Mr. Aung Thiha, CEO of GEP, indicated that GEP plans on being a leader in clean and renewable energy, generating power commercially from a variety of clean sources including solar and wind to both the public and private sectors, and domestically and internationally. The company’s investors are Scan Inter Plc. (SCN), ECF Power Co. Ltd. as a subsidiary of East Coast Furnitech Plc. (ECF), META Corporation Plc. (META) and Noble Planet Pte. Ltd. (NP). Initiating energy project development business in 2011, GEP now has registered and paid-up capital of 215,755,800.00 Baht divided into 2,157,558.00 common shares with par value of 100 Baht per share.
Current project under the Company’s management is Minbu Solar Power Plant, a 220 MW installed capacity power plant in Minbu, Magway, the Republic of the Union of Myanmar, established under a 30-year concession from the Myanmar government with the scheme Built-Operate-Transfer (BOT) agreement having a tariff rate at 0.1275 USD / KWh. The project was divided into four construction phases with the first three for having an installed capacity of 50 MW and the final Phase for 70 MW. The project occupies an 836 acre or 2,115 rai land leased from the government and a private firm in Myanmar. Electricity generated at the facility is sold to Electric Power Generation Enterprise (EPGE) of the Ministry of Electricity and Energy of the government of the Republic of the Union of Myanmar.
“The global energy supply industry has seen a growth in demand for renewable energy, including that from the Republic of the Union of Myanmar. The Minbu Solar Power Plant project is a large scale project able to provide up to 350,000,000 kWh/year or for up to 200,000 households, meeting the increasing demand in the country where only 50 percent of the population had access to electricity in 2019. Myanmar aims to have 100 percent electricity accessibility by 2030. At present, Myanmar power plants generate 5,642 MW for commercial purposes with another 4,940 MW in development. The government also has plans to expand its transmission line network by over 5,302 miles across the nation.
GEP plans to complete all four phases of the Minbu Solar Power Plant, and at the same time, develop other renewable projects, targeted mostly in Myanmar but is also looking to initiate further renewable energy projects throughout the region.
The company’s recent operational returns in Quarter 1 of 2020 was 88.58 million Baht. Revenue generation started since its first COD in September 2019 from the first phase of 50 MW installed capacity.
Due to the development of Minbu Solar Power Plant, the company has prepared to list on the Stock Exchange of Thailand, to raise capital for business expansion and improve on its operational processes towards greater efficiency. GEP has the mission to become a thought leader in driving the world towards carbon neutral state, lowing pollution, and creating sustainability in energy supply. Country Group Advisory Co. Ltd. has been appointed as GEP’s Financial Advisor for these purposes,” Mr. Aung Thiha explained.
Dr. Littee Kitpipit, CEO of Scan Inter Plc. or SCN, pointed out SCN joined GEP with a 40 percent investment stake to pioneer renewable energy development in Myanmar which this shall create rapid growth in the future due to subsequent opportunities to come. Not only that Minbu project is the first solar power plant in Myanmar, but also it opens doors for new opportunities for all energy businesses in the country. He affirmed the project is highly stable and valuable due to it being founded on the real energy demand of the nation rather than a mean to create an image of clean and renewable energy. Such sustainable power needs will serve as a key factor in creating other business opportunities and supports power supply security crucial to Myanmar’s economics development.
He voiced confidence that Minbu Solar Power Plant will provide a strong return on investment for Scan Inter and its shareholders as well as incoming investors.
Mr. Arak Suksawad, CEO of East Coast Furnitech Plc. or ECF, detailed that ECF joined the 220 MW Minbu Solar Power Plant with a 20 percent investment stake through its subsidiary ECF Power Co. Ltd. The project is currently under the management of GEP.
ECF’s profit sharing from renewable energy business has come into sharper focus this year after it saw revenue from its 7.5 MW Southern Biomass Power Plant and after the first phase of the 50MW Minbu Solar Power Plant reached its commercial operation date in Quarter 4 of 2019. For Phases 2, 3 and 4 of the Minbu Solar Power Plant project will go under its construction phase as soon as possible. The company is also engaging in the feasibility study of more energy projects both domestic and international.
Mr. Supasit Pokinjaruras, CEO of META Corporation PLC. or META, highlighted that META pioneered investing in GEP so that it could develop the Minbu Solar Power Plant project in Myanmar. Apart from its business aims, META is also seeking to provide power to the people of Myanmar for their daily life and economic expansion. The Minbu Solar Power Plant project has significant potential as Myanmar’s first and one of the largest solar power plants in the region and META serves as its main construction contractor. The company is currently working on Phases 2, 3 and 4 of the facility respectively after its success in the construction of the first phase underlining its ability to handle large scale projects. META is confident that it can play a key role in developing renewable energy in the region.
Dr. Veeraphat Phetcharakupt, Director of Country Group Advisory Co. Ltd., explained that his firm will be acting as the financial advisor to GEP assisting GEP’s plan to list on the Stock Exchange of Thailand. GEP is currently undergoing a financial and operational restructuring to meet required regulations and is in the process of preparing its filing with the Securities and Exchange Commission. GEP expects to submit filing and begin its roadshow to capitalize funding soon.
“GEP has strong fundamentals and growth potential due to its knowledge, insights and capability of its management and previous experience in the energy sector. The business has seen consistent growth and raising fund through the stock exchange will propel its capability and opportunities, enabling it to compete and respond to the rapidly growing demands of the renewable energy business” Dr. Veeraphat said.