SPCG allots B3bn for EEC solar plants

SPCG allots B3bn for EEC solar plants

SPCG's Solar Power Korat 1 plant in the northeastern province of Nakhon Ratchasima.
SPCG's Solar Power Korat 1 plant in the northeastern province of Nakhon Ratchasima.

SET-listed SPCG, a pioneer in solar farm development in Thailand, continues to expand its solar energy empire by acquiring land to build new renewable power facilities in the Eastern Economic Corridor (EEC).

Pipat Viriyatranon, SPCG's vice-president for financial affairs, said the land purchase covers 23 areas across the EEC zone.

The company allocated 3 billion baht for purchase and land preparation to build solar farms with an estimated electricity generation capacity of 316 megawatts as part of first-phase development.

SPCG will add nearly 200MW in the second phase, he said.

The company was awarded a solar farm development project worth 23 billion baht from the EEC Office in December 2020.

Under the company's original plan, the first-phase development was set to be completed this year, while new solar farms in the second phase were expected to start operation in 2026.

Mr Pipat said the project will be ready for commercial operation when the company's 36 solar farms in Thailand see their adder tariff expire.

The adder tariffs of nine solar farms are scheduled to expire between 2020 and 2022, while the expiry date for the remaining 27 solar farms is between 2023 and 2024.

Last year the company lost revenue from the adder tariff worth 238 million baht in total.

The eight-baht tariff, introduced by the government to encourage investors to build solar farms, is added to the electricity rate, allowing SPCG to sell electricity to the state grid at a higher price for 10 years after the operation dates.

SPCG will also continue its plan to allocate 2.58 billion baht in capital spending to develop the 52-billion-baht Ukujima mega solar project in Japan, he said.

The project is scheduled to start operation in July 2024. The pandemic caused a delay in its investment.

The 480MW Ukujima solar project is being developed under a joint venture between SPCG and eight local industrial conglomerates. SPCG has a 17.9% investment in the joint venture.

Do you like the content of this article?

How China protesters defy authorities

Opponents of China's anti-Covid measures are resorting to dating apps and social media platforms blocked on the mainland to evade censors, spread the word about their defiance and strategy, in a high-tech game of cat and mouse with police.


Economy may miss forecast next year as global growth slows: Arkhom

Thailand's economy may not reach a forecast growth of 3.8% next year due to a global economic slowdown, but this year's outlook should still be achieved, the finance minister said on Tuesday.


Anwar pleads for support from Malaysia's powerful civil service

Anwar Ibrahim implored Malaysia’s civil service to cooperate with him on Tuesday, as the reformist prime minister faces an uphill task to win over the traditionally pro-establishment workforce.