Thailand’s largest private power producer, Ratchaburi Electricity Generating Holding Plc (RATCH) plans to expand its electricity capacity by about 25% to 5,648 megawatts over the next seven years from 4,502 MW.
President Noppol Milinthanggoon said most of the new capacity would be developed abroad due to the limited supply in the domestic market.
The company plans to invest 18 billion baht this year, mostly for power plants.
“Ratchaburi, like other major Thai utilities, is looking for growth opportunities abroad to boost capacity and expects to conclude an acquisition and merger of one to two independent power plants in the Asia-Pacific in the second half of this year,” said Mr Noppol.
New capacity in Laos includes the Nam Ngum 3 and Xe Pien Xe Nam Noy hydroelectric plants and Hongsa Lignite, to start operating between 2015 and 2017.
Domestically, Ratchaburi plans to build three small power producer (SPP) plants for which it has received licences from the Electricity Generating Authority of Thailand. The four SPP plants have a combined capacity of 200 MW and it is waiting for a fifth licence.
The company also plans to add renewable energy capacity with a 60-MW wind turbine and 34-MW solar power plant.
Ratchaburi has generating capacity of 4,300 MW, about 15% of Thailand’s total.
“The company has available cash on hand of more than 10 billion baht to serve new investments together with accumulated profit. About 7.5 billion worth of debentures have also already been approved by shareholders,” said Mr Noppol.
Ratchaburi reported that its sales last year rose by 17.5% to 44.24 billion baht from 37.65 billion a year ago due to continuous capacity expansion. However, net profit dropped 22.6% to 5.21 billion baht from 6.74 billion due to the end of tax exemptions from the Board of Investment.
RATCH shares closed yesterday on the Stock Exchange of Thailand at 39.50 baht, up 25 satang, in trade worth 37.7 million baht.
