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Ratchaburi Holding pursues Songkhla Biomass plant construction with commercial operation expected to start in 2014 as planned

Mr.Pongdith Potchana, RATCH’s Chief Executive Officer, said “The project was initiated in 2011 and it has been currently under construction. Engineering design, main power plant equipment procurement and construction of infrastructure and utilities are progressing as planned. The commissioning of the horizontal grinding machine will be undertaken in June 2014 and the plant is expected to start its    commercial operation to supply electricity to Provincial Electricity Authority (PEA) by October 2014.”

“We aim to booth our renewable energy capacity to 500 megawatts focusing on wind, solar and biomass.    We have been seeking for new biomass projects in Thailand especially in the southern region where there    are plenty of agricultural residues to supply this type of power plant. Feasibility studies for several      potential projects have been carried out", added Pongdith.

With the total value of about 800 million baht, the 9.9 megawatt Songkhla Biomass project is located in Chana District, Songkhla Province. The initiative was developed in accordance with the government’s    policy to reduce fossil fuel dependency in electricity generation. According to the renewable energy and alternative energy development plan, the government’s goal is to produce 3,630 megawatts of electricity   from biomass in 2021, up from the current electricity production of 1,790 megawatts. The project will   benefit its surrounding community in terms of local employment and sales of agricultural residues valuing approximately four billion baht. Moreover, it will help reduce the oil imports and CO2 emissions by 37,500 tons annually.

Operated by Songkhla Biomass Co., Ltd., the Songkhla Biomass project is a joint venture between      RATCH (40% equity stake), Precise Power Producers Company Limited (40% equity stake) and      Assiddeek Savings Co-operative Limited (20% equity stake).  The power plant uses rubber wood slabs and roots of 300-370 tons daily as its primary fuel.  The electricity generated will supply to PEA under the 25-year power purchase agreement for the purchase of power from a Very Small Power Producer (VSPP). Songkhla Biomass will receive the adder tariff of 1.30 baht per unit for 7 years from the Power Development Fund under the Office of the Energy Regulatory Commission (OERC).


For further information, please contact:

Public Relations Department
Wiwan Phayakvichien
Tel. 0 2794 9941
Email: wiwanp@ratch.co.th

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