Corporate Presentation Thailand Focus 2016

Transcription

1 Corporate Presentation Thailand Focus th September

2 Thailand Power Industry Overview P.2 Company Overview P.7 Q Significant Events P.16 Project Update P.22 Financial Performance P.38 Key Takeaway P.54 2

3 Current Power Industry Structure in Thailand Click to edit Master title style EGAT and IPPs dominate electricity generation market, with the combined market share 83%. EGAT is the sole purchaser for almost all of the electricity generated, while VSPPs sell electricity directly to the MEA and PEA SPPs sell electricity to both EGAT and directly to industrial users Generation EGAT (40%) IPPs (38%) Imports (9%) SPPs (13%) VSPPs (<1%) Cogeneration Plant Transmission EGAT (99%) ERC (Regulator) Distribution MEA (30%) PEA (69%) Definition EGAT IPP SPP VSPP MEA PEA End User (99%) Provincial Electricity Authority 05/09/59 3 Source: EGAT, Company Electricity Generating Authority of Thailand Independent Power Producers Small Power Producers Very Small Power Producers Metropolitan Electricity Authority Industrial User (1%) 3 Thailand Power Industry Overview

4 Power Plant Definition and Revenue Structure Click to edit Master title style IPP SPP VSPP Independent Power Producer (IPP): A larger power producer who has electricity capacity more than 90 MW IPPs are obliged to sell their entire output to EGAT Small Power Producer (SPP): A small power producer who sell their electricity no more than or equal to 90 MW to EGAT SPP Type Firm : Contract Term > 5 Years Non-Firm : Contract Term <= 5 Years SPPs can sell their electricity and steam to industrial customers located next to the SPP plant Very Small Power Producer (VSPP): A very small generator whose power generating process is generated from renewable energy, specific fuels, and energy with no more than 10 MW of electricity capacity VSPPs are able to sell power to the Distribution Utility Availability Payment Availability % x Availability Payment Rate (APR) Energy Payment Energy cost regarding % Dispatch to EGAT Firm Non-Firm Electricity Steam EGAT (Power) Capacity Payment K factor (seasonal weight) Industrial Customers Energy Payment Energy Payment PEA tariff TOU Rate 4.2* Steam Base Cost x (Gas index + CPI index) Base Tariff Ft Feed in Tariff adder 05/09/59 4 * Reference rate with conditions 4 Thailand Power Industry Overview

5 Natural gas and Renewable will be major sources of fuel in Thailand in 2036, together accounted for over 70% Click to edit Master title style According to Thailand s Power Development Plan 2015 (PDP - by Energy Policy and Planning Office (EPPO), Ministry of Energy), power plant capacity in Thailand will generate 326,119 GWh of electrical energy by the end of 2036, which accounted for 2.6% CAGR Natural gas will still be a major source of fuel, accounted for 36.8% of total energy production Projected Electricity Generating by source of fuel (GWh) 350, , ,285 *Others 172 **Nuclear power 16,094 19,341 Total capacity 326,119 GWh 0.1% 4.9% 5.9% Others Nuclear power Lignite 250,000 *Others 54, % Coal 200, ,000 1,459 (0.8%) 20,183 (10.6%) 18,287 (9.6%) 28,175 (14.8%) Lignite Coal Import & Renewable 115, % Import 15% Renewable 20% 100,000 50, ,180 (64.2%) Natural gas 120, % 2036 Natural gas 05/09/59 5 Remark: *Others are Fuel oil, Diesel, Thai-Malaysian gas pipeline which account for less than 1% of total capacity, **New clear power is added into plan in 2035 with projected capacity of 8,024 GWh Source: Power Development Plant Energy Policy and Planning Office (EPPO), Ministry of Energy) 5 Thailand Power Industry Overview

