1

2 Welcome All Participants To Provincial Electricity Authority Of Khon Kaen Province

3 Presentation Topics 1. Government Electricity Structure 2. PEA’s History and Organization Overview 3. Introduction to PEA – Khon Kaen Province 4. PEA-Khon Kaen Reform

4 1. Government Electricity Structure 1. 1 EGAT ( Electricity Generating Authority Of Thailand ) - state enterprise under the ministry of Energy - To generate,acquire,transmit electric energy to the Metropolitan Electricity Authority ( MEA ),the Provincial Electricity Authority ( PEA )

5 1. Government Electricity Structure 1. 2 MEA ( Metropolitan Electricity Authority ) - state enterprise under the ministry of interior - for generating and selling electrical power in the metropolitan ( BKK ) area, Samutpakan and Nontaburi Province area

6 1. Government Electricity Structure 1. 3 PEA ( Provincial Electricity Authority ) - state enterprise under the ministry of interior - for generating and selling electrical power in the whole country area exception MEA’s area.

7 2. PEA ’s History and Organization Overview -Established on September 27 th, 1960 By the Royal Decree

8 2. PEA ’s History and Organization Overview - Generating and selling electrical power to customer in 73 provinces area or 99 % 0f the country.

9 PEA Service Area

10 Northeastern Region,NE 1 ( Udontani ) Responsible for 7 Provinces Khon Kaen Udonta ni Nongkhai Nakhonp hanom Sakhonak on Nongbual umpu Loei

11 PEA- Khonkae n PEA- Chumpar e PEA- Banpha i 26 Amphur PEA sub-office in Khon Kaen Province

12 Khon Kaen Provincial Electricity Authority is the first industry class sub-office There are 211,267 customers,212 Employeers Responsible for 8 districts Revenue about 320 baht/month Earning about 400 baht/year

13 Khonkaen Organization Chart Manag er Scholar Assist. Manager (Admin.) Accounting and Processing Inventory Section General Administrativ e Assist. Manager ( Tech.) Engineering and Marketing sect. Operation and Maintenance Sect. Construct. Customer service Meter Section Kranuan BanfangNampong

14 Mr. Virat Namuangrak ( Manager ) Mr. Somkiet Ngaosuwan ( Assist. Manager (Tech.) ) Mr. Toon Havicha ( Nampong Manager ) Mr. Pera Wunasiri ( Kranuan Manager ) Mr. Sunti Satitumachart ( Banfang Manager ) Mr. Sawai chaleetun ( Assist. Manager (Admin)

15 Khon Kaen Provincial Electricity Authority The First office Building

16 New Offic e Buil ding Khon Kaen Provincial Electricity Authority

17 4. PEA Privatization and Reform Why does PEA has to Privatized ? - In the 1990, Chuan Leekpai government had a policy to privatize state enterprises,such as PTT Exploration and Production but not occurred during Chuan Leepai term. - PTT Exploration and production, Thai airway international,Telephone of Thailand (TOT ),PTT PCL have privatizes in Thaksin Shinawatra Government - On March 23,2006,the Supreme Administrative Court ruled againt the privatization EGAT PLC - Since then PEA Privatization has just draw up until now.

18 Need to change - Allowing private companies ( Independent Power Power Producers,IPPs ) to build and operate power generation selling output to EGAT - Allowing smaller private companies ( Small Power Power Producers,SPPs ) to build and operate power generation selling partial output to EGAT - Allowing very smaller private companies ( Very Small Power Producers,VSPPs ) to build and operate power generation selling output to PEA, MEA

19 Compliance to Headquarter Policies 1. Headquarter determined Key Performance indicator ( KPIs) 2. Regional office and sub-office draw up annual operating plan according to KPIs of Head office 3. Evaluation of KPIs is part of success in each year

20 Executives Strategies 3. Regulatory flexibility to meet customer needs 2.Change from passive work to proactive work 1. More business – oriented management

21 Executives Strategies (Cont.) 6. Developing information systems with the SAP to the organization 4. Customer Satisfaction is very important 5. Increasing service and communication channels

22 Executives Strategies (Cont.) 7. Hired external source contractor (Outsourcing ) : Labour supplier, Secuitiy

23 Advantages and Disadvantages Of Decentralization

24 1. Mobility management and more flexible in practice Advantages of Decentralization 2. Customers get faster services 3. Reduce processing cost. Such as communication cost 4. Employees have more experience and learn to manage themselves

25 1. Corruption problem Disadvantages of Decentralization 2. Some of employees familiar with the old government management 3. Not enough potential in some employees

26 Human Resource Development 1.Evaluate core competency 0f employees 2. Organize training courses. In accordance with the core competency of employees 3.Promoting employees to study at higher levels such as graduate

27 Obstacles to Decentralization -Availability of personnel problem - lack of facilities - Budget is Inconsistent with decentralization

28 Thank You

29 QUESTIONS ? & ANSWER