29 minute read
Solving energy crisis without impacting environment?
ENERGY RENEWABLE ENERGY
IF CORRESPONDENT
The energy shock that's occurred this year is the worst to hit the world since the 1973 and 1979 oil crises that shook Middle Eastern part of the world. Similar to those previous disasters, it is expected to cause immediate suffering while ultimately transforming the energy sector. As a result of rising fuel
Majority of and power costs, the majority of the world's economies are the world's experiencing slow development, economies are lowered living standards, inflation, experiencing and a vicious political backlash. slow However, the long-term impact development, is far from certain. Inefficient lowered living government action could trigger standards, a return to the use of fossil fuels, inflation, making it much more difficult to and a vicious stabilize the climate. political Instead, they must travel a risky backlash route that combines energy supply security with climate security. What was formerly predicted in Europe like a nightmare of icy midwinter evenings has now emerged as a July fever dream. The Spanish gas demand has reached almost record levels due to the hot wave. But at the same time, Russia started to reduce the flow of gas through the Nord Stream 1 pipeline to Western Europe. Due to this course of action, the prices have skyrocketed by 50% and sparked concerns that rationing would be implemented later this year.
In other countries, Americans spend USD 5 a gallon of gasoline (EUR 1.25 per liter), feeding the inflation that polls show is Americans' top concern and President Joe Biden's biggest challenge. The power market in Australia has failed and also there are deficiencies and fragility everywhere you turn.
Political catastrophes can result from energy shocks. Rising fuel and power prices may account for one-third of the 8% inflation rate in the wealthy world. Families who are having trouble making ends meet are feeling the heat and are angry about having to go through the situation. This is leading to policies that try to protect them and increase the development of fossil fuels.
Joe Biden, who won the presidency on a platform of a green revolution, intends to suspend petrol taxes and visit Saudi Arabia to urge it to increase the production of oil.
Europe has subsidies, price limits, emergency windfall levies, and more. In Germany, coal-fired power plants are being revived as well. Contrary to what those worried about the environment had expected, state-run mining companies in China and India are extracting record amounts of coal. Although this improvised chaos is reasonable, it could be dangerous since it could delay the shift to renewable energy. It will be challenging to end
tax incentives and public subsidies for fossil fuels. The owners would have greater motivation to fight against the phase-out of fossil fuels if they owned dirty new power stations and oil and gas fields with 30 to 40-year lifespans. Governments must concentrate on solving the major issues the energy industry is facing even as they involve in fire-fighting.
Finding a way to speed up fossil fuel projects that have an artificially shortened lifespan of 1520 years, especially clean natural gas projects, is a top priority in order to align them with the goal of drastically decreasing emissions by 2050. There is insufficient Liquefied Natural Gas (LNG) storage capacity, particularly in Europe and Asia, which must gradually wean themselves off Russian gas and coal, respectively.
The trick is to convince businesses to support short-lived programmes. As an option, the governments and energy grids may provide guaranteed contracts over this time frame that ensures a satisfactory return with the awareness that capacity will be shut down early. Another is to promise eventual state support to make these projects cleaner, for instance, by utilizing carbon capture and storage.
This does not imply a global push toward renewable energy, which has thus far been the best part of the world's generally poor response to the climate catastrophe, should be slowed down. Every kilowatt-hour of solar energy delivered into the electricity grids in Europe means one less that comes through a Russian pipeline.
The governments must also enhance the capacity, reach and storage capabilities of their grids and also remove the obstacles that play a key role in making it harder to add renewable capacity than it should be. The power grid's design and markets are squarely a matter for governments and are often entrapped in 20th-century thinking.
According to the Technology Quarterly reports, 21st-century thinking turns on new ways to supply resilient grids with the zero-carbon firm power that makes reliance on renewables effective and safe. Hydrogen extraction from water using renewable power or extraction from natural gas using steam in emission storage facilities may be significant.
Atomic enthusiasts who concentrate on the environment often focus on innovative but unproven small-scale nuclear facilities. What counts more is to enhance the building of big ones.
The report from Finland states that the governments must win support by exhibiting that there is better protection against mishaps and new
LOGISTICS GLOBAL SUPPLY CHAINS
ways to store waste, especially where there is coordinated and strong anti-nuclear opinion. The voters need to be told by the politicians that their desire for an energy transition that eschews both nuclear power and fossil fuels is a destructive illusion.
