USAID PFAN-Asia Mobilizes US$12.6M for 9.5MW Biomass Project in Thailand
With support from USAID’s Private Financing Advisory Network-Asia (PFAN-Asia), Smo Thong Biomass Co. recently signed a MoU with a strategic equity investor for US$12.6M to develop a biomass power project based in Southern Thailand. The plant will use empty shells from palm oil production for fuel, transforming the organic waste into 9.5MW of renewable energy that will be sold to the Provincial Electricity Authority through a power purchase agreement. The project supports the government’s initiative to reduce reliance on fossil fuel imports, as well as avoid or reduce associated greenhouse gas emissions. Smo Thong was first introduced to PFAN-Asia at the Renewable Energy Asia event in Bangkok and was admitted to the program in July 2014. Following an investment readiness assessment, the project received further support in refining its financial model and, more recently, reviewing and structuring the first round of outside investment.