The Stock Exchange of Thailand (SET) joins hands with three organizations to attract alternative energy businesses into the capital market, enhancing national energy stability and strengthening Thailand’s economy.
The SET signs a memorandum of understanding (MOU) on August 29 with three organizations -- the Department of Alternative Energy Development and Efficiency under Ministry of Energy, Energy Regulatory Commission, and Provincial Electricity Authority -- covering a wide variety of activities to enable alternative energy businesses to better understand and utilize the capital market’s financial tools to achieve their goals.
SET President Charamporn Jotikasthira said: “Alternative energy businesses, especially solar energy, are now gaining interest from both domestic and international investors. They have growth potential from the growing demand of electricity following a 5 percent rise in annual economic expansion. The public sector also encourages these firms to enhance the country’s energy security, while reducing the environmental impact from current electricity production. However, these industries need huge amounts of capital. Therefore, the Thai bourse is ready to provide full support in raising funds for these businesses. The exchange is now improving its listing criteria to attract more alternative energy businesses.”
Pichai Naripthaphan, Minister of Energy, said: “The electricity business is important and vital for the country’s development because it involves infrastructure projects and has good potential for growth. The government has a policy to support energy and alternative energy businesses in many aspects. This memorandum is the first step to enable the public and private sectors to move forward together and achieve the country’s mission of being the center of energy business in the region.”
Krairit Nilkuha, Director-General, Department of Alternative Energy Development and Efficiency, Ministry of Energy, said: “The government’s promoting alternative energy policy, targeting to boost the proportion of alternative energy consumption to 25 percent of the total energy consumption in ten years will build energy security, and increase investment and employment. This policy will also yield indirect benefits, including stabilizing agricultural prices and upgrade Thais’ quality of life. Today’s MOU will help boost investment in the country and drive alternative energy production for domestic use. In addition, it will pave the way for Thailand to be the regional center of alternative energy production and a role model for its usage.”
Kawin Thangsupanich, Secretary General, Office of the Energy Regulatory Commission, said: “This MOU is an essential step in supporting the efficiency of energy and alternative energy enterprise owners, increasing their strength by raising fund through the capital market and building good corporate governance through educational activities. I firmly believe that this MOU will build the potential for development, quality, security and trustworthiness of the country’s energy business.”
Narongsak Kamales, Governor of the Provincial Electricity Authority (PEA), said: “Apart from enhancing the knowledge of electricity business owners about fund-raising, the coordination resulting from this MOU will encourage PEA subsidiaries to list on the Thai bourse. Listing is a highly beneficial way for our subsidiaries to raise funds for business expansions with stability and efficiency, in accordance with good corporate governance. These activities will also lead the way in developing the capability of business owners to reach national and international levels.”
