077,994,513) (17,331,310,039)

(315,526) (9,253,000,000)

(126,660,684) 302,203,112,492 (62,332,763) 34,931,610

302,329,773,176

638,128,696 (1,794,375,000) 34,240,795,419 302,203,112,492

(28,461,045) (8,398,695,954) (304,046) (7,043,684,473) (15,471,145,518)

(45,997,288) 284,628,416,658 (62,332,763) 23,625,000

296,233,968,917 (11,559,554,971) 284,674,413,946

Total equity

Unit : Baht

Long-lasting friendship...Sustainable energy

131

 







  

      

  

         



       

     

 

   

 

  

    

   

  

   

 

 

 

 

 

 

  

   

 

 

 

 

 

 

  

   

  

   

 

 

 

 

  

   

 

  

   

    

                    

   

 

                                                             

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                             

                             

                             

                             

      

      

      

      

           

           

           

           

                  



   

                             

   

  

   

   

          

        

           

         

       

         

         

         

                

                   

                      

                       

   

    

    

    



Long-lasting friendship...Sustainable energy

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 



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  

                                                                                                     

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                                                  

Long-lasting friendship...Sustainable energy

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 

  

                                                                                  

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                                                                                                                             Long-lasting friendship...Sustainable energy

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                                  

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                          

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                                                                                                                  

Long-lasting friendship...Sustainable energy

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 

                                                                            



                   



                                            

140

 

                               

  

                                                                                                    Long-lasting friendship...Sustainable energy

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 

                                                                                                            

            

            

           

                                    

142

 

      

 





























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                                  Long-lasting friendship...Sustainable energy

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                                                                                                                     

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                                                                                                              



    Long-lasting friendship...Sustainable energy

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                                                   

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                                                                                                Long-lasting friendship...Sustainable energy

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 

                                                                      

 

                                          

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                            

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                                   

Long-lasting friendship...Sustainable energy

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                                                                                                                       

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              

         

 



                                     

Long-lasting friendship...Sustainable energy

151

 

 

                         



152

  





 

               

               

               

               

     

     

     

     









 

  

      









































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

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

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



 

      



















































   

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 

         

        

 

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







       

       

       

       

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 









    

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 

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 

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 

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





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     

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 

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                     

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 

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

 

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























     

 



 







     

  



   

   

 

 

























                  

    

                        

            

            

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   

                        

          

 

 

 

 

 

                       

       

 







Long-lasting friendship...Sustainable energy



157

 

                                      

 

    



                      



      

 

 

 

 

 

                       

       

 











   

158

    

               

  

                  

      



   

         

    

                              

  

   

  

  

  

 

 

 

 

 

 

 

 

       

       

       

Long-lasting friendship...Sustainable energy

159

  

          

 

 

      

                                                     

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    

    

    

    

     

     

     

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      

      

      

       

             







 















  







      









 









 









 









   

 

 

 

 

 







 







 





 







 







 















  







 









 









 









 









 









   

 

 

 

 

Long-lasting friendship...Sustainable energy

161



        

 

 

         

 

 

 







  

  

  



                                                                                 

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   

      

                     

                      

            

             

        

         

            

         

 

        

    

  

                            

    

 





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163

Long-lasting friendship...Sustainable energy   





 

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                                                                                                    

                  

164

                 

                  

 

               

               

     









       

  

       

 



     



 



     





     

  



      

 



      

 



      

 



     



 



     



 



       



 



       



 



     



 

      



 

      



 

      



 

      



 

      



 

      



  

       









 



 

     

 

 

  





 

 

   





 

 

  





 

 

  







     



     

Long-lasting friendship...Sustainable energy

165

    

 



 



 



  

    



 

    



  

     



   

   

         

     

166

    



  



   

        





































































 

 

 

    









 

 

 

Long-lasting friendship...Sustainable energy

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                           



 

 

 

 

 

  

 

  

 

  

    

    

 

 

     

    

 

  

    

 

  

    

   

 

  

    

   

 

     

    

   

     

    

   

  

    

   

           

    

   



    

   

    

   

    

   

    

                       

   

    

 

  



    

 

   

    

     

 

   

    



   

    

  

   

    

  

    



    



                                            





 

  



    

 

   

        

 

  



    

 

   

    





Long-lasting friendship...Sustainable energy

169

                      

 

   



  



 

 

   



  



 

 



 



 

 



  



   

 

 

 

 



  



   

 



 

 



  



   

 

  

 

 



  



   

 

 

 

 



  



   

 

 

 



  



   

 

 

 



  



   

 

       





 

 



  



   

 

 



  



   

 

    

 

 



  