Making the market predictable is the last necessity. Given that energy markets in the 20th century had to face situations like wars, coups, revolutions, increasing Chinese demand, and new technologies, that may seem strange.
However, the climate transition has increased further while also calling for a considerable increase in investment. The International Energy Agency estimates that yearly investment must treble to USD 5 trillion annually in order to achieve net-zero emissions by 2050. The possibility exists that this most recent crisis and the disorganized government reaction to the crisis may make investors more cautious.
To boost investment, one must avoid gimmicks like green washing, protectionist attempts to establish local green supply chains, and absurd bans on gas projects by banks.
Instead, it will be required to gradually increase the measures while having more confidence in the kind and duration of the energy sources that may be utilized.
To achieve this, more information must be disclosed in order for businesses to understand the externalities they create, carbon prices must rise in order for them to understand the financial burden of pollution, and regulations must have the least financial means to pay for it.
Additionally, it poses a risk of derailing attempts to address the urgent problem of cutting greenhouse gas emissions globally swiftly enough to prevent catastrophic climate change. One cannot allow the fight against climate change to fall victim to Russian hostility once more.
Russia's unruly actions have substantially complicated the situation for investors, governments, and businesses as they try to decide which energy projects to support, finance, or develop due to the global energy concern and market turbulence they have caused.
be put in place to force the phaseout of unclean technology.
The massive energy shock of 2022 will be a catastrophe. Better government policy at this time might also stimulate the necessary investment to resolve the conflict between having a safer energy source and a cleaner environment.
What does the current global energy crisis mean for energy investment? In addition to creating a serious humanitarian crisis, Russia's invasion of Ukraine has had deep effects on the world energy system, disturbing patterns of supply and demand and shattering decadesold trade relationships.
Prices of energy have increased for many consumers and businesses globally, harming households, industries, and entire economies. This is very much true in developing nations where people World falling short on climate goals and energy supplies The world was far from meeting its common energy and climate goals even before Russia's invasion of
Ukraine happened. In 2021, the world's CO2 emissions peaked, and the fuel markets were already beginning to collapse.
The world must solve this challenging issue if it is to have any hope of keeping global warming to 1.5 °C. At the same time, investment in clean energy technology has remained considerably below the levels required to bring emissions down to net-zero by mid-century.
In November, positive steps were taken at the COP26 Climate Change Conference in Glasgow. There has been an increase in the amount of clean energy spending in the government's economic recovery, but the level of policy and investment efforts worldwide that is required to move us onto a netzero pathway is yet to be witnessed. Companies, investors, and governments all need to do be contributing much more and at a faster pace in order to bring clean and affordable energy into the system.
Renewable energy as viable solution to Nigeria Sterling Bank Plc and Stears Data in a new report on Nigeria’s electricity crisis, advocated the adoption of renewable energy as a viable solution to complement domestic and commercial supply, Oluchi Chibuzor presents excerpts of the report.
As Nigeria looks to several sources to end its intractable power supply crisis, stakeholders are working out solutions that if adopted by the federal government, will help solve the problem.
As part of their contribution towards solving Nigeria’s electricity crisis, Sterling Bank Plc and Stears Data recently released a report, which advocated the adoption of renewable energy as a viable solution to complement domestic and commercial supply.
The report entitled, “Powering Nigeria: How solar energy can become a sustainable electricity alternative,” is divided into five parts namely: Nigeria’s electricity problem; the impact of Nigeria’s problem; the case for solar energy in Nigeria; limitations to solar adoption in Nigeria, enabling Nigeria’s energy market and conclusion.
The report showed that despite the privatisation of Nigeria’s electricity industry, the country still has one of the lowest electrification rates in the world as 43% of its population have no access to grid electricity, an indication “that 85 million Nigerians are not connected to – and cannot receive electricity from – the Nigerian transmission grid.”
The report in a comparative electrification rate analysis noted that Ghana has electrification rate of 84%, Kenya 70%, South Africa 85%, sub-Saharan Africa 47%, India 98%, Europe 100%, global 90% and Nigeria 55%. It noted that while Nigeria’s electrification rate is above the sub-Saharan Africa regional average of 47%, it lags significantly behind its peers across the continent and the global average.
