Press Releases

CKPower continues its renewable energy projects development, with COD scheduled for additional solar power plants and Q3/2024 expected to be buoyed up by seasonal factors

Bangkok, August 9, 2024: Mr. Thanawat Trivisvavet, Managing Director, CK Power Public Company Limited or CKPower (SET: CKP), one of the region’s largest producers of electricity from renewables with one of the lowest carbon footprints, announced improved overall performance in both Q2/2024 and 1H/2024 compared to the same periods last year. In Q2/2024, CKPower reported total revenues of Baht 2,621 million, a 2.1% year-on-year increase, and recognized a core net profit excluding foreign exchange gain and loss of Baht 149 million, an improvement from the Baht 48 million of core net loss in the same period last year.

The key factors contributing to the Q2/2024 performance include an 80.3% year-on-year increase in the electricity sales revenue of Nam Ngum 2 Power Company Limited (NN2), attributable to high water levels in the reservoir at the beginning of 2024 and higher water inflow compared to the same period last year, along with a decrease in maintenance expenses as most of the major overhaul activities for 2024 was carried out in Q1/2024. In addition, the fuel costs of Bangpa-in Cogeneration Limited (BIC) fell 27.6% in line with natural gas prices, and the company also recognized a Baht 110 million, or 77.0%, lower share of net operating losses from joint ventures and associate companies compared to the same period last year.

“Although CKPower’s financial costs in Q2/2024 and 1H/2024 rose by 12.6% and 6.2% respectively compared to the same periods last year, mainly due to the company’s debentures no. 1/2024 issuance with higher interest rates in line with market conditions, CKPower was able to efficiently reduce operating expenses for Q2/2024 and 1H/2024 by 14.0% and 13.2% respectively on a year-on-year basis”, Mr. Thanawat stated.

Mr. Thanawat stated that in 2H/2024, water levels are expected to increase due to the high flood season, combined with the impact of La Niña predicted to affect Southeast Asia from August onwards, which is likely to result in increased water inflow for the Nam Ngum 2 and Xayaburi Hydroelectric Power Plants. In anticipation of the increased water inflow, CKPower has made plans and preparations with regard to electricity production accordingly. Additionally, Bangkhenchai Company Limited (BKC) is preparing for the construction of three solar power projects in collaboration with Bangkok Expressway and Metro Public Company Limited (BEM), with a combined installed capacity of 7 megawatt (MW). Expected to begin commercial electricity production and distribution shortly, these projects mark an effort to help accelerate the transition of Thailand’s public rail transport sector to renewable energy for the first time.

“Moving forward, CKPower plans to further invest in and develop renewable energy power plants to further strengthen our fundamental both domestically and internationally, all while maintaining an ecological and environmental balance and promoting good quality of life in communities and society. CKPower will leverage its engineering expertise to innovate and develop various projects as well as expand its efforts to share knowledge on renewable energy to children, youth, communities and society with the goal of achieving net-zero greenhouse gas emissions by the year 2050,” Mr. Thanawat concluded.

---