BCPG Forges Ahead in Renewable Energy in Asia Pacific, Forecasting 20% Increase in EBITDA, Employing Innovation for Differentiation to Create Sustainable Business
Mr. Bundit Sapianchai, BCPG President, said that - in 2017 - 4 main business focuses have been identified, starting with becoming a cost leader by reducing construction time, project costs, focusing on the utilization of breakthrough or advanced technology – especially in construction projects in Japan.
The 2nd business focus is supporting the government’s policies and initiatives in renewable energy. Aside from the Solar Cooperatives Project already in commercial production, BCPG is ready to take part in and support other government initiatives in the near future such as the Solar Cooperatives Project Phase 2 and the 568 MW Hybrid Power Plants Initiative.
The 3rd focus is overseas expansion. In Japan, Nagi Power plant in Okayama Prefecture was able to start supplying the power into the Grid on January 20, 2017, and will begin commercial operations (COD) on March 2, which is nearly one month ahead of schedule. Other projects in Japan are progressing as planned. Aside from the Solar Farm business, there are also plans in place to expand businesses to other types of renewable energy which are being studied at the moment, such as geothermal, biopower, etc. in Japan and other countries, with focus on Asia Pacific region. Currently the company is in final negotiations and plans to sign an investment contract for a Wind Energy Project in the Philippines soon.
In 2017, the company estimates at least 20% increase in EBITDA from 2016. In Japan, BCPG will start to earn revenue from Nagi Project (14.38 MW installed capacity) and will, for the first year, register full year income from Nikaho Project in Akita prefecture (13.16 MW) while in Thailand, there will be more revenue from Solar Coop projects. Further income will come from new investment projects of which over 16,000 Million Baht investment budget has been set aside. If proceed as planned, they will generate revenue and profit immediately this year.
The last and very important focus is on employing innovation for differentiation that will further help sustain the business, by careful selection of well-suited business alliances. On February 17, 2017, BCPG signed an MOU on Academic Collaboration with King Mongkut’s Institute of Technology Ladkrabang (KMITL), Thailand’s largest technological institute with emphasis on research in science and technology, and creating innovation. The purpose of the MOU is to promote joint research and development in new technology, as well as enhancing electricity generation capacity of renewable power plants. The MOU also allows the two parties to set out opportunities to integrate renewable energy into consumers’ daily lifestyle in a form of innovative products which are more easily accessible. Moreover, BCPG has a plan to collaborate with overseas start-up companies to apply new technologies into the Company’s businesses.
“In the near future, I envision BCPG differently from today -- to truly create business sustainability. Apart from operating different types of renewable power plants, we see ourselves become a renewable power service provider that are much closer to consumers. I’m certain that this is achievable because of IoT or Internet of things which will enable us to connect renewable energy with people in daily life in a much easier way. But how and in which shape or form, please wait and see.”, said Mr. Bundit.