Grid-supplied electricity According to the report, Nigeria’s grid-supplied electricity is grossly insufficient, thereby making the country to have the largest electricity access deficit in the world. Nigeria’s electricity supply value chain is broken into generation, transmission and distribution. The entire value chain used to be controlled by a stateowned facility, National Electricity Power Authority (NEPA) from 1972 to 2005, until the Power Holding Company of Nigeria (PHCN) was formed to transition to unbundling and privatising components of the power supply companies and form successor companies that will handle distinct parts of the value chain: generation, transmission and distribution with the aim of creating smaller, nimbler and more efficient corporations.
editor@ifinancemag.com
INDUSTRY FEATURE INFRASTRUCTURE PHILIPPINES RODRIGO DUTERTE
The Philippine economy ranks among the best performers in Asia in recent years. Still, the economy faces constraints from its outdated and insufficient infrastructure
IF CORRESPONDENT
In the early 1980s, Edgardo Perea worked on a project that would provide Metro Manila, a region in the Philippines, with a consistent supply of clean water. But even after forty years, he is still waiting. The project has not been finished yet.
Perea was employed by the government agency named 'Metropolitan Waterworks and Sewerage System' as a member of a team that started construction on a dam. At that time, he and his co-workers thought they would utilize the abundant fresh water resources in the region. Perea said that all the feasibility studies were done, all it needed was implementation, but politics got in the way.
In 1986, the Philippines People Power revolution led to the removal of dictator Ferdinand Marcos. Under the new government, many projects that had been approved under the previous regime languished or were cancelled altogether.
Perea has been thinking about his experiences a lot these days as his country prepares for another transfer of power, while many of the old problems linger. Besides being deeply personal, they are emblematic of the struggles to improve infrastructure in the Philippines, an archipelago of about 110 million people, where many people still live without basic amenities. In an added layer of irony, the incoming president is the son of the ruler who was pushed out 40 years ago.
New President Ferdinand Marcos Jr, known commonly by the nickname Bongbong, will take office. His predecessor, Rodrigo Duterte, made infrastructure a key policy as part of an initiative he called Build, Build, Build. Duterte promised that the programme would create jobs and improve the quality of life for many Filipinos for whom severe traffic jams and other inconveniences are a fact of life.
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INDUSTRY FEATURE INFRASTRUCTURE PHILIPPINES RODRIGO DUTERTE
Duterte, who described spotty infrastructure as the 'Achilles’ heel' of Philippine economic development, pledged to allocate between 8 and 9 trillion Philippine pesos to the programme he said would usher in a 'golden age of infrastructure,' adding bridges and railways while expanding a major airport north of Manila.
Filipino voters and political analysts are not sure how Marcos Jr will govern. Throughout his election campaign, he invoked nostalgia for what some Filipinos, accurately or otherwise, think of as a happy time under his father’s rule. But he has been short on policy specifics, leaving unanswered the question of whether he will continue Duterte’s infrastructure drive as he gets set to start his term.
Duterte has called on the new president to continue with Build, Build, Build and the Asian Development Bank has pledged to continue supporting the initiative even with the change of administration.
The programme has a mixed record, with some analysts arguing that it made helpful improvements to underserved parts of the country, while others contend that it fell far short of its objectives.
Ronald U Mendoza, dean of the School of Government at Ateneo de Manila University, said Philippine politicians use public infrastructure to show voters that they have brought home the bacon, though the longerterm desirability of such projects is questionable.
“During an infrastructure boom – not just Marcos’s but also Duterte’s – the effect on various parts of the country is stimulative and job-creating and hence it is much welcomed by citizens and quite palpable and visible,” Mendoza said.
“It is easy to be nostalgic about an infrastructure boom when you fail to appreciate the crisis and difficulty that is associated with the bad decisions and corruption during the spending part of that debt-fuelled experience. If there’s bad governance and bad decisions, then the party has to end at some point", he added.
Flawed execution
According to Jan Carlo Punongbayan, an assistant professor at the University of the Philippines School of Economics, the execution of the ambitious initiative was also flawed.
“Good, though its intention was, Build, Build, Build unfortunately failed to live up to expectations,” Punongbayan said.
“Spending plans that were not well thought out led to repeated changes in the initiative’s project master list. Only a portion of the promised projects was executed", Punongbayan added.
The Marcos dynasty also has a reputation for corruption. Observers of Philippine politics worry that such corruption could cloud the next administration.