6 80,000 Large opportunity for GPSC to tap in those expected capacity Click to edit Master title style Projected Power Plant Capacity by producer type (MW) 43,624 (100%) Total capacity 70,335 MW Thailand's power contract capacity during (new and retired) Unit: MW 60,000 40,000 20,000 3,387 (7.8%) 4,406 (10.1%) 5,519 (12.7%) 14,767 (33.8%) Imported VSPP SPP IPP 12,347 11,765 8,210 10, % Imported 16.7% VSPP 11.7% SPP 14.7% IPP 39.3% EGAT 43,624 (24,736) +51, , ,792 70,335 15,545 (35.6%) EGAT 27, % CAGR of the power generating capacity by producer type is expected in PDP 2015 By 2036, Imported & VSPP will increase its portion to 34.3% of the total generating capacity which is nearly to EGAT s at 39.3% During there is a large amount of new contract capacity at 20,655 MW for GPSC to tap in 2015 Retired capacity New capacity Total capacity /09/59 6 Source: Power Development Plant Energy Policy and Planning Office (EPPO), Ministry of Energy, as of June 20, Thailand Power Industry Overview

7 Thailand Industry Overview P.2 Company Overview P.7 Q Significant Events P.16 Project Update P.22 Financial Performance P.38 Key Takeaway P.54 7

8 1997 Introduction to GPSC, a PTT Group s Power Flagship GPSC, PTT Group s Power Flagship, has been founded to be the power flagship of PTT Group. In , PTT Group were restructured and transferred Power Assets to GPSC. The integration results in a total generating capacity of 1,851 MW of electricity; thereafter GPSC has acquired more to have 1,922 MW of committed electricity, 1,582 tons per hour of steam, 2,080 cubic meters per hour of processed water and 12,000 refrigeration tons of chilled water. GPSC aims to expand to reach secured capacity of 2,800 MW in 2019 KEY MILESTONES Established Sriracha Power Plant (700 MW, combine cycle plant) Established Rayong Power Plant (339 MW, steam plant) Consolidated all PTT s power asset under GPSC Transferred 8 PTT s power assets to GPSC Complete total electricity capacity of 1,922 MW 2019 Market Cap* USD 1.89 BN or 0.4% of SET PTT Group s Power Flagship, Listed on Stock Exchange of Thailand Global Small Cap Indexes Independent Power (Thailand) PTT Utility GPSC s Pre-listed Shareholding 56% 24% 24% 20% 60% 40% 30% 30% 28% 12% * Dated 29 August 2016 at USD/THB 35 8 Company Overview

9 Vision, Mission, and Goal GPSC s Shareholding Structure Vision Global Best Practice in Power Business Public 25.0% 22.7% Mission 8.9% 20.8% 22.6% Being Power Flagship of PTT Group to Develop, Invest and Operate in Power Business Domestically and Internationally Goal Aims to reach secured capacity of 2,800 MW in 2019 At least 10% Renewable of GPSC s Portfolio At least 30% International Assets in Portfolio Attain Top Quartile Performance through OEMS 9 Company Overview

10 Capacity BUSINESS PORTFOLIO GPSC s facilities produce electricity of 1,922 MW Combined Cycle / Cogeneration Renewable Energy Hydroelectric Other Businesses Electricity 1,517 MW Steam 1,582 T/H Industrial Water 2,080 Cu.m./H Chilled Water 12,000 RT ELECTRICITY 1,922 MW (operate 1,376 MW, under constriction 546 MW) Electricity 58 MW Electricity 347 MW 24M Technologies, Inc. (USA) Business Service Alliance Co.,Ltd. STEAM 1,582 T/H (operate 1,441 T/H) ELECTRICITY CAPACITY BREAKDOWN Unit: Megawatt Renew & Hydro 21% VSPP 0.003% INDUSTRIAL WATER 2,080 Cu.m./H CHILLED WATER 12,000 RT SPP 31% 1,922 MW IPP 48% IPP Independent Power Producers SPP Small Power Producers VSPP Very Small Power Producers 10 Company Overview

