National Power Supply, the flagship energy business of the Double A Power group, says it is confident of growth over the next couple of years after two new biomass power plants start to operate around the end of this year.
NPS senior executive vice president Apichai Sorpitiporn said its Power Plant 5A, with a production capacity of 98 megawatts, was expected to begin commercial operations in the fourth quarter, while the 125MW Power Plant 9 project would start selling electricity in the first quarter of 2015. Once the construction of the projects is completed, NPS will have an aggregate production capacity of more than 700MW next year. This should translate as sustainable revenue growth over the long term.
The company reported net profit of Bt1.5 billion last year, up 17 per cent from Bt1.2 billion in 2012. It also reported that its turnover increased by 8 per cent to Bt12.9 billion from Bt12 billion a year earlier.
Currently, NPS has eight power plants in operation with a production capacity of 493MW. Key clients include the Electricity Generating Authority of Thailand, under a 25-year contract, 304 Industrial Park in Prachin Buri province, 304 Industrial Park 2 in Chachoengsao province, and Double A (1991).
Apichai said NPS was an integrated energy company comprising power plants, an ethanol plant that could expand to produce biogas, and a rice-bran-oil plant, which also could be expanded to produce biofuel.
NPS earns additional income by supplying steam to Double A’s and other power plants in the group. NPS subsidiaries operate marine and air transport of raw materials and fuel to manage costs efficiently.