“Marcos Jr comes from a known kleptocratic family that flourished during the martial law years through crony capitalism. Hence, he is not expected to do much work to stop corruption and in fact, he may very well worsen it.”
The Philippines ranks poorly on global corruption assessments, coming in 117th out of 180 countries on the most recent ranking by Transparency International. Parts of the Philippine electorate appear to have accepted the stubborn presence of corruption in government and business.
Though Duterte took office depicting himself as a swashbuckling outsider who would pull the plug on corruption,
the same elite has retained control of Philippine business, according to analysts.
Josh Kurlantzick, a senior fellow for Southeast Asia at the Council on Foreign Relations said that Duterte never really intended to root out the old power networks, and he thinks there is a degree of resignation now.
Meanwhile, the basic needs of much of the population go unmet. According to the Sustainable Development Goals Fund, substantial numbers of people suffer water scarcity and lack access to basic sanitation, putting them at risk of water-borne disease.
A report by the World Health Organization and UNICEF found that just 47% of Filipinos had access to safely managed drinking water in 2020, a slight improvement from 46% in 2015. The country’s infrastructure challenges are connected to large-scale rural-tourban migration, as many Filipinos leave the countryside to seek jobs in large cities, particularly Metro Manila, causing severe traffic gridlock that results in exorbitant commuting times and delays in the transport of goods to points of sale.
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Investment in digital infrastructure
The International Finance Corporation (IFC) announced an additional $8.3 million in direct equity investment in EdgePoint Infrastructure (EdgePoint)—a tower platform with operations in Indonesia and Malaysia— to support the company's entry into the growing Philippines tower market, improving mobile connectivity for people and businesses.
The investment will increase mobile network capacity and create a competitive market for tower collocations in the country. IFC's investment in EdgePoint is part of a larger investment in digital infrastructure assets across emerging markets managed by affiliates of DigitalBridge Group, a leading global digital infrastructure investment firm. IFC's investment involves the acquisition of more than 2,900 towers from the Philippines Long Distance Telecoms Company (PLDT) through a sale-leaseback transaction and the construction of additional new build-tosuit towers. "This equity investment in EdgePoint marks a significant milestone in digital development in the Philippines, paving the way for more people and businesses to have access to mobile services," said Isabel Chatterton, IFC's Regional Industry Director for Infrastructure Asia and the Pacific. "With the Philippines poised to grow, strong consumer demand and a vibrant labour market will undoubtedly lead to even greater calls on telecom services. This investment will help meet future needs, which is vital as digital connectivity is so fundamental to helping ensure people and businesses can flourish", he added.
The quality of mobile connectivity in the Philippines is lacking due to pervasive network congestion. The country ranks 95th out of 142 countries for mobile internet download speed. The number of mobile subscribers per tower—a measure of network congestion—is comparable to that of lowincome countries and more than three times above the average of countries in the East Asia and Pacific region. Such capacity challenges are compounded by limited access to reliable electricity for mobile towers—an estimated 5% of towers in the Philippines are expected to be located in off-grid areas.
Suresh Sidhu, EdgePoint's Chief Executive Officer, and Founder said that his company is committed to building a world-class operation and expanding next-generation connectivity solutions, bridging the digital divide in the Philippines, and creating new job opportunities in the sector. "The Philippines telecoms sector has tremendous potential, and we look forward to being part of its future," he added.
About IFC
IFC—a member of the World Bank Group—is the largest global development institution focused on the private sector in emerging markets. We work in more than 100 countries, using our capital, expertise, and influence to create markets and opportunities in developing countries. In the fiscal year 2021, IFC committed a record $31.5 billion to private companies and financial institutions in developing countries, leveraging the power of the private sector to end extreme poverty.
editor@ifinancemag.com
RENEWABLE ENERGY
Empowering the world compassionately
IF CORRESPONDENT
B.Grimm Power thrives towards its goal to enlarge clean-power proportion in its energy portfolio, as part of the effort to reduce global warming and achieve environmental sustainability
Thailand has long been promoting and supporting the energy development agenda, especially in the field of renewable energy and energy efficiency. The Thai government has been promoting renewable energy to reduce the use of fossil fuels, especially natural gas, and reduce the environmental impact from traditional energy sources. In support of the country's initiative, B.Grimm Power, an energy company under the umbrella of B.Grimm Group, has come up as a dominant player in the renewable energy sector.
