NAKHON NAYOK : Japan's Chubu Electric Power Co is set to expand its business across Southeast Asia by cooperating with SET-listed Gunkul Engineering Plc, partly to open six solar plants in Thailand.
Gunkul Chubu Powergen Co, an affiliate of Gunkul, has six contracts with a combined capacity of 30.9 megawatts to operate and supply electricity to the Provincial Electricity Authority.
Gunkul Engineering expects to generate annual revenue of 280 million baht from these projects, said managing director Somboon Aueatchasai.
Gunkul Chubu will operate the six solar plants.
Gunkul holds 51% of the joint venture, with the balance belonging to the Japanese partner.
Koso Ban, chief executive and general manager of Chubu, said the cooperation is the first step for Chubu to expand its business into Southeast Asia.
He said Chubu, which is the third-largest electric utilities provider in Japan, also plans to invest more in renewable energy and solar plants.
The six solar plants include two in Chon Daen district in Phetchabun that will be able to generate 4.4 MW and 3 MW of electricity respectively.
Two plants in Phetchabun's Wichian Buri and Bung Sam Phan districts will generate 8 MW and 3 MW respectively.
A plant in Phichit will generate 4.5 MW, while one in Nakhon Nayok with a capacity of 8 MW started operating last weekend.
Mr Somboon said Gunkul plans to invest more in renewable energy both in Thailand and abroad to drive the firm's growth.
Gunkul is prepared to invest in infrastructure in Myanmar but the project is undergoing a feasibility study, he said.
It also plans to bid to set up more solar plants as well as beefing up investment in wind turbines.
It plans to generate about 60 MW of electricity from wind turbines within this year.
Wind power projects in Thailand are estimated to be worth 4.5 billion baht, Mr Somboon said.
Gunkul also starts to consider establishing a mini-hydrogen power plant in Laos, he said.
Shares of GUNKUL closed yesterday on the Stock Exchange of Thailand at 19 baht, down 40 satang, in trade worth 38.35 million baht.
