SET-listed Energy Absolute Plc (EA) will join its Taiwan-based subsidiary, Amita Technologies Inc, to develop a second plant for power storage products.
Chatrapon Sripratum, EA's manager of strategy development and investment planning, said 3 billion baht will be invested in the project.
Amita makes batteries in Taiwan with an annual power storage capacity of 230 megawatt-hours, and the plant's capacity utilisation is near full.
"Investment demand and the business model are expected to be finalised and revealed by mid-year," Mr Chatrapon said.
He said the company is mulling the location of the second plant, since it is considering differing investment privileges throughout Asean.
EA acquired 35.2% shares in Amita last November, worth 690 million baht.
Other shareholders include Delta Electronics, the group whose founder is Jim Cherng, and free-floating shareholders in Taiwan.
Mr Chatrapon said the power storage segment is expected to help generate around 30% of EA's total revenue within 2021.
"The power storage business has a lot of potential to grow further and demand in the segment is rising substantially," he said.
Amita produces several types of power storage, ranging from mobile phone batteries to electronic vehicle batteries.
Omsin Siri, vice-president for EA's corporate communications, said the company's wind farm project in Chaiyaphum province, which has been suspended by a court order citing misuse of land, is expected to be resolved within April.
The 20-billion-baht wind farm development named Hanuman, with a planned capacity of 260 megawatts, has not yet received loans or proceeded with capital expenditures.
Mrs Omsin said if the land dispute is resolved the launch of commercial operations will proceed as scheduled between April to June 2018.
She said EA set a target for committed renewable power capacity at 664MW in 2018, up from 278MW at the end of last year.
The additional capacity is scheduled to come from the Had Kanghan wind farms in Nakorn Si Thammarat and Songkhla, which are due to start commercial operations by this year.
Early this month, the Supreme Administrative Court ruled that it is inappropriate to rent out the Sor Por Kor land in Chaiyaphum to build wind farms and ordered the revocation of a licence to develop the wind farm.
The land had been designated for farming purposes.
Since its first 8MW solar farm project began operations in Lop Buri in 2012, EA's business has been growing rapidly, with total capacity rising to 278MW in 2016.
EA shares closed yesterday on the Stock Exchange of Thailand at 24.40 baht, down 10 satang, in trade worth 38 million baht.