B.Grimm Group, Thailand’s oldest German-Thai infrastructure developer founded in 1878, has had a deep-rooted history in Thailand for 144 years, starting as a manufacturer of European modern medicines for Siam in the reign of King Rama V. Since then, B.Grimm has grown from a venture business to a large-scale infrastructure developer entrusted with landmark national projects such as the construction of Rangsit irrigation canals with a total length of 1,500 km, the operation of the country’s first telegraph license, and many other major industrial and trading activities. Today, B.Grimm Group is a conglomerate company with widely renowned expertise in building and industrial systems, healthcare, transportation, real estate, lifestyle, and emerging digital technologies; and now is also a country’s key player in the energy business.
INDUSTRY COVER STORY RENEWABLE ENERGY B.GRIMM POWER
The company ventured into the energy sector in the 1990s with B.Grimm Power as its strong investing arm and has been a listed public company limited since 2017. Notably, B.Grimm Power has grown from its first greenfield industrial power plant in Amata City in Chonburi to one of Thailand’s fastest-growing industrial and renewable power producers.
B.Grimm Power is committed to creating value for society in the form of a “Sustainable Utility Solution Provider” by producing high-quality energy and a full range of services to fulfill the needs of its associates, business partners, and society at large. The company focuses on the development, financing, construction, and operation of greenfield power plants, has successfully developed gas-fired electricity and steamgenerating power plants, purchased additional projects, and will look for many more opportunities in the upcoming future. B.Grimm Power is also working strenuously to expand its investment in renewable energy, including solar energy, hydropower, wind energy, and energy storage systems (ESS) which are primed to be the epicenter of future energy generations.
At B.Grimm Power, sustainability is the core principle that reflects the company’s commitment to “Empowering the world compassionately” through sustainable business practices covering economic, environmental, and social dimensions, underpinned by commendable corporate integrity and governance. In doing so, B.Grimm Power constantly applies worldclass standards and procedures; growing in a sustainable way domestically and internationally; working as a team with ethics under good governance, unity, and professionalism; creating long-lasting value for stakeholders and society; and being environmentally responsible and caring for the community in all respects.
In view of global climate change, B.Grimm Power has expanded its renewable energy business and has already produced a remarkable amount of renewable energy (solar, hydro- and wind power plants) in Thailand and many other countries. Besides Thailand, the firm is also an active energy player in global economic powerhouses including China, South Korea, and Japan, as well as rising economies in the ASEAN region such as Vietnam, Cambodia, Malaysia, Laos, and the Philippines. In parallel, B.Grimm Power is also proactively pursuing various business opportunities with potential partners in Europe; the success of which would help accelerate the company’s future growth even further.
In 2019, B.Grimm Power successfully inaugurated the commercial operation of the largest solar power generation project in Southeast Asia in Tay Ninh, southwest Viet Nam, as well as the country’s largest single PPA installed capacity, 257 MW Phuyen TTP JSC, the latter of which was also awarded the Best Power Plant Project Developer - Solar, International Finance Awards 2019.
COVER STORY B.GRIMM POWER
B.Grimm Power’s Cambodia solar farm in Banteay Meanchey wins IFM Award 2021 as Best New Solar PV project. The award underscores the company’s commitment in developing clean energy as part of its mission to deal with the global warming
A new era for renewable energy development
In 2021, the B.Grimm Power-Energy China consortium brought a new era for renewable energy development in Thailand by successfully completing work at the world’s largest hydro-floating solar hybrid project at the Sirindhorn Dam for the Electricity Generating Authority of Thailand (EGAT). The work included the installation of seven sets of solar cell panels, buoys, a concrete underwater anchor system, and a switchgear building at the site in northeastern Ubon Ratchathani province.
The solar farm at Sirindhorn Dam covers a surface area of more than 450 rai (one rai = 1,600 m2) of the dam’s reservoir. The solar panels and related equipment are mounted on buoys made from High-Density Polyethylene (HDPE) carefully selected to ensure it would be harmless to aquatic animals and the environment. The solar panels used for the scheme are double glass type and the system is moisture resistant with the ability to withstand water movement of the reservoir and substantial wind force.
The system shares various existing resources at the dam including transformers, transmission lines, and high voltage stations, thus making the operation cost-effective by translating into lower tariffs. It also helps to reduce greenhouse gas (CO2) emissions by about 47,000 tonnes per year.
