SET-listed WHA Utilities and Power (WHAUP), an arm of Thailand's biggest industrial land developer and operator WHA Corp, expects revenue to grow by double digits this year, up from 2.8 billion baht in 2023, thanks to greater demand for water and electricity from factories.
WHAUP provides water and electricity for WHA Corp's industrial estates, which is the main source of its revenue.
In the first quarter, total revenue, including earnings from the company's businesses and dividends from its joint ventures, rose by 29% to 1.04 billion baht, with net profit surging by 62% to 372 million baht, said Somkiat Masunthasuwun, chief executive of WHAUP.
Water sales in domestic and overseas markets this year are expected to grow by 15% to 178 million cubic metres, up from 155 million cu m last year.
From January to March, sales of all types of water stood at 40 million cu m. They include crude water, recycled water, and treated waste water.
Mr Somkiat expects electricity sales to grow by 10% to 1,000 megawatts in 2024, up from 858MW last year. The higher sales are attributed to 15 private power purchase agreements and the rooftop solar panel business.
WHAUP is interested in joining a new auction for power plant projects under the Energy Regulatory Commission's 3.6-gigawatt renewables scheme. Authorities are expected to call for bids for the projects this year.
The company is focusing on producing electricity from renewable sources, part of efforts to help Thailand cut its carbon dioxide emissions.
According to WHAUP, 1MW of rooftop solar panels can reduce carbon dioxide by 700 tonnes a year, while 300MW of rooftop solar panels can cut up to 210,000 tonnes of carbon dioxide annually.
In 2021 Thailand announced at the 26th UN Climate Change Conference that it would be more aggressive in addressing climate change, striving to reach carbon neutrality, a balance between carbon dioxide emissions and absorption, by 2050. Under the new version of the country's power development plan, the proportion of renewable energy is set to increase to 51%, up from 20% last year.
Mr Somkiat said WHAUP will allocate 21.2 billion baht to support its business expansion between 2024 and 2028.