According to the bank, this is its first guarantee on international credit, extended on the promising outlook for clean energy business in Japan. The 10 power projects have a combined capacity of 58 megawatts, to be sold to Japanese power companies under a 20-year power purchase contract.
Pipit Aneaknithi, executive vice president of KBank, said that Japan is now seeking to accelerate their renewable energy generation capability, targeting a 20 per cent renewable energy share of total power output by 2020. The share of solar, biomass and geothermal energy currently represent only 1 per cent of Japan’s total electric power generation.
He expected more requests for the bank's financial facilities, designed to support Thai companies' overseas investment.