Japan’s renewable energy firm Yumeya has entered into the memorandum of understanding with the listed stainless steel processor Thai German Products Pcl (TGPRO) to conduct a feasibility study to set up a 20-megawatt solar farm in Japan.
“A lot of Thai investors expressed their interest to co-invest in solar power plants as we (Yumeya) have a concession contract to produce and sell the electricity to Japanese government for 250 MW,” Anat Mungkornhong, strategic director of Yumeya, told local media.
However, once the study with THPRO is completed, they expect to set up a joint venture firm and start the investment in the first quarter of 2016.
Meanwhile, Yumeya is considering an expansion of its business model to serve the rising demand for solar energy in Thailand and other countries in the Southeast Asia. It provides total support sales for the solar power generation businesses across the size spectrum.
“Demand for solar energy in Thailand and the Southeast Asia has been increasing continuously. We would like to bring our expertise in solar power generation business to serve the huge demand from small and medium-sized to mega solar here,” he said.
The aggressive expansion is a part of the company’s plan to raise funds on the Tokyo Stock Exchange in the next two years.
Currently, each of its solar projects generates yield of 5-8 per cent and is expected to reach break even within eight years.
Apart from TGPRO, it is to sign the same MOU with two other Thai companies, one in waste management and the other in gas-related business.