MEA is conducting a public hearing on the draft amendment to the MEA Act aims to modernize legal framework that has been in place since B.E. 2501, ensuring it aligns with current economic structures and the evolving energy industry.
- Significant Expansion of Operational Scope
The major shift of draft proposes in MEA’s legal mandate is expanding its core objectives to include electricity production, rather than just distributing it. Currently its role under MEA Act B.E. 2501 is more restricted, but the amendment allows the MEA to utilize its existing technology, assets, and personnel to create added value and participate in national development. The MEA’s authority will no longer be strictly domestic but it will have authority to invest and operate energy businesses in foreign countries.
- Reform of Dispute Resolution for Land Use
Regarding the possession and use of real estate, the amendment proposes abolishing the use of arbitration to resolve disputes over compensation amounts when an agreement cannot be reached with a property owner. Instead, the law will define specific timelines for failing and deciding petitions to ensure the process remains consistent with other related modern laws.
- Updated Financial and Auditing Standards
The amendment seeks to overhaul the financial oversight of the MEA to match the current Ministry of Finance standards.
- Maintenance of Criminal Sanctions
The draft retains criminal penalties. Anyone who obstructs the MEA or its employees in the performance of their duties, specifically regarding the construction or maintenance of power distribution systems, remains liable for up to six months in prison, a fine of up to 10,000 THB or both. The legal justification for this is that such obstruction poses a serious threat to public order and the collective well-being of the population.
- Clarification of Jurisdiction
The amendment provides a clearer legal definition of the “service areas” and the location of the MEA headquarters, ensuring the law reflects current geographical and administrative realities rather than those in the current act. It also revises the specific types of actions that require prior Cabinet approval to increase operational flexibility.
the draft amendment to Metropolitan Electricity Authority (“MEA”) Act_Bangkok Global Law