11 500 KV GPSC s Business Portfolio Combined Cycle / Cogeneration Renewable Energy Sriracha Power Plant (IPP) 100% Combined Heat and Power Producing (VSPP) 100% Thai Solar Renewable 40% (VSPP) Electricity: 700 MW Industrial water: 80 Cu.m./h Electricity: 5 MW Chilled water: 12,000 RT Electricity: 80 MW Rayong Power Plant (SPP Non-firm) 100% Nava Nakorn Electricity Generation (SPP Firm) 30% Ichinoseki Solar Power 99% CUP 1-3 Electricity: 339 MW Steam: 1,340 T/H Industrial water: 2,000 Cu.m./h CUP-4 (SCOD in Q1/2018) Electricity: 45 MW Steam: 70 T/h Electricity : 125 MW Steam: 30 T/h Bangpa-in Cogeneration (SPP Firm) Phase 1 Electricity: 117 MW Steam: 20 T/h 25% (SCOD in Q4/2017) Electricity: 20.8 MW CHPP Solar Cooperatives (VSPP) (SCOD in January 2017) Electricity: 5 MW 100% IRPC Clean Power (SPP Firm) 51% Total Electricity: 240 MW Steam: 300 T/h Phase 1 COD Electricity: 45 MW Steam: 170 T/h Phase 2 under construction (SCOD in June 2017) Phase 2 (SCOD in June 2017) Electricity: 117 MW Steam: 20 T/h Ratchaburi Power (IPP) 15% Electricity: 1,400 MW Hydroelectric Xayaburi Power (IPP) 25% (SCOD in October 2019) Electricity: 1,285 MW Business Service 25% Alliance 11 Other Businesses 24M Technologies 15.8% Nam Lik 1 Power 40% (SCOD in 2018) Electricity: 65 MW Project under construction Upcoming COD by 2017 Loei 2 (A.Tha Li) Company Overview 0

12 Majority of GPSC s revenue is from electricity, PTT Group is GPSC s major customer Q2/16 Revenue by product (THB million) Q2/16 Revenue by customer (THB million) Industrial water 1% Chilled water 1% Non PTT Group 7% Others 1% Steam 33% Total 5,553 Electricity (IPP) 28% EGAT 37% Total 5,553 PTT Group 55% Electricity (SPP+IUs) 37% Electricity and Steam are major source of GPSC s revenue, accounted for 98% of total revenue. Accounted for more than 50% of total revenue, PTT Group is the largest customer of GPSC in Q2/16. Remark: *Other customer is government complex. 12 Company Overview

13 Presently, GPSC s business portfolio is located in Thailand, Lao PDR and Japan 500 KV Project under construction Japan Ichinoseki Gas Power Plant Luangphabang Ayutthaya BIC-1 BIC-2* Hydro Power Plant Karnchanaburi TSR Ratchaburi RPCL Solar Power Plant Lao PDR Xayaburi Lao PDR Nam Lik 1 Suphanburi TSR Pathumthani NNEG Chonburi Sriracha Chanthaburi CHPP (Solar) Loei 2 (A.Tha Li) KM Vientiane Khon Kaen 4 Bangkok CHPP Rayong IRPC-CP Phase 1 CUP-1, 2, 3 IRPC-CP Phase 2* CUP-4* 13 Company Overview

14 GPSC will deliver outstanding growth during Power Secured Electricity MW Completed projects GPSC s Committed Capacity Unit: Equity MW Unit: Equity MW 38 1,338 1, CUP-4 1,530 1, Loei 2 (A.Tha Li) 500 KV Luangphabang 1,922 Vientiane (Solar) Khon Kaen 4 Steam Secured equity steam Completed projects KM Unit: T/h CUP-4 1, , , ,582 1, Company Overview

15 Summary of GPSC Power Plants Details Name Type Location Fuel Type Technology GPSC s share % Total capacity (MW) Equity capacity (MW) Steam (T/h) Industrial water (Cu.m/h) COD Tenure/ Expiry year Power Plant Portfolio with district cooling IN OPERATION Sriracha IPP Chonburi Natural gas Combined cycle 100% /2025 CUP-1 SPP Rayong Natural gas Cogeneration 100% / CUP-2 SPP Rayong Natural gas Cogeneration 100% / CUP-3 SPP Rayong Natural gas Cogeneration 100% / CHPP VSPP Rayong Natural gas Combined heat and power IRPC-CP Phase 1 SPP Rayong Natural gas Cogeneration 51% (Phase 1: 23 MW) TSR VSPP Suphanburi & Karnchanaburi 100% / /2040 Solar Solar 40% /2023 NNEG SPP Pathum-thani Natural gas Cogeneration 30% /2041 BIC-1 SPP Ayutthaya Natural gas Cogeneration 25% /2038 RPCL IPP Ratchaburi Natural gas Combined cycle 15% 1, /2033 UNDER CONSTRUCTION Total operating 1,376 1, ,080 CHPP (Solar) VSPP Chanthaburi Solar Solar 100% CUP-4 SPP Rayong Natural gas Cogeneration 100% ISP1 Solar Japan Solar Solar 99% /2037 IRPC-CP Phase 2 SPP Rayong Natural gas Cogeneration 51% (Phase 2: 99 MW) /2044 NL1PC Hydro Lao PDR Hydro Run-of-river 40% /2044 BIC-2 SPP Ayutthaya Natural gas Cogeneration 25% /2042 XPCL IPP Lao PDR Hydro Run-of-river 25% 1, /2048 Total under construction Total capacity 1,922 1,582 2, Company Overview

