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12 August, 2005ICEM News release No. 20/2003
A s Thailand's labour unions gear up to protest the privatisation deadline of the Electricity Generating Authority of Thailand (EGAT), the 20-million-member ICEM has weighed in against the restructuring plan by lodging a formal letter of complaint to the Thai government.
ICEM General Secretary Fred Higgs, writing to Prime Minister Dr. Thaskin Sinawatra on 11 August, stated: "We write to you on behalf of our Thai affiliate, EGAT-LU, in order to express both our concern and our opposition to any further unilateral restructuring and privatisation of the Electricity Generating Authority of Thailand."
The government of Thailand has ignored numerous requests by EGAT-LU to meet over the matter. Higgs indicated in the letter that the Thai government is in violation of ILO Convention 98, or the right to collective bargaining since EGAT-LU legitimately represents the interests of workers employed by the utility. The government has also violated Convention 87 by using "heavy-handed action" by security forces to break up peaceful demonstrations by EGAT-LU and supporters opposing privatisation.
"Your government, by virtue of your membership of the ILO has an obligation to observe these conventions," Higgs wrote.
He added, "The public mandate of the EGAT is to provide safe, affordable and accessible energy to meet the needs of citizens and society as a whole. The ICEM strongly believes that access to energy services is a fundamental human right, provision of which fulfils basic social needs. There is ample evidence the world over, that privatisation of essential services inevitably leads to price hikes as electricity becomes a commodity that is traded for maximum profit."
EGAT-LU, along with management of the utility, has conducted three large rallies in Bangkok protesting the government's plan. The latest on 29 July drew 30,000 demonstrators. A meeting with other Thai unions to discuss further mobilization against the plan is scheduled for 15 August, and another rally is tentatively set for 25 August.
The Thai government has set 1 October as the date when EGAT will be transferred as a holding company, with the privatised firm to be listed on the Thailand stock exchange in February 2004. The government is acting under the 1999-enacted Corporatisation Act, one of several pieces of Thai legislation to satisfy the US$17.2 billion economic reform programme crafted in the mid-1990s by the International Monetary Fund.
ICEM General Secretary Fred Higgs, writing to Prime Minister Dr. Thaskin Sinawatra on 11 August, stated: "We write to you on behalf of our Thai affiliate, EGAT-LU, in order to express both our concern and our opposition to any further unilateral restructuring and privatisation of the Electricity Generating Authority of Thailand."
The government of Thailand has ignored numerous requests by EGAT-LU to meet over the matter. Higgs indicated in the letter that the Thai government is in violation of ILO Convention 98, or the right to collective bargaining since EGAT-LU legitimately represents the interests of workers employed by the utility. The government has also violated Convention 87 by using "heavy-handed action" by security forces to break up peaceful demonstrations by EGAT-LU and supporters opposing privatisation.
"Your government, by virtue of your membership of the ILO has an obligation to observe these conventions," Higgs wrote.
He added, "The public mandate of the EGAT is to provide safe, affordable and accessible energy to meet the needs of citizens and society as a whole. The ICEM strongly believes that access to energy services is a fundamental human right, provision of which fulfils basic social needs. There is ample evidence the world over, that privatisation of essential services inevitably leads to price hikes as electricity becomes a commodity that is traded for maximum profit."
EGAT-LU, along with management of the utility, has conducted three large rallies in Bangkok protesting the government's plan. The latest on 29 July drew 30,000 demonstrators. A meeting with other Thai unions to discuss further mobilization against the plan is scheduled for 15 August, and another rally is tentatively set for 25 August.
The Thai government has set 1 October as the date when EGAT will be transferred as a holding company, with the privatised firm to be listed on the Thailand stock exchange in February 2004. The government is acting under the 1999-enacted Corporatisation Act, one of several pieces of Thai legislation to satisfy the US$17.2 billion economic reform programme crafted in the mid-1990s by the International Monetary Fund.