Firm pushes new model for alternative energy
Power Solution Technologies Plc, a power-supply solution and renewable-energy company, has introduced a comprehensive upstream-to-downstream business model for the alternative power-plant business.
The government is pressing the private sector to invest in alternative energy and ground-level solar panel power plants for state agencies and agricultural cooperatives to fill the remaining 1.01 gigawatt and 800 megawatt of capacity by the middle of next year.
PSTC is pursuing the power-plant construction business and is setting up two joint ventures to provide financing to those interested in investing in power plants and offer maintenance services and the distribution and leasing of machinery and equipment related to solar-driven power generation.
PSTC is also investing in other renewable power plants to push growth this year to over 100 per cent, Pranai Kungwalrat, chief executive officer, said yesterday.
PSTC’s subsidiary PST Engineering Co and TSF Energy Co, a subsidiary of Three Sixty Five Plc, are establishing Solar Leasing Co with registered capital of Bt20 million. Each partner holds 40 per cent and JP International (Thailand) Co holds 20 per cent.
The JV will lend to operators with power-purchase agreements to sell solar energy-generated electricity to the state.
The company will invest in the construction of solar farms. The customers can then pay loan instalments over a 10-year period at an interest rate below what banks charge.
Solar Leasing yesterday signed an agreement with a major corporation in China to secure a long-term trade credit line.
This business model allows PSTC to become a leader in the field of fully integrated alternative energy power generation, covering power-plant construction, equipment and machinery imports and construction financing.
The joint investments would generate revenue from power plant construction service fees, maintenance service fees and dividends from business partners.
It will also receive revenue from the alternative energy power-plant projects that it has invested in or operates, which should begin supplying electricity commercially, such as the 1MW solar power plant this year, the 2MW biomass power plant next year and full-year revenue recognition from the existing 5MW power plant that has commenced commercial operation.