16 Thailand Industry Overview P.2 Company Overview P.7 Q Significant Events P.16 Project Update P.22 Financial Performance P.38 Key Takeaway P.54 16

17 Q Highlights Click to edit Master title style 11.8% committed CAGR In Q2/16, GPSC has been recognizing more revenue from the SPPs and will gain more revenue from the under construction power plants once completed. GPSC s existing committed projects will add 546 MW more to achieve 1,922 operating MW by 2019, marking 11.8% committed CAGR within 3 years. rowth THB 686 Million in profit Net profit of Q2/16 decreased by THB 185 million from Q1/16 mainly due to there was a dividend income amounting to THB 180 million from RPCL in Q1/16. However, GPSC achieved significant higher net profit in 1H2016 by THB 552 million or 55% from 1H2015 from production capacity expansion and plant optimization. rofit GPSC in SET50 Index ustainability ontrol NNEG COD as planned GPSC operates business following standards of corporate governance and fair disclosure of information contributing to the awards & recognitions received from the stakeholders including ESG100, Best CFO Awards, Investors Choice Award and currently was included in SET50. NNEG started COD on 3 June 2016 as planned with operating capacity of 125 MW and steam capacity at 30 T/h. GPSC s Management team ensure efficient project management and high competent staffs, both domestic and international projects in order to meet the construction schedule. 17 2Q 2016 Significant Events

18 THB / Share GPSC has been included in SET50 for 2H16 reflecting company s performance Click to edit Master GPSC s Stock title Price style (May 15 August 16) SET50/SET100 Index Calculated from the stock price of the top 50 and top 100 listed companies on SET in term of : Large market capitalization High liquidity High turnover Compliance with requirements regarding the shares distribution of minority shareholders (Free float 20%) Investors Choice Award (27 Jul 2016) Best CFO Award from IAA (15 Jul 2016) First trading Day (18 May 2015) Global Small Cap Indexes (30 Nov 2015) Included in SET100 (4 Jan 2016) ESG 100 (29 Apr 2016) Included in SET50 (4 Jul 2016) 20 May-15 Jun-15 Jul-15 Aug-15 Sep-15 Oct-15 Nov-15 Dec-15 Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16 IPO in May 2015, GPSC have been growing our business with continuously increased market capitalization. Starting from November 2015 where GPSC has been included in the Global standard, namely MSCI Index. GPSC was classified to be in SET100 in January 2016 and recently in July 2016 qualified as SET50. In April 2016, GPSC has been shortlisted in ESG 100 as one of 100 companies listed in SET with sustainable business by Thaipat Institute These are the results of confidence on GPSC performance from all stakeholders. 18 2Q 2016 Significant Events

19 GPSC s Awards and Recognitions Click to edit Master title style 15Jul16: SET congratulates GPSC on being listed in SET50 14Jul16: Best CFO award from IAA 27Jul16: Investors Choice Award from Thai Investor Association 29Apr16: Listed on 2016 ESG 100 Sustainable Business 19 2Q 2016 Significant Events

20 NNEG has started COD as planned with a promising revenue generating Click to edit Master title style Nava Nakorn Elecricity Generating Company Limited (NNEG) Pathumthani Province NNEG starts COD on 3 June 2016 as planned with operating capacity of 125 MW and steam capacity at 30 T/h In this Q2 2016, one month after COD, NNEG generates revenue from selling of electricity and steam account for 172 THB million GPSC recognized the profit per the shareholding percentage and presented as the shares of profit of the joint ventures in the statement of income NNCL 30% Shareholding 30% RATCH 40% 20 2Q 2016 Significant Events

