Electricity Generating Plc (Egco), a subsidiary of state-run Electricity Generating Authority of Thailand, plans to diversify into a new industrial estate business in Rayong to fuel its growth in advanced energy businesses.
The company yesterday signed a joint project development agreement with state-run Industrial Estate Authority of Thailand (IEAT) to set up Egco Rayong Industrial Estate Co to operate 621 rai of industrial area in Map Ta Phut.
The investment is valued at 1.9 billion baht, according to IEAT.
Part of the site was Egco's retired gas-fired power plant, run by its wholly-owned Rayong Electricity Generating Co, which saw its power generation concession end and terminated its operation in December 2014.
Egco Group president Thepparat Theppitak said the new industrial estate will be designed to be a smart and green industrial area to support targeted S-curve industries with promising growth in the Eastern Economic Corridor (EEC).
He said the new industrial estate development will benefit from infrastructure that is already in place, including natural gas transmission pipelines, water pipelines and a high-voltage distribution system.
The industrial estate should give Egco an opportunity to grow energy businesses such as smart grids and rooftop and floating solar panels, said Mr Thepparat.
The company hopes to lure smart energy businesses to the industrial estate, including energy storage system manufacturers, he said.
"Egco is expanding its core business to cover energy service businesses," said Mr Thepparat.
Egco expects it will take two years to fully develop all infrastructure.
The project is scheduled to open in 2022.
The EEC, which covers Rayong, Chon Buri and Chachoengsao, is projected to be Thailand's high-tech industry hub, including digital technology, smart electronics and next-generation cars.