Thailand’s leading manufacturer of leather-finished products Chai Wattana Tannery Group (CWT) set up two joint venture firms with Zero Waste Company and Lawi Engineering (Thailand) Company, in order to invest and run the first waste-to-energy plant in the north of Thailand.
One joint venture will run the waste management for local community, turning the waste into fuel for the power plant. The other will operate the 10-megawatt waste-to-energy power plant and sell the electricity to the Provincial Electricity Authority.
In each company, CWT will hold 65 per cent stake, while Zero Waste and Lawi Engineering equally hold 17.50 per cent.
CWT’s managing director Weerapon Chaiteerath said that the company is scheduled to sign the memorandum of understanding with the municipality for running the waste management in July. “Once we get the approval, we will immediately start the construction of the power plant, which requires total investment of around 1.468 billion baht and will take two years to complete,” he said.
Around 70 per cent of this funding will come from the borrowing from financial institutes and the rest 30 per cent from the equity, he disclosed
CWT will ask for the approval from its shareholders in the meeting on July 1, and plans to issue 100 million additional shares in order to invest in this project.