21 2016 Interim dividend payout ratio is 43% of 1H/2016 net income Click to edit Master title style Unit: Baht per share Final Dividend Interim Dividend On 18 August 2016, BOD approved a resolution for the payment of interim dividend for 1H/2016. The dividend per share is 0.45 Baht which is higher than 2015 interim dividend, resulting from the better operating results. The Record Date will be on 1 September 2016 for the right to receive the dividend. The dividend payment date will be on 14 September The dividend will be paid from the tax exemption profit portion wherein individual shareholders shall not include as taxable income and not be entitled to a dividend tax credit. 13-Aug Feb Aug-16 Dividend from Year 2015 Operating performance Declaration Date Dividend from 1H/2016 Operating performance Dividend Policy : Minimum of 30% of net income according to a financial statement, after deductions of tax, reserve capital requirement (with additional conditions) Remark: *Dividend yield calculated from Accumulated dividend declared amounts for the last 12 months/stock closing price on the period end date 21 2Q 2016 Significant Events

22 Thailand Industry Overview P.2 Company Overview P.7 Q Significant Events P.16 Project Update P.22 Financial Performance P.38 Key Takeaway P.54 22

23 Kh 7 Committed Projects to operate by 2019 Click to edit Master title style GPSC s Management team ensure efficient project management and high competent staffs, both domestic and international projects in order to meet the construction schedule and COD according to predetermined schedule. L 99 GPSC s Committed Capacity Unit: Equity MW Capacity (Equity MW) 321 Loei 2 (A.Tha Li) 500 KV V Gas Power Plant CUP KM Hydro Power Plant Solar Power Plant Q3 5 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q Project Update

24 IRPC Clean Power Phase 2 (IRPC-CP Phase 2) Click to edit Master title style IRPC Clean Power Company Limited (IRPC-CP) In IRPC Industrial Zone at Choeng Noen, Rayong Province (118 Rai) Equity Investment 3,400 THB Million 49% Others % Progress 2Q16 86% 1Q16 77% Type SPP Cogeneration Capacity* Electricity: 240 MW Steam: T/H Customer* Electricity: EGAT 2x90 MW (25 years), IRPC 60 MW (27 years) Steam: IRPC T/H SCOD June, % GPSC Total Investment D/E 3:1 13,600 THB Million Progress update Phase 2 Under Construction Installed 2 units of Combustion Turbine Generator (CTG) Transmission line construction in progress Remark: *Include all capacity and customers of phase 1 and 2 24 Project Update

25 Bangpa-In Cogeneration Phase 2 (BIC-2) Click to edit Master title style Bangpa-In Cogeneration Company Limited (Phase 2) Ayutthaya Province Equity Investment 1,335 THB million 75% Others % Progress 2Q16 62% Type Gas-Fired Power Plant Capacity Electricity: 117 MW (gross) Steam: 20 T/h Customer Electricity: EGAT 90 MW (25 years), IUs 27 MW Steam: IUs 20 T/h SCOD June, % GPSC 1Q16 22% Total Investment D/E 3:1 5,340 THB Million Progress update EIA has been approved BOI has been approved Commenced construction in February 2015 Power and steam sales is under negotiation with IUs within industrial estates The installation of the main equipment is in process Shareholding IEAT 8% Others 2% 25% CK Power 65% 25 Project Update

26 Ichinoseki Solar Power (ISP1) Click to edit Master title style Ichinoseki Solar Power (ISP1) Ichinoseki City, Japan Equity Investment ~2,080 YEN Million 1% Others % Progress Site preparation Type Solar Capacity Electricity: 20.8 MW Customer Tohoku Electric Power (20 years) 99% GPSC 2Q16 57% 1Q16 33% SCOD Total Investment D/E 4:1 Q42017 ~10,000 JPY million Progress update PPA contract with Tohoku Electric Power Company is concluded; secured FiT at 42 JPY/kWh (exclude tax) for 20 years EPC contracts and Facility agreement have been executed Installation will start in Q3/2016 Finalized loan agreement and ready to start drawdown the loan GPSC first international project to COD in % Shareholding GA 1% 26 Project Update