“We are pleased and proud to be a part of the endeavor that brings a new era for renewable energy development in Thailand by integrating solar and hydroelectric power in a hybrid system,” according to Dr. Harald Link, President of B.Grimm Power.
Furthermore, B.Grimm Power is also committed to expediting its solar rooftop business in the country and overseas. The emphasis on solar rooftops is in response to greater awareness of clean energy use to address environmental issues. At this juncture, B.Grimm Power is committed to supporting and collaborating with organizations around
INDUSTRY COVER STORY RENEWABLE ENERGY B.GRIMM POWER
Amata B.Grimm Power plants in Rayong province, Thailand.
the world to increase the share of clean energy in the overall power portfolio to help alleviate global warming problems and achieve environmental sustainability
By expanding the renewable energy business to cover solar rooftops and floating solar, B.Grimm Power can offer a distribution and maintenance model to customers in an integrated and effective manner in order to address environmental issues. These factors provide a critical explanation as to why the company is proactively pursuing the solar rooftop business.
“The solar rooftop business model is in response to social and environmental needs as well as to help us to build long-term partnerships with customers. Today, the solar rooftop has made us more accessible and conveys a symbolic message for others to understand what it means to conduct business with compassion,” said Dr. Harald Link.
B.Grimm Power’s vision of “Empowering the world compassionately” has seen the company’s expansion accelerate into renewable energy with investments in solar, wind, and hydropower projects. Along with its decarbonization initiatives, impeccable safety record, and human rights advocacy across the entirety of its value chain, B.Grimm is a rare example of a company that matches its words with deeds.
With a strong foothold across priority locations around the world, business areas from which to expand its business, supported by excellent partners, the strategic initiatives of B.Grimm Power will empower the company to be a leading Utility Solution Provider and grow from strength to strength in the future.
Cambodia’s Ray Power Supply venture contributes to B.Grimm Power
Ray Power Supply Co., Ltd., a wholly-owned subsidiary of B.Grimm Solar Power 1 Co., Ltd., is a project company operating a 38MWp ground-mounted solar power facility in Banteay Meanchey Province, Cambodia. The project is a new addition to B.Grimm Power Public Company Limited’s power portfolio in 2020. B.Grimm Power, a company reputed to be Thailand’s
COVER STORY B.GRIMM POWER
leading industrial power producer, will seek to accomplish the strategic roadmap by continuing to embrace its traditional principles of conducting businesses with compassion.
B.Grimm Power is evolving to be a “Sustainable Utility Solution Provider” powered by reliable and clean energy sources, providing integrated services to meet changing customer needs, Dr. Harald Link, President of B.Grimm Power explained. B.Grimm Power will also continue to gear up business cooperation with congenial partners to further the company's synergies and growth prospects both at home and abroad.
Ray Power Supply’s power plant successfully achieved commercial operation on 15 December 2020 and began supplying electricity to state-run utility Electricite Du Cambodge (EDC)’s grid under a 20-year power purchase agreement. This indeed marks the first solar energy project in Cambodia to secure a firm power supply guarantee from the government. Furthermore, the project is Cambodia’s only solar power project which could be constructed and successfully achieved commercial operation in 2020.
Amidst numerous obstacles and difficulties in the development and construction of this project including the Covid-19 pandemic which had a direct adverse impact on labor arrangements and equipment logistics, as well as the devastating floods that seriously affected the construction sites throughout 2020, B.Grimm Power considered the development of this project as a great example of a diligent endeavor with a high degree of professionalism and perseverance of B.Grimm Power’s team spirit to overcome the various restrictions along the way.
In June 2022, the project successfully achieved a financial close of 15-year term financing from a syndicated group of Thai lenders consisting of KASIKORNBANK PLC, Export-Import Bank of Thailand, and Bangkok Bank PLC. The loan is a vote of confidence by preeminent Thai financial institutions in B.Grimm Power, especially at a time when fundraisings, in general, are significantly hampered by the effects of Covid-19 and global economic uncertainty. Ray Power Supply’s project development is pursuant to changing energy demand that has led various domestic and international organizations to come up with a policy toward reducing carbon dioxide in the long term and embracing renewable energy.
