Loxley Plc, one of the country's leading trading companies, has set aside 900 million baht to invest in four solar power plants starting this year.
The company is expecting strong growth in the renewable energy sector as the government pledges full support for private companies building more green power plants, president Thongchai Lamsam said yesterday.
The four solar farms will have a total capacity of 60 megawatts.
"Investment capital for the first phase alone is 900 million baht, and we are working on the details of the second phase," Mr Thongchai said.
The four solar farms are classified as very small power producer (VSPP) projects, and they are located in the Northeast of the country.
Loxley aims for construction of the farms to be ready in 2015, with proceeds from solar power generated from the plants set to materialise by year-end.
The company expects to be paid a feedin tariff (FiT) of 5.66 baht per kilowatt-hour from the Provincial Electricity Authority (PEA).
Moreover, the Energy Regulatory Commission (ERC) recently announced a new FiT for electricity generated from other renewable sources of power.
Loxley's move is illustrative of Thai firms' switch in focus to renewable energy, especially power generated from waste and fastgrowing plants.
Thailand has emerged as the solar power leader of Southeast Asia.
At the end of 2013 it had an installed capacity of 823.5 MW.
Under the 10-year Alternative Energy Development Plan, the goal is to increase capacity by more than 260% to reach 3,000 MW by 2022.
Loxley is working with Electricity Generating Plc, Thailand's second-largest private power producer, to develop more solar farms to serve the country's remote areas.
BANGKOK POST Issued date 5 February 2015