Comparing Various LNG to Power Solutions for Myanmar
(Room Amber 1)
20 Sep 17
2:00 PM
-
3:30 PM
Tracks:
Track A - Trends, Projects and Planning
Bringing LNG to fill Myanmar’s power need Myanmar is today one of South East Asia’s fastest growing economies. The installed power generation capacity must be substantially increased, as demand is forecasted to grow to some 14,500 MW by 2030. Due to the current domestic gas shortage, alternative liquid fuel sources are needed in the short and middle term future to meet this demand. Heavy fuel oil (HFO) with high-efficiency combustion engines is a suitable interim fuel until gas or LNG is available. However, it is evident that not all locations will be able to connect to a gas pipeline, and even if connected the reliability of the pipeline may not meet the availability criteria for the power plants. To explore the LNG import options, the Ministry of Electricity and Energy (MOEE) launched a tender process in September 2016. The Invitation for Expressions of Interest (EOI) seeks private sector cooperation for the import, regasification, storage and distribution of LNG. Therefore, LNG to Power will definitely be one of the coming solutions for Myanmar. The capacity share of LNG will be dependent on its price and availability, and on how and where the LNG receiving terminals can be built and accessed by small-scale LNG carriers. Firstly, this paper will study Myanmar’s current power system, as well as the potential locations for new generation vs. the existing gas pipeline. Based on this, recommended sites for LNG terminals and power plants will be given. Secondly, this paper will study possible LNG terminal solutions, both onshore and offshore, with corresponding LNG logistics. The concepts will be compared based on the cost of generating electricity. Finally, this paper will present a sensitivity analysis, which can be used to compare the various unknowns in the LNG value chain, and to prepare for future changes in the price and supply of LNG.