Author Topic: Nakhon Ratchasima First Solar Farm for Kasikornbank  (Read 1356 times)


  • Guest
Nakhon Ratchasima First Solar Farm for Kasikornbank
« on: January 11, 2010, 12:25:24 PM »
Kbank aims big in renewable energy lending

Kasikornbank has set aside Bt3 billion-Bt5 billion for lending to renewable energy projects this year, as many potential projects are emerging to cash in on the government's support of the sector.

Yesterday the bank extended a Bt1.1-billion loan to Solar Power, which says it is the largest producer of electricity from solar energy in Southeast Asia.

Solar Power plans to build 34 solar farm projects, producing more than 200 megawatts of electricity. It has finished building its first solar farm, in Nakhon Ratchasima, with a capacity of 5.88 megawatts. Kbank will be the biggest lender to the project, at 30 per cent of total funding.

Bank president Prasarn Trairatvorakul said that potential renewable energy projects included dams.

The bank is advising a commercial wind farm project in Phetchabun, with a capacity of 50-60MW, and with what claims to be the world's largest solar farm project in Lop Buri, with capacity of 70-80MW, a hydropower plant in Laos, and many more biomass electricity plants.

Prasarn said that although the return from lending to these projects would probably be in single digits, risks are low due to the government's support.

Nopadet Karnasuta, first vice president and head of the multi-corporate business department at Kasikornbank, said that the government has increased the budget for promoting renewable energy. It will buy electricity from these projects at special prices: solar energy at Bt8 baht per unit more than the normal price, wind energy at Bt4.5 per unit more, biomass at Bt0.5 per unit more and energy from farbge at Bt2.5 more per unit.

"Before the government subsidies, there were only 30 to 40 solar farm projects in the past four years. But after the government launched projects it would subsidise in 2006, the number of solar farms has increased to 530 projects so far," said Nopadet.

Projects that can produce more than 10 megawatts of electricity will sell it to the Electricity Generating Authority of Thailand (EGAT), while those producing less than 10 megawatts will sell it to the Provincial Electricity Authority.

The bank is an adviser to large solar-farm projects worth Bt9 billion in Lop Buri and wind farm projects worth Bt4 billion. It also expects to be a lead arranger on syndicated loans to these two projects.

The Nation