Logo of Phnom Penh Post newspaper Phnom Penh Post - Thai power firm confident of coping with drought

Thai power firm confident of coping with drought

Content image - Phnom Penh Post
More than 70 per cent of the company’s revenue come from power sales to government agencies, both in Thailand and overseas under 20-25 year contracts, says CEO Preeyanart Soontornwata. THE NATION

Thai power firm confident of coping with drought

B Grimm Power Plc (BGRIM), a leading private power producer in Thailand, is confident of coping with the problems of drought by embracing international standards for water supply management in its electricity production.

The company did not expect any impact from fluctuations of the global economy, given its world-class customer base and continuous growth in new clients.

BGRIM CEO Preeyanart Soontornwata said: “We have closely monitored the drought situation and planned our water management strategy in coordination with industrial estate operators.

“We are confident of continuing production of high-quality electricity and steam to meet strong demand from existing customers and new clients,” she said.

She noted that BGRIM’s cash flow remains stable for the long term as most of its revenue are derived from long-term power purchase agreements of up to 25 years with state utilities both at home and abroad.

Regarding the drought, she said the company had closely monitored the development and put in place guidelines and measures for water management to ensure ample supply to clients by means of consuming and preserving water resource in a sustainable way.

Most of the water used in the production of co-generation power plants come from recycle process or treated waste water from factories.

In addition, the company’s plan to manage electricity production efficiently also enables effective water management.

BGRIM has worked closely with industrial estate operators for managing water usage prudently.

It has been confirmed that water reserves in wells in industrial estates are sufficient for operation until the rainy season.

“Rest assured that BGRIM’s power plants will be able to serve and support the industrial sector continuously,” Preeyanart said.

In regard to the impact of the global economic uncertainties on BGRIM, she pointed out that more than 70 per cent of the company’s revenue come from power sales to government agencies, both in Thailand and overseas under 20-25 year contracts which are not subject to changes in economic conditions.

The rest of BGRIM’s earnings derive from industrial sectors in Thailand and Vietnam where strong power demand looks set to continue, mainly due to the presence of world-class manufacturers from Japan.

The company has continued to sign on new industrial clients in Thailand, adding a combined 25MW in demand last year.

Contracts for 15MW power sales have been concluded with a group of customers which are expected to come on line in the first half of this year.

Meanwhile, there are demands from the more than 1,000 potential clients in industrial estates which are already in operation or under development.

BGRIM’s combined installed capacity now stands at 3,424MW from a total of 57 projects, 2,896MW of which come from 46 projects already in service.

Construction of the 16MW wind farm in Thailand and the 39MW solar photovoltaic system in Cambodia is well underway for the start of commercial operation later this year.

The company has implemented an expansion plan for stable and sustainable growth towards securing not less than 5,000MW in aggregate power sale deals by 2022 through new project development as well as mergers and acquisitions (M&A) of projects both at home and abroad.

These M&A accords are expected to be gradually concluded in the first half of this year.

Several development projects overseas are undergoing feasibility studies, including new ventures in Cambodia, Vietnam, Malaysia, the Philippines and South Korea.



  • Wing Bank opens new branch in front of Orkide The Royal along Street 2004

    Wing Bank celebrates first anniversary as commercial bank with launch of brand-new branch. One year since officially launching with a commercial banking licence, Wing Bank on March 14 launched a new branch in front of Orkide The Royal along Street 2004. The launch was presided over by

  • Girl from Stung Meanchey dump now college grad living in Australia

    After finishing her foundational studies at Trinity College and earning a Bachelor’s degree from the University of Melbourne in 2022, Ron Sophy, a girl who once lived at the Stung Meanchey garbage dump and scavenged for things to sell, is now working at a private

  • Ministry orders all schools, public and private, to close for SEA Games

    From April 20 to May 18, all public and private educational institutions will be closed to maintain order and support Cambodia's hosting of the 32nd SEA Games and 12th ASEAN Para Games, said a directive from the Ministry of Education, Youth and Sport. Cambodia will host the

  • Wat Phnom hornbills attract tourists, locals

    Thanks to the arrival of a friendly flock of great hornbills, Hour Rithy, a former aviculturist – or raiser of birds – in Kratie province turned Phnom Penh tuk tuk driver, has seen a partial return to his former profession. He has become something of a guide

  • Almost 9K tourists see equinox sunrise at Angkor Wat

    Nearly 9,000 visitors – including 2,226 international tourists – gathered at Angkor Wat on March 21 to view the spring equinox sunrise, according to a senior official of the Siem Reap provinical tourism department. Ngov Seng Kak, director of the department, said a total of 8,726 people visited Angkor Wat to

  • Angkor Beer strengthens national pride with golden new look and fresher taste

    Angkor Beer – the "Gold of Angkor" – has a new look, one that is more stylish and carries a premium appeal, as well as a fresher taste and smoother flavour, making it the perfect choice for any gathering. Angkor Beer recently launched its new design, one