27 Nam Lik 1 Power Company Limited (NL1PC) Click to edit Master title style Nam Lik 1 Power Company Limited (NL1PC) Lao PDR Equity Investment ~37 USD Million % Progress Type Run-of-River Hydropower Capacity Electricity: 65 MW Customer Electricity: EDL 63.8 MW (30 years PPA) SCOD % Others 2Q16 44% 1Q16 40% Total Investment D/E 7:3 ~123 USD Million 40% GPSC Progress update The construction works for the period were related powerhouse dam, diversion tunnel, 115kv transmission line The constructor is preparing to continue the work after rainy season POSCO 10% Shareholding EDL 10% 40% Hydro Eng 40% 27 Project Update

28 Central Utility Plant Project 4: Phase 1 (CUP-4 Ph1) Click to edit Master title style Central Utility Plant Project 4 (CUP-4) PTT s WEcoZi, Asia Industrial Estate (AIE) Rayong Province Equity Investment <4,000 THB Million 100% GPSC Type Gas-fired Cogeneration Power Plant/Utilities Capacity Electricity: 390 MW (Phase 1: 45 MW) Steam: 900 T/H (Phase 1: 70 T/H) Customer Electricity: IUs 30 MW Electricity: Non-firm SPP 10 MW Steam: IUs 70 T/H SCOD Q12018 Progress update Currently, conducting on ITB-GTG, ITB-EPC Plan to award EPC in Q Plan to start construction in later Q Project Update

29 Xayaburi Power Company Limited (XPCL) Click to edit Master title style Loei 2 (A.Tha Li) 500 KV KM Luangphabang Vientiane Khon Kaen 4 Equity Investment 28,821 THB Million Others GPSC 75% 25% 500 KV % Progress Loei 2 (A.Tha Li) 2Q16 Shareholder Loan 67% 17,241 THB Million 1Q16 61% 86% 14% KM Luangphabang Xayaburi Power Company Limited (XPCL) Xayaburi, Lao PDR Type Vientiane Run-of-River Hydropower Capacity Electricity: 1,285 MW Customer Electricity: EGAT 1,220 MW Khon Kaen 4 (31 years), EDL 60 MW (31 years) SCOD October, 2019 Total Investment D/E 3:1 136,751 THB Million Progress update Concrete work at intermediate bock, powerhouse and Fish Ladder can continue with no interruption Hydro-Mechanical work and Electro-Mechanical work progressed as plan Erection of 500kV transmission line tower at section 2-3 work progressed as plan EGCO 12.5% Shareholding PT BEM 5% 7.5% EDL 20% 25% CKP 30% 29 Project Update

30 XPCL receives subsidies from Lao PDR s Government to compensate for higher cost for environmental concerns Click to edit Master title style Fish passing facilities Powerhouse concrete work Xayaburi Power Company Limited (XPCL) Xayaburi, Lao PDR 500 KV Luangphabang Vientiane The additional Loei 2 requirements from Lao PDR s Government upon an environmental (A.Tha Li) concerns in constructing XPCL power plant has caused an incremental construction costs. Therefore, the Government granted XPCL the compensations Khon which Kaen 4are: Decrease of corporate income tax Decrease of royalty fee Extend concession period for another 2 years (after COD date); Total 31 years KM EGCO 12.5% Shareholding PT BEM 5% 7.5% 25% EDL 20% CKP 30% 30 Project Update

31 Click to edit Master title style Area 65 rai CHPP Solar Cooperatives CHPP Solar Cooperatives Chanthaburi Province Type Solar Capacity Electricity: 5 MW Customer PEA SCOD December, 2016 Total Investment 244 THB million Contract FiT THB 5.66/unit 25 years End 2041 Progress update Shareholding The project is awarding for the Engineering Procurement and Construction (EPC) contract Project finance on progress 100% 31 Project Update

