Northeastern Thailand Wind Power Project (ADB-49263-001)

Countries
  • Thailand
Where the impacts of the investment may be experienced.
Specific Location
Chaiyaphum
Whenever identified, the area within countries where the impacts of the investment may be experienced. Exact locations of projects may not be identified fully or at all in project documents. Please review updated project documents and community-led assessments.
Financial Institutions
  • Asian Development Bank (ADB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
Bank Risk Rating
B
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Voting Date
Dec 8, 2015
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Borrower
BANCHUAN DEVELOPMENT LN3366 et al
The holder of the loan, grant, or other investment.
Sectors
  • Energy
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, etc.
Investment Amount (USD)
$ 5,289.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Project Cost (USD)
$ 5,289.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please see updated project documentation for more information.
Primary Source

Original disclosure @ ADB website

Updated in EWS Aug 3, 2017

Disclosed by Bank Mar 31, 2016


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Project Description
The 260-megawatt (MW) wind power project aligns with Thailand’s energy development plan for 2015–2036 and its goal to generate 30% of its primary energy needs from renewable sources by 2036. 3 This would avoid 140 million tons of carbon emissions annually. 4 Despite strong government commitment to and incentives for renewable energy development since 2010, only 225 MW of wind power capacity had been installed in the country as of July 2015. Major private sector investments are needed if the current plan’s target to increase this installed capacity to 3,002 MW by 2036 is to be met. The project is part of the long-term growth strategy of the sponsor, Energy Absolute, which aims to expand its investments in renewable energy generation and become one of the leading alternative energy companies in Southeast Asia. The project entails the construction and operation of wind power facilities with a total installed power generation capacity of 260 MW in Chaiyaphum Province, about 300 kilometers northeast of Bangkok. Sponsor: Energy Absolute was established in 2006 and focuses on solar and wind power generation and biodiesel production and distribution. As of June 2015, the company had four solar power projects in operation with a capacity of 188 MW and one 90 MW project under construction. Its total solar capacity is expected to be 278 MW once construction of that project is completed. The company is also constructing a 126 MW wind farm in southern Thailand with commercial operations expected in the second quarter of 2016. Energy Absolute is listed on the Stock Exchange of Thailand in the market for alternative investments. Its current market capitalization is about $2.26 billion.9
Investment Description
  • Asian Development Bank (ADB)
The borrower companies are: BANCHUAN DEVELOPMENT LN3366 Energy Absolute Public Company Limited NAYANGKLAK DEVELOPMENT CTF8304 PONGNOK DEVELOPMENT CTF8306 BANCHUAN DEVELOPMENT CTF8301 BENJARAT DEVELOPMENT CTF8303 NAYANGKLAK WIND POWER CTF8305
Contact Information
ACCOUNTABILITY MECHANISM OF ADB The Accountability Mechanism is an independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an Asian Development Bank-financed project. If you submit a complaint to the Accountability Mechanism, they may investigate to assess whether the Asian Development Bank is following its own policies and procedures for preventing harm to people or the environment. You can learn more about the Accountability Mechanism and how to file a complaint at: http://www.adb.org/site/accountability-mechanism/main