Thai Firm Shifts Focus to Clean Energy Investments in the US
PUBLISHED : 25 Oct 2024 at 06:03
Electricity Generating (Egco), a prominent entity in Thailand’s energy sector, is realigning its investments in the United States by divesting its entire 49% stake in RISEC Holding, the operator of a combined cycle power plant in Rhode Island. This strategic decision comes as part of Egco’s efforts to reinforce its focus on clean energy initiatives.
The sale was executed through Egco’s subsidiary, Egco RISEC II, to Shell Energy North America.
“This divestment aligns with our portfolio management strategy, enabling us to reinvest the proceeds into initiatives that support our long-term growth and strategic objectives,” stated Jiraporn Sirikum, president of Egco.
The completion of this share sale, which received board approval, is anticipated in the first quarter of 2025.
RISEC Holding operates the Rhode Island State Energy Centre, which boasts a capacity of 609 megawatts and utilizes both heat and natural gas for electricity generation.
This facility participates in the New England Power market (ISO-NE), with its entire capacity and essential ancillary services contracted to the regional grid.
Egco first acquired its stake from Carlyle Group in November 2022. Following this sale, Carlyle is also divesting its remaining 51% ownership in RISEC to Shell Energy North America.
Shifting its focus, Egco is currently investing in US-based Apex Clean Energy Holdings, which is projected to boost Egco’s renewable power output to 30% by 2030, underscoring its commitment to sustainable energy solutions.
Currently, renewable energy constitutes 21% of Egco’s near 7 gigawatts of power generation capacity worldwide, encompassing both operational and developing projects.
Apex Clean Energy is driving multiple renewable energy initiatives under a hybrid business model, focusing on enhancing power generation capacity while also selling developed projects to other investors.
Egco acquired a 17.4% stake in Apex in 2021, marking a definitive step toward a cleaner energy future.