B.Grimm Power’s expanding solar power business is a concrete response to the adaptation of energy demand platforms as an increasing number of organizations,
INDUSTRY COVER STORY RENEWABLE ENERGY B.GRIMM POWER
particularly international ones, is turning to renewable energy as a means to reduce carbon dioxide emissions. This scheme also aligns with B.Grimm Power’s goal to rapidly enhance clean energy in its generation portfolio as well as fulfilling its mission of “Empowering the world compassionately.”
Currently, B.Grimm Power has a total of 56 power plants in commercial operation. The company aims to ramp up its total installed capacity from 3,058 MW at the end of 2020 to at least 7,200 MW of secured power purchase agreements by 2025, and further to 10,000 MW by 2030 with an annual revenue target of over 100 billion Baht. The company is also eyeing investment opportunities in Thailand, Asia, Europe, and the US as part of its move to become a leading global energy producer. More importantly, B.Grimm Power is moving strenuously towards realising net-zero carbon emissions by 2050.
Dr. Harald Link: Business must prosper together with society
Dr. Harald Link is the Chairman of B.Grimm Group and President of B.Grimm Power Public Co., Ltd. He is touted as one of Thailand’s foremost philanthropists. Like all his forefathers, Dr. Link believed that business must prosper together with the society that it operates. A good example is the B.Grimm Boworn Smart Village Project, a model village of sustainable development, covering a village, school, and temple in Aranyaprathet district, Sa Kaeo province. The project applies the sufficiency economy approach with the participation of the local people.
Education is always at the forefront of Dr. Link’s agenda, and in his capacity as Chairman of the Princess Mother’s Charities Fund of Thailand, he provides nursing scholarships to nursing colleges throughout the country. Vocational education is supported in the Chitralada Vocational School as well as in B.Grimm’s power plants by way of the dual vocational system.
Dr. Link has also ensured that B.Grimm continues to support the Little Scientists’ House of Thailand, one of the most successful education projects under the auspices of HRH Princess Maha Chakri Sirindhorn Foundation. The project is based on the curriculum developed by the Haus der Kleinen Forscher Foundation, Germany, which aims to instill a love of science learning in preschool children aged three-to-six years old. Since the project launched in
The installation of solar rooftops at B.Grimm Head Office is in response to greater awareness of clean energy use to address environmental issues
COVER STORY B.GRIMM POWER
2010, it has been taught in more than 22,000 kindergarten schools throughout Thailand. The natural environment is equally important as the social environment. Apart from its reforestation projects, B.Grimm plays a leading role in supporting WWF-Thailand’s ambitious “Save the Tigers” conservation programme. Dr. Link firmly believes that Thailand still has a chance to save its majestic tigers. He also believes that, with compassion, a business can exist in harmony with nature and community. Tigers are at the top of the food chain – one of the top predators that maintain the balance of the ecosystem. When the top species are endangered, the ecosystem in which they live is endangered as well. There are only approximately 150 tigers remaining in the wild in Thailand, so strong actions are needed to increase the population.
Art and culture are also areas of interest for the company. B.Grimm is one of the major supporters of the Royal Bangkok Symphony Orchestra (RBSO) under the Royal Patronage of HRH Princess Sirivannavari Nariratana Rajakanya. Presently, Dr. Link serves as the Chairman of the RBSO Foundation. He leads the foundation through its fourth decade with the mission to cultivate classical music for the younger generation and to make classical music accessible to all by empowering music education through the Royal Bangkok Symphony Music School (RBSS). Today, RBSO is one of the best orchestras in Southeast Asia and the orchestra provides a musical career to several outstanding musicians in the country.
For sports, Dr Link is not only a keen equestrian personally but also supports polo and equestrian sports in Thailand, elevating Thailand’s talents to world-class levels. In his role as the Chairman of the Thailand Equestrian Federation, Dr. Link gives full financial support to Thailand National Team riders. His proudest achievement came when the Thai Polo & Equestrian Club was selected by the International Federation for Equestrian Sports (FEI) to host the FEI Asian Championships, the first of its kind to take place in Asia, during 1-8 December 2019. Through his initiative, Thailand became the first country in Asia to host the Asian Championship. In 2021, with Dr. Link’s full support, Thailand made history by sending its first national equestrian team to the Tokyo Olympics.
There is no doubt that Dr. Harald Link embodies B.Grimm’s mission statement: “We remain committed to good governance and business responsibility for the economy, society, and the environment, with an important long-term goal to become a net-zero carbon emissions organization by 2050.”
editor@ifinancemag.com
