EA allots B10bn to boost EVs, capacity

SET-listed Energy Absolute (EA), a renewable energy and electric vehicle (EV) developer and operator, plans to allocate 10 billion baht this year to build more EVs and batteries, increase solar power capacity and produce more biofuel for aircraft.

The investment plan was unveiled yesterday as it opened "EV Smart Building" with 578 EV charging outlets installed by EA at Ramathibodi Hospital's carpark, alleged to be the most charging outlets in a building in Asean.

Most of the budget, some 6 billion baht, will go to EV business development, said Amorn Sapthaweekul, deputy chief executive of EA.

Its EV battery factory, operated by subsidiary Amita Technology (Thailand), plans to increase capacity to 4 gigawatt-hours a year, up from 1GWh annually, he said. The facility, located in Chachoengsao, commenced operation in 2021.

EA aims to increase the capacity to 50GWh a year as the government attempts to make Thailand a regional EV hub.

In 2023, EA is scheduled to deliver 4,000 electric buses, trucks and mini-trucks to its customers. Its EV factory, also located in Chachoengsao, is run by EA's wholly-owned EA Mobility Holding.

Another portion of the investment budget worth 2 billion baht will be spent on the installation of new solar modules at two solar farms in Lampang and Nakhon Sawan, said Mr Amorn.

Old solar modules need replacing to increase electricity generation capacity by 10-12%, which will result in an internal rate of return of more than 10%, he said.

EA operates six power generation facilities: four solar farms with combined capacity of 278 megawatts and two wind farms with total capacity of 386MW.

The last portion of the budget worth 2 billion baht is to support higher production of sustainable aviation fuel. Also known as SAF, this biofuel for aircraft is produced from substances with chemical properties similar to jet fuel, but they emit less carbon dioxide.

EA uses biodiesel, a mix of diesel and palm oil-derived methyl ester, to make SAF. The company plans to double SAF production to 130 tonnes a day, up from 65 tonnes a day.

This year EA expects its revenue to grow by 45% to 40 billion baht, up from 27.5 billion last year, mainly attributed to the delivery of more commercial EVs.