32 24M Technologies, Inc. (24M) Click to edit Master title style 24M Technologies, Inc. (24M) Cambridge, Massachusetts (MA), USA Business Lithium Ion Battery (LFP) technology Application Energy Storage System (ESS) Status Series C Next Step Total Investment High Volume Manufacturing ~21.67 USD million* Progress update The 1st generation battery chemistry has already done and Lithium-ion battery cell development was satisfied The company has signed an MOU with NEC Energy Solutions (NECES) to supply Semisolid Lithium-Ion battery to NECES energy storage system Currently, 24M is working on the development of High Volume Manufacturing production line Proven technology from many awards and funding from the U.S. government During 2H2016, 24M has received many awards and recognition from the industry including: 2016 Energy Innovation Pioneers : CERAWEEK, IHS Energy 2016 New Energy Pioneers : Future of Energy Summit, Bloomberg New Energy Finance Listed in 50 Smartest Companies 2016 : MIT Technology Review Technology Pioneers 2016 : World Economic Forum The United States Advanced Battery Consortium LLC (USABC) has announced the award of a $7 million contract to 24M, to leverage its breakthrough cell design and manufacturing process to deliver lower cost, automotive lithium-ion batteries, demonstrating their potential for mass production. Others 85% Shareholding 15% Remark: *GPSC acquired preferred stock from 24M Technologies at 15 MN USD as of July, 2014 (doesn t include project investment) and further invested in Series C for 6.67 MN USD in May Project Update

33 Growth Strategy Click to edit Master title style Growth on Equity MW GPSC s Target Growth Unit: Secured MW 1,922 Growth along with PTT Group CUP-4 and Expansion Growth domestically and internationally along with upstream and downstream business of PTT Group Focus on SPP and Cogeneration as utilities provider along with PTT group presence Biomass WTE Quick Win Solar M&A Renewable business Acquisition of operating/ under-construction assets Coal Big Win International Gas Investment in international mega projects Adjacent & Support Opportunities 2016 ESCO 24m Operation and Maintenance services Transmission and Distribution business Energy Storage technology 33 Project Update

34 Target 10% of Renewable energy and 30% of International projects in 2019 GPSC s Portfolio Click to edit Master title style 2016 Committed Portfolio (MW) 2019 Committed Portfolio (MW) Hydro 18% Solar 3% Total 1,922MW Biomass 2% Waste to energy 1% Other Renew 2% Solar 5% Hydro 12% Coal 12% Total 2,800 MW Natural gas 66% Natural gas 79% International 30% GPSC target s Total Renewable capacity 10% of 2,800 MW lead to investment plan in various type in Renewable projects approx. 200~300 MW in both domestic and international GPSC target s International Portfolio 30% of 2,80 MW lead to investment plan in various type in both Conventional and Renewable projects approx. 850 MW Total 2,800 MW Domestic 70% 34 Project Update

35 Strategic Country Selection Click to edit Master title style Laos Battery of ASEAN Myanmar Gas to Power Investment focus: Hydro power plant GPSC focus: Control committed project to achieve schedule Investment focus: Conventional Power Plant Indonesia PTT s footprint GPSC focus: Synergy with PTT Upstream Business PTT has already invested in two coal mines in Indonesia GSPC will take this opportunity to explore other energy investments through the connection and local accessibility. Investment focus: Both conventional and renewable energy sources are promoted Transmission Line GPSC focus: Synergy with PTT Upstream business (NG) It allies with Myanmar s government to explore other forms of energy production Japan Keeps expanding Investment focus: Solar power plant Other renewable power plant GPSC focus: Control committed project to achieve in both budget and timeframe. Expand investment solar business 35 Project Update

36 Future project: Waste Management Project Click to edit Master title style Waste Management Project Rayong Province Type RDF Waste to energy Power Plant Capacity Treat MSW at least 500 ton/day Electricity 8 MW Customer RDF Power Plant/ Cement Plant PEA SCOD Total Investment Contract ~600 Million THB ~1600 Million THB Waste Management Contract between GPSC & Rayong PAO (Secure feedstock) PPA under Feed-in-tariff scheme Progress update Shareholding Under the Public and Private Partnership (PPP), the Waste Management Contract is being proved by the Attorney General Thailand During process of apply PPA under Feed-in-tariff scheme ESA/CoP has been finished Completed Basic Engineering Design Package (BED) Construction of RDF Plant will start within Q4/2016 and power plant within % Remark: MSW = Municipal Solid Waste PAO = Provincial Administrative Organization 36 Project Update

