Gulf Energy Development Public Company Limited (SET: GULF) has announced the Power Purchase Agreements with the Electricity Generating Authority of Thailand for the development of solar farms with battery energy storage systems (BESS) projects. The total contracted capacity of the Projects is 59 megawatts with a scheduled commercial operation date (SCOD) in 2026.
Reference is made to the Stock Exchange of Thailand on October 18, 2023, and December 21, 2023, regarding the execution of the Power Purchase Agreements with the Electricity Generating Authority of Thailand (EGAT) for the development of a total of 24 solar farms and the solar farms with battery energy storage systems projects. The total contracted capacity of the projects is 1,294.1 megawatts, with a scheduled commercial operation date (SCOD) between 2024 and 2029.
The Company would like to provide notification to the Stock Exchange of Thailand that Saengdee Clean Energy Co., Ltd., a subsidiary in which the Company indirect holds 100% equity stake through Gulf Renewable Energy Company Limited, has entered into 25-year Power Purchase Agreements with the Electricity Generating Authority of Thailand (EGAT) for the development of a solar farms with battery energy storage systems (BESS) projects. The total contracted capacity of the Projects is 59 megawatts, with a scheduled commercial operation date (SCOD) in 2026.
Currently, the Company has already signed the Power Purchase Agreements with EGAT to develop 25 solar power projects in Thailand, with a total contracted capacity of 1,353.1 megawatts, comprising of 13 solar farms projects with a total contracted capacity of 652.9 megawatts and 12 solar farms with battery energy storage systems (BESS) projects with a total contracted capacity of 700.2 megawatts and a scheduled commercial operation date (SCOD) between 2024 and 2029. The solar farms and the solar farms with battery energy storage systems will receive a Feed-in Tariff (FiT) rate of 2.1679 Thai Baht per kilowatt-hour and 2.8331 Thai Baht per kilowatt-hour, respectively, throughout the contract term. The purchase of electricity from the Projects will help reduce fuel price volatility and alleviate both household and industrial sectors’ electricity cost burden by providing access to electricity at a low price throughout the contract period, as the Projects have lower electricity production costs in comparison to the current average electricity price.
The development of the aforementioned projects aligns with the Company’s target to increase the renewable energy proportion to no less than 40% by 2035, which is in line with Thailand’s policy to promote the use of clean energy to support sustainable environmental practices and attract foreign investments. The Company intends to achieve this target through additional investments in renewable energy including solar power, wind power, hydroelectric power and waste-to-energy power both domestically and overseas. The Company will provide further updates should there be any progress on the matter.
