The Asian Development Bank (ADB) has signed a $7.2 million loan with Lomligor Company, a subsidiary of BCPG Public Company Limited, to finance a 10MW wind power plant in southern Thailand. The project utilises an integrated 1.88MWh pilot battery energy storage system to increase the amount of renewable energy delivered to the grid.
The Southern Thailand Wind Power and Battery Energy Storage Project is the first private sector initiative in Thailand to integrate utility-scale wind power generation with a battery energy storage system.
The project will help increase the supply of renewable energy to Thailand’s domestic grid. It is expected to generate at least 14,870MWh per year, reducing 6300 tons annually of carbon dioxide emissions, starting in 2020.
As part of ADB’s finance offering for the project, ADB will administer a $4.75 million concessional loan provided by CTF. The concessional loan was critical in overcoming some of the project’s bankability challenges and supports the scaling up and replication of battery storage project in Southeast Asia. CTF is one of two trust funds comprising the Climate Investment Funds, established in 2008 to provide financing for climate-related development efforts. Kasikornbank PCL is also supporting the project with a $7.2 million loan.