37 Future project: No significant update due to the restructuring of Ministry. However, GPSC carefully monitors new energy policies to assess projects development Click to edit Master title style Project Project Project Thanlyin Project Myeik Project Ayeyarwady Project Location Type Yangon Region, Myanmar Combined Cycle Gas Turbine Capacity Approx. 400 MW (Phase 1: approx. 140MW) Customer MEPE SCOD 2020 Status FSR Clarification Location Type Capacity Tanintharyi Region, Myanmar Coal-Fired Power Plant 2,500 MW Customer MEPE EGAT SCOD Status FSR Clarification Location Type Capacity Ayeyarwady Region, Myanmar Combined Cycle Gas Turbine Approx. 500 MW Customer MEPE SCOD 2020 Status Negotiating MOA 37 Project Update

38 Thailand Industry Overview P.2 Company Overview P.7 Q Significant Events P.16 Project Update P.22 Financial Performance P.38 Key Takeaway P.54 38

39 Q2/16 Revenue of THB 5,553 million, increased 1% QoQ Click to edit Master title style Quarterly revenue (THB million) -16% YoY -15% Q2/16 VS Q1/16 (QoQ) Operating revenue in Q2/16 increased by THB 69 million or 1%. The increase were mainly caused by higher sales volume from the company s operating power plants. 6,584 2% 23% 28% 4,629 3% 30% 4,802 2% 31% +1% QoQ 5,484 5,553 2% 2% 31% 33% 13,012 2% 24% 28% 11,037 2% 32% Industrial + Chilled water Steam Q2/16 VS Q2/15 (YoY) Operating revenue in Q2/16 decreased by THB 1,031 million or 16%. The decrease was due to the decline in revenue from Energy Payment (EP), from the lower sales volume of Sriracha plant and the lower sales price due to the reduction of Ft. 1H16 VS 1H15 47% 34% 36% 38% 37% 46% 37% Electricity (SPP) Operating revenue in 1H16 decreased by THB 1,975 million or 15% from lower sales volume to EGAT of Sriracha plant and the declining in the sales price followed the reduction in gas price. 33% 31% 29% 28% 29% Electricity (IPP) Q2/15 Q3/15 Q4/15 Q1/16 Q2/16 1H15 1H16 05/09/59 Remark: *Revenue from Electricity (IPP) includes income from electricity sales and finance lease. 39 Financial Performance

40 Click to edit Master title style Quarterly revenue & gross profit margin (THB million, %) 9% 4% Sriracha plant revenue breakdown & GPM (1/3) 9% 10% 11% 8% 11% Q2/16 VS Q1/16 (QoQ) Total revenue in Q2/16 decreased by THB 51 million or 3% due to lower selling price resulted from lower gas price than in Q1/16. Gross profit increased by THB 14 million or 9% due to higher availability rate, weight factor and sales volume. 3, % -49% YoY -3% QoQ 1,545 1,511 1,609 1,558 1% 1% 1% 5, % -47% 3,167 1% Industrial water Q2/16 VS Q2/15 (YoY) Total revenue in Q2/16 decreased by THB 1,514 million or 49% from lower sales volume per EGAT s dispatch instruction and the lower sales price due to reduction of gas price. Gross profit also decreased by THB 95 million or 35% due to the lower sales volume per EGAT s dispatch instructions. However, gross profit margin increased by 2% because of the lower variable maintenance cost by the decreases in the production volume. 99% 99% 100% 99% Q2/15 Q3/15 Q4/15 Q1/16 Q2/16 1H15 99% 1H16 Electricity 1H16 VS 1H15 Total revenue in 1H16 decreased by THB 2,810 million or 47% because of lower dispatch and sales prices. Gross profit margin increased by 3% resulted from the lower maintenance cost caused by the lower production volume. 05/09/59 Remark: *Revenue from Electricity (IPP) includes income from electricity sales and finance lease. 40 Financial Performance

41 Click to edit Master title style Quarterly Availability Payment Rate (%) 96% Sriracha Power Plant (IPