Innopower Co, an energy solution provider, has decided to scale up its business to serve small entrepreneurs after scrapping a plan to build an electric vehicle (EV) factory.
The company, jointly owned by the Electricity Generating Authority of Thailand and its power generation arms Ratch Group and Electricity Generating Plc, will focus on providing energy solutions to companies eager to cut carbon emissions rather than push ahead with the EV project, as that sector is uncertain given the US-China trade war.
Energy solutions are becoming more important because banks are offering green loans to companies that need better energy consumption and plan to reduce carbon dioxide emissions, said Athip Tantivorawong, chief executive of Innopower.
Green loans usually have attractive interest rates, lower than those of general loans.
Small and medium-sized enterprises (SMEs) are target customers of Innopower as they are crucial for many industries, he said.
Many SMEs supply items, mostly components of products, to large companies which want to make sure production processes along supply chains have a lower carbon footprint in order to avoid non-tariff barriers when they export finished products.
Innopower not only provides services for factories or office buildings that need technologies to help them save energy, but also technical solutions for transport operators which want to shift from oil-fuelled vehicles to battery-powered cars, said Mr Athip.
This year, the company will introduce a new service to its clients using rooftop solar panels.
It will help them turn the excess supply of solar power into renewable energy certificates (RECs), he said.
Each REC, which certifies that the bearer generates one megawatt-hour from renewable energy resources, can be traded as an energy commodity.
Some 115 firms use Innopower's energy solution services.
The company aims to increase the number to 150 companies this year.
Innopower estimates its revenue will grow by 38% this year to 400 million baht, up from 290 million baht in 2024, thanks to businesses using more renewable energy.
In 2025, the company is allocating 700 million baht to support its energy solution business and energy innovation startups, said Mr Athip.