   

 



 

 



  



   

 

  

 

 



  



   

 

  

 

 



  



   

 





 

                                    

            

                            

      

                                                                      

170

Long-lasting friendship...Sustainable energy

171

      

 







 





 

  

  



  

 

 

 





  

 









  



  

 





  

 

 





  

     



  



   



  

 





  

 





  

 





  

   



  

 





  

 





  

 





  

 





  

             

 





  

 

        





 





  

  

 



 





       





  

  

 





 





 





 





                       

 





  

  

 





  

  

 





  





     









































 





































                           

          

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                         

Long-lasting friendship...Sustainable energy

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                        



                         

          

  

     

 

 

 

     

  

          

  





 

     

  

          

 

     

  

          

      

 

     

  

          

  

 

     

  

          





 

               

          

                             

    

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 

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            

                    

               

                          174 

                                    

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

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 

 

     

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



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

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













 

 



 

 

Long-lasting friendship...Sustainable energy

175

            



            

     

 

     

     

     

     

            

     

     

     



         

176

          



   

       

         

     

     

      

       

   

   

   

  



         

     

         

   

   

 

 

                   

  

           

     

     

     

     

     

 

 

 

 

       



                    

         



 

 

 

 

     

Long-lasting friendship...Sustainable energy

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              



  

                           

                    

                    

 

                     

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                                                         

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         

 

      

      

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  

  

  

  

                                             



 



 

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

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



  

   

  

   



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 

  

 

  



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

    



    

Long-lasting friendship...Sustainable energy

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Separate financial statement Dec 31, 12 Dec 31, 11 Foreign Million Foreign Million currencies Baht currencies Baht Unit : million Unit : million Local sources secured by the Ministry of Finance: EGAT bonds Fixed rate due within 2013 - 2020

9,000.00

12,000.00 12,000.00

Local sources unsecured by the Ministry of Finance: Ministry of Finance loans Fixed rate due within 2013 - 2027

88.34

93.04

51,781.90

49,385.90

2,000.00

EGAT bonds Fixed rate due within 2013 - 2024 Other financial institutions Fixed rate due in 2012

51,870.24

51,478.94

Foreign sources secured by the Ministry of Finance: Loans Japanese Yen: Fixed rate due in 2013

419.51

150.17

2,196.74

905.95

Fixed rate due within 2013 - 2014

0.17

7.09

0.26

10.76

Fixed rate due within 2013 - 2037

41.48

1,695.02

50.79

2,099.84

Euro:

Total Less: Current portion of long-term loans Balance

180

1,852.28

3,016.55

62,722.52

66,495.49

(4,980.01) 57,742.51

(14,730.16) 51,765.33



      

                     

         

         

                       

        

                                                                                                                                     

                       

 Long-lasting friendship...Sustainable energy             

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                                                                   

                                                                                                                                                                                                                

                              182

                              

                               



 

      

              

 

              

           

               

   

        

        

        

  

  

        

            

    

     

    

   Long-lasting friendship...Sustainable energy 

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

 



 

 

 

                

     

  

  

  

  

   

                             

    

 

     

      

       

  

  

  

  

     

184



 

              

                                   

               

  

      

       

 

   

          

           

                       



         Long-lasting friendship...Sustainable energy    

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

  

                     

   

                       

                                    

                                                 

                                                                    

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                                               

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 

              

                   

                              

                                                                                                       

         

                                     

    Long-lasting  

friendship...Sustainable energy

187

 

                   





             

      



      



    

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 

                                   

             

                              

              

  

Long-lasting friendship...Sustainable energy

189

   













    

 





 

 









 

 









 

 









 

 









 

  







 

 







 

 









 

 









 

 









 

 







 

 









 

  







 

 









 

 









 

 

 







 

 

 







 

 

 





 

 

 

 



 

 

 



 



   



    

    

  

      

190





 

                                           

   

                                                                               Long-lasting friendship...Sustainable energy

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                                       





 

 

     



 



  

 

  

192

















                                                    

  

              

           

                                                         

Long-lasting friendship...Sustainable energy

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 

               

                  

                   

                                       

                 

194



         

 

  

         

                                                                  

Long-lasting friendship...Sustainable energy

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Audit Fee EGATâ&#x20AC;&#x2122;s financial statements are audited by the Office of the Auditior General of Thailand. For Fiscal year 2012, audit fees and expenses total Baht 2,800,000 comprising Baht 1,350,000 fee for the annual audit, Baht 1,200,000 fees for the reviews of quarterly financial statements totaling three quarters or Baht 400,000 for each quarter and Baht 250,000 fees for the audits of account unbundling.

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