Egco aims to increase capacity by 1GW
text size

Egco aims to increase capacity by 1GW

B30bn set aside for capital spending

SET-listed Electricity Generating Plc (Egco), a subsidiary of state-run Electricity Generating Authority of Thailand, plans to increase its power generation capacity by around 1 gigawatt and will continue to acquire more assets to grow its energy portfolio.

The company allocated capital spending of 30 billion baht for 2022, with 24 billion baht to support the capacity expansion and the remaining 6 billion baht to go to new energy-related businesses.

Egco expects its capacity to increase to nearly 7GW, up from 5.9GW at present, generated by 30 power plants, both in operation and under construction.

Thepparat Theppitak, president of Egco, said the company is also working on several asset acquisition deals but declined to elaborate.

He said only that some deals are expected to be completed in the second half of this year.

"If the value of some deals is greater than our budget, we will consider increasing the budget," said Mr Thepparat.

Egco's latest asset purchase was made in October last year when it acquired a 17.4% share of the US-based Apex Clean Energy Holdings LLC, a leader in clean energy project development, sales and operations.

Egco marked the acquisition, which was made through its wholly-owned Egco Plus Co, as a significant renewable investment in the US, but the company declined to disclose the investment value on the basis of confidentiality.

Mr Thepparat said Egco will this year operate two new clean power plants and an oil pipeline business.

The two facilities are the 640-MW Yunlin offshore wind farm in Taiwan and the 650-MW Nam Theun 1 hydroelectric power plant in Laos.

In the oil transportation segment, Egco will transport oil from Saraburi to Khon Kaen through its partially owned Thai Pipeline Network Co, a provider of oil pipeline transport services to northeastern Thailand and oil depot services.

In terms of its coal business, Egco still plans to sell its coal mine in South Sumatra, operated by PT Manambang Muara Enim (MME). Egco owns a 40% stake in MME.

Do you like the content of this article?
COMMENT