Transition to renewable energy in South-East Asia gets financial boost
Bangkok, Thailand -- Global Climate Partnership Fund (GCPF), the Asian Development Bank (ADB) and KASIKORNBANK (KBank) have signed a USD 34 million loan with GreenYellow (Thailand) Co., Ltd., a wholly owned subsidiary of the French Independent Power Producer GreenYellow, to finance solar self-consumption power plants for commercial and industrial consumers throughout Thailand. GreenYellow’s solar projects will help Thailand reduce its reliance on fossil fuels and enhance the competitiveness of businesses in key industries.
The financing package includes loans from GCPF, a responsAbility fund, ADB and KBank. This financial funding will cover GreenYellow’s portfolio of 92 solar PV projects in Thailand with a total capacity of 60.3 megawatts peak (MWp).
“The transaction with GreenYellow is a great addition to our portfolio in distributed solar solutions for commercial and industrial offtakers in the region. In line with GCPF mission to enable financial institutions grow their green portfolios, we are proud to collaborate with KBank, a Thai bank,” said Antoine Prédour, Head of Global Climate Partnership Fund. “The partnership with GreenYellow presents another notable step in the renewable energy transition in South-East Asia, which is at the core of our investment activity.”
Commercial and industrial consumers account for more than 70% of Thailand’s power demands. Distributed solar solutions are an emerging form of energy supply in Thailand and have the potential to meet a large share of the country’s future power demand. However, its prospects have been limited by a lack of access to finance due to the micro-scale of the assets, relatively high due diligence costs, and perceived risks related to financing a new business model.
Otmane Hajji, Founder and President of GreenYellow, states: “The completion of such a financing is a testimony to the new maturity of self-consumption solar in Thailand and more broadly in South-East Asia, and to our leadership in this area. Given the scarcity of available land and the fact that more than two third of Thailand's electricity consumption comes from large companies and industry, decentralized solar energy production is indeed the solution that will enable the country to achieve its low-carbon trajectory objectives while continuing its growth dynamic. For our private sector customers, the deployment of such solutions also allows them to substantially reduce their energy bills. The conclusion of this transaction opens up new perspectives for the financing of our strong development ambitions in the region. We would like to warmly thank Asian Development Bank, KBank and responsAbility for their confidence”.
GreenYellow will retain ownership of the solar energy systems during the agreed terms of solar projects. Through power purchase agreements, the consumers will pay a discounted price for the electricity, lowering their operating costs and improving their profitability.
About GreenYellow (www.greenyellow.com)
In 14 years, GreenYellow has become a major player in the energy transition in France and abroad and a true ally of companies and public communities in this field. As an expert in decentralized solar photovoltaic production, energy efficiency projects and energy services, GreenYellow offers its clients a unique and global platform to empower them to make their energy transition a beneficial and committed reality. By March 2021, GreenYellow had developed 355 MWp of photovoltaic capacity and signed nearly 2,650 energy efficiency agreements representing an annual volume of energy savings of 855 GWh. The Group was also managing more than 2.9 TWh of energy for its clients. GreenYellow is constantly expanding its offering through innovation to meet the needs of private and public players and to help them reduce their environmental footprint. Operating in 16 countries on 4 continents, the company has more than 500 employees worldwide.
GreenYellow started its solar activities in Thailand in 2017 and has secured more than 125 MWp of self-consumption solar projects across the country with large renowned brands like CP All, Siam Makro, Royal Porcelain, Valeo, and many more leading industrial players across various industry segments. GreenYellow has established as a key player of the Solar Private PPA market and invested more than 2,800 million Baht in Thailand to date.
About the Global Climate Partnership Fund (GCPF)
The Global Climate Partnership Fund is an investment company under Luxembourg law. It was established by the German Federal Ministry for the Environment, Nature Conservation and Nuclear Safety (BMU), KfW Entwicklungsbank and the International Finance Corporation (IFC) in 2009 as a public-private partnership. Junior catalytic capital is provided by BMU, the department for Business, Energy and Industrial Strategy (BEIS) of the UK, Denmark’s development cooperation (Danida). Other private and public investors include ASN Bank, Ärzteversorgung Westfalen-Lippe, FMO, OeEB, Sparkasse Bremen, the European Investment Bank (EIB) and Heilsarmee.
Contacts for Global Climate Partnership Fund
Marco Zanchi, Communications Manager
+41 44 403 06 18
Contacts for GreenYellow
Mathurot Chairatananuwat, Marketing and Communication Manager
Tel: +66 (0)92 598 9129
Antoine Billaud, Pre-Sales and Development Manager
Tel: +66 (0)80 636 2486
Julie Dorel – Directrice Marketing and Communication
Tel: +33 (0) 6 37 52 30 18
Juliette Prost email@example.com
Tel: +33 (0)6 72 47 53 28
Margaux Wacheux firstname.lastname@example.org
Tel: +33 (0)6 75 62 26 41
Financial communication and investor relations
Tel: +33 (0)7 84 58 89 34
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