RATCH Group Successfully Obtains THB 5 Billion Loan for Green and Sustainable Business Expansion
RATCH Group, a leading player in the power sector, has announced ambitious plans to increase the share of electricity generated from renewable sources. According to Mr. Nitus Voraphonpiput, CEO of RATCH Group, the company aims to raise the current 27.5% to 30% by 2030 and further to 40% by 2035. This commitment extends beyond 2035, with a broader goal of achieving carbon neutrality by 2050.
To support this expansion, RATCH Group has secured a THB 5 billion (USD 140 million) Green and Sustainability Loan from Bank of Ayudhya (Krungsri). This financing, which falls under RATCH's Green Financing Framework, will accelerate investments in renewable energy projects and facilitate the company’s environmental, social, and governance (ESG) objectives.
The loan marks another significant milestone in advancing Thailand towards a more sustainable energy future. Krungsri, the lender, has demonstrated its commitment to delivering financial innovations that create lasting value for clients and society. In fact, Krungsri has already achieved its social and sustainable finance (SSF) portfolio target of 100 billion baht in 2024, three years ahead of schedule.
Krungsri served as the Sole Sustainability Structuring Advisor for this Green and Sustainability Loan. The collaboration between Krungsri and RATCH has been strong and consistent, dating back to the successful issuance of RATCH's inaugural Green Bond in 2020.
RATCH is actively exploring and evaluating innovative energy projects that can contribute to the energy transition and the goal of achieving net-zero greenhouse gas emissions. One such project is the Floating Solar project, developed by Ratch Pathana Energy, a subsidiary of RATCH Group, in partnership with Saha Group. With an installed capacity of 4.12 MW and commercial operation expected in Q2 2026, this project illustrates RATCH’s commitment to growing its renewable footprint, supporting clean energy use in Thailand’s industrial sector, and contributing to national Net Zero ambitions.
The collaboration between Krungsri and RATCH has driven positive impact and fostered sustainable growth at both national and regional levels. Krungsri President and Chief Executive Officer, Mr. Kenichi Yamato, expressed appreciation for supporting RATCH in securing their Green and Sustainability Loan.
RATCH Group's renewable energy goals align with Krungsri's more ambitious goal to expand their SSF portfolio to 250 billion baht by 2030. This shared commitment to sustainability underscores the potential for continued collaboration and innovation in the renewable energy sector.
Sources: [1] PR Newswire. (2022, March 29). RATCH Group Secures THB 5 Billion Green and Sustainability Loan from Krungsri. Retrieved from https://www.prnewswire.co.uk/news-releases/ratch-group-secures-thb-5-billion-green-and-sustainability-loan-from-krungsri-301510643.html
[2] Krungsri. (2022, March 29). Krungsri supports RATCH in securing THB 5 billion Green and Sustainability Loan. Retrieved from https://www.krungsri.com/en/about-us/news-and-events/krungsri-supports-ratch-in-securing-thb-5-billion-green-and-sustainability-loan
[3] The Nation Thailand. (2022, March 29). RATCH Group secures THB 5 billion Green and Sustainability Loan from Krungsri. Retrieved from https://www.nationthailand.com/business/40012141
[4] RATCH Group. (2022, March 29). RATCH Group and Saha Group to develop Floating Solar project in Thailand. Retrieved from https://www.ratchgroup.com/en/news-and-events/ratch-group-and-saha-group-to-develop-floating-solar-project-in-thailand
[5] Saha Group. (2022, March 29). Saha Group and Ratch Pathana Energy to develop Floating Solar project in Thailand. Retrieved from https://www.sahagroup.co.th/en/news-and-events/saha-group-and-ratch-pathana-energy-to-develop-floating-solar-project-in-thailand
- The finance sector is playing a crucial role in supporting the transition to renewable energy, as evidenced by RATCH Group's THB 5 billion Green and Sustainability Loan from Bank of Ayudhya (Krungsri), which falls under RATCH's Green Financing Framework.
- The international business community is increasingly focusing on environmental matters, with RATCH Group's renewable energy goals aligning with Krungsri's more ambitious goal to expand their SSF portfolio to 250 billion baht by 2030.
- The collaboration between RATCH Group and Krungsri extends beyond financial support, as they work together on innovative energy projects like the Floating Solar project, which aims to contribute to national Net Zero ambitions.
- In the realm of politics and business, sustainable growth and environmental conservation are gaining importance, as demonstrated by Krungsri's commitment to delivering financial innovations that foster value for clients and society, and RATCH Group's ambition to achieve carbon neutrality by 2050.
