Electricity Generating Authority of Thailand (Egat) forms technology venture with Ratch Group and Electricity Generating Plc (Egco)
Egat plans to sign an engineering, procurement and construction contract on Jan 26 to develop a 45-megawatt floating solar farm on Sirindhorn dam in Ubon Ratchathani.
14 January 2020
The state-run Electricity Generating Authority of Thailand (Egat) is ready to expand its energy technology business by forming a joint venture with two subsidiaries: Ratch Group Plc and Electricity Generating Plc (Egco).
Egat governor Viboon Rerksirathai said the new firm has yet to be named, but Egat plans to own a 40% stake of 600 million baht in registered capital, while Ratch and Egco will hold a 30% stake each.
The new energy technology company will be interested in renewable resources, electric vehicles, energy storage, smart grids and efficient energy consumption.
The plan was approved by the three companies, he said.
“The new joint venture is expected to be approved by the cabinet in June,” said Mr Viboon.
He said the new firm will approach startups from InnoSpace (Thailand) Co, the government’s venture capital company, for partnerships with private companies.
Under the Egat Act of 1968, this state agency has limited authority to expand related businesses.
Each investment project must be approved by the cabinet, resulting in complex procedures to run new businesses.
A new joint venture is another option to proceed without legal obstacles.
Earlier, Egat spun off Egat International Co (EGATi) as a wholly owned subsidiary for power generation to expand its business presence overseas.
In related news, Egat plans to sign an engineering, procurement and construction contract on Jan 26 to develop a 45-megawatt floating solar farm on Sirindhorn dam in Ubon Ratchathani.
B.Grimm Power Plc, in partnership with China Energy Engineering Corporation, was selected as the winning bidder of this floating solar farm last November.
Thepparat Theppitak, deputy governor for power plant development and renewable energy, said after signing the contract Egat plans to begin operation within one year.
“Egat plans to test the floating solar system with its hydroelectric power plant at Sirindhorn dam in coming years as well as installation of energy storage system at this site,” he said.
Egat aims to develop the floating hydro-solar hybrid projects at nine dams by 2037.