RATCH gears up for Bt10 bn push
- May 23, 2019 7:06 pm GMT
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"Our target is that by 2023, our power generation capacity will reach 10,000 MW," chief executive Kijja Sripatthangkura said at a press conference yesterday. To do so, Kijja said, Ratch Group aims to increase its capacity by 700 megawatts a year in the next five years, each year investing between Bt10 billion and Bt20 billion in new projects.
Ratch Group expects two investments in Thailand, in a large plant and a smaller one.!-- yenko in read content -- !-- end yenko in read content -- Six overseas deals are under negotiation for projects in Australia, Laos, Vietnam and Indonesia.
"In addition to our two domestic deals, this year, we expect to secure at least two more international deals with the aim of finalising five to six overseas deals," Kijja said. Currently, Ratch Group's power plants have a power generation capacity of 6,860.34 MW.
In 2019, the company will open an additional three power plants for commercial operation among them, the Collinsville Solar Farm in Australia opened on March 26. The Berkprai Cogeneration Power Plant in Thailand will be opened on June 1 and the Xe-Pian Xe-Namnoy Hydroelectric Power Plant in Laos will follow towards the end of this year. The three power plants have a combined capacity of 179.73 MW.
Meanwhile, four projects under construction will add a combined power generation capacity of 486.79 MW. With all these plants combined, Ratch Group will have total power generation capacity of 7,526.86 MW, leaving the company 2,473.14 MW short of its 2023 target.
The company also announced its plans to diversify its business by investing more in infrastructure projects, aiming to direct 20 per cent of its total investment to infrastructure by 2023. "Particularly, we are currently looking to invest in the mass transit system's Orange Line, which is extensive in length and has a |high potential for ridership. Furthermore, we are also looking to invest in the Bang Pa-In to Nakhon Ratchasima Intercity Motorway (M6)," said Kijja, declining to reveal the likely scale of these potential investments.
In the first quarter of this year, the company made a net profit of Bt1.74 billion with total revenue of Bt11.26 billion, it reported to the Stock Exchange of Thailand. While no specific revenue targets are set for the next five years, the company expects total revenue to continue to increase at a consistent pace, given its investment and power generation capacity expansion plans.