SET-listed TPC Power Holding (TPCH), the renewable power generation arm of the construction firm Thai Polycons Plc, expects revenue to grow by 30-40% in 2023, from 2.7 billion baht last year, thanks to increased management of power plants.
Net profit should exceed the record high of 359 million baht in 2019, said president Cherdsak Wattanavijitkul.
In 2022, net profit was 173 million baht.
The main source of earnings is from the Pracharat Biomass Mae Lan power plant, which started commercial operations on June 1, Mr Cherdsak said.
The facility, located in Mae Lan district in the southern province of Pattani, supplies 2.85 megawatts of electricity to the state grid under contracts with the Provincial Electricity Authority.
The company is paid 3.88 baht per kilowatt-hour (unit) for a feed-in tariff if power usage is less than 80%. More power consumption will cause the rate to rise to 5.25 baht per unit.
TPCH’s three biomass-fired power plants in the southern provinces should also resume normal operations after a suspension last year because of technical problems, said Mr Cherdsak.
The company operates a total of 11 biomass and waste-to-energy power plants, with combined electricity generation capacity of 106MW, based on contracts with the state grid.
Two new biomass power plants are under construction. The company is also preparing to develop six waste-to-energy projects.
Once the eight new projects start operating, TPCH’s total contracts-based capacity will increase to 163MW.
The company is also growing its business in neighbouring countries.
Mr Cherdsak said TPCH is preparing to operate a solar farm, with capacity of 100MW, in Laos through its subsidiary Maekong Power Co under a power purchase agreement made with the state-run Electricite du Laos. TPCH made a 40% investment in the project.
The company also sees a renewable business opportunity in Cambodia. It plans to develop a solar farm, with capacity of 180MW in this country.
TPCH aims to increase its total power generation capacity from 163MW to 500MW by 2025.
