By THE NATION
The company expects the plant to strengthen its leading position in the Southeast Asian market.
The move also strengthens investors’ confidence in its initial public offering (IPO) tentatively scheduled for the third quarter of this year.
General Paibul Koomchaya, a member of the Privy Council, presided over the plant’s opening ceremony.
Preeyanart Soontornwata, president of B.Grimm Power Pcl, said BPWHA1 is a gas-fired co-generation power plant with 130.2MW power generation as installed capacity. The plant also has the capacity to produce 30 tonnes of steam per hour. It started commercial operations and has been realising income from power generation since November 1, 2016.
A joint venture between B.Grimm Power Pcl and WHA Energy Co Ltd, BPWHA1 serves more than 100 manufacturers in the steel, electronics, energy and auto parts sectors as well as many other companies that represent large multinational companies on the industrial estate.
The opening of BPWHA1 underlines B.Grimm Power’s positioning as the country’s largest small power producer with extensive investment in co-generation and alternative energy plants in Thailand and elsewhere in Southeast Asia.
“BPWHA1 is the 12th co-generation and the latest power plant under B.Grimm Power’s arm. The plant will produce and distribute 90MW to the Electricity Generating Authority of Thailand [Egat] under a 25-year power purchase agreement. The remaining electricity and steam will be sold to industrial plants located in Hemaraj Industrial Estate. WHA Energy has commissioned B.Grimm Power as the sole developer of the co-generation power plant in this industrial estate,” said Preeyanart.
“The Ministry of Industry has forecast that in 2017 Thailand’s industrial sector will expand 3-4 per cent over last year. This has given us greater confidence in the industry’s future. Considering our increasing power generation capacity, from both co-generation and alternative energy power plants, we are confident that we will be able to make a great contribution to support the industrial sector, which needs a stable power supply. This will enhance the country’s competitiveness and its position as the hub of Southeast Asia,” Preeyanart said.
The opening of BPWHA1 will enhance market confidence in B.Grimm Power’s production capacity and business potential. This will significantly support the company’s IPO plan, which is making good progress as scheduled. The company will offer 775,500,000 shares at Bt2 par value tentatively in the third quarter. Funds will be raised to support its future power plant development and construction in Thailand and other countries as well as to repay debts.
B.Grimm Power plans to continuously develop new co-generation and renewable power plants in Thailand and Southeast Asia. It has five projects under construction with a total investment value of Bt18.74 billion. Two new power plants are scheduled to start commercial operations this year — Xe Namnoy Hydroelectric Power Plant and Xe Katam Hydroelectric Power Plant in Laos. It also has 10 projects under development.
With these new projects and current ones combined, by the end of 2021 the company will have 43 power plant projects with total generation capacity of 2,357MW and 500 tonnes of steam per hour. This includes co-generation power plants with 2,111.1MW installed capacity, solar power plants with 114.2MW, hydroelectric power plants with 102.6MW, a wind power plant with 16MW and a diesel oil-fired co-generation power plant with 13MW.
“B.Grimm Power has a clear and stable growth direction. We have great expertise and experienced management and engineering teams, world-class advanced technology, strong business partnerships and signed power purchase agreements,” said Preeyanart.
“Considering these factors, we are confident that we will achieve satisfactory growth for the company, its investors and all stakeholders. At the same time, we are strongly committed to the environment, natural balance and the quality of life of the people in surrounding communities. We are moving forward to become the leader in empowering society in a sustainable manner. This is how we translate our vision of ‘Empowering the World Compassionately’ into real action,” she added.