The Asian Development Bank (ADB) has signed a loan equivalent of up to US$235 million (7.4 billion baht) for B.Grimm Power Plc, one of the largest power producers in Thailand, to develop and enhance renewable energy capacity in Asean member countries.
Michael Barrow, director-general of ADB's private sector operation department, said the development of renewable energy in Southeast Asia is critical to meet its energy needs and B.Grimm Power is at the forefront of the region's fast-growing alternative energy sector.
"ADB is once again partnered with B.Grimm Power as it continues its expansion strategy in Asean," he said.
ADB's financing will support B.Grimm Power's Asean Distributed Power Project, which aims to expand renewable and distributed power generation into new markets in Asean, including Cambodia, Indonesia, Laos, Myanmar, the Philippines and Vietnam.
The project will involve the execution and operation of distributed and utility-scale solar, wind, biomass, waste-to-energy and gas-fired power, as well as energy storage and associated infrastructure in Asean countries.
B.Grimm Power's total distributed power generation capacity is expected to increase by over 50% to 2,500 megawatts by 2022, while the renewable energy share in its portfolio will rise from 10% to 30%.
ADB took a 1.97-billion-baht equity stake in B.Grimm Power as part of the company's initial public offering in July 2017.
ADB also administers a $20-million loan provided by the Canadian Climate Fund for the Private Sector in Asia under the Clean Energy Financing Partnership Facility.
B.Grimm Power is a subsidiary of the 140-year-old conglomerate B.Grimm Group, operating in the energy industry since 1993 in Thailand.
The company has a total capacity of 1,779MW, operating 13 gas-fired plants, with four more under development or construction.
In recent years, B.Grimm has diversified into renewable energy and now operates 15 solar power plants and two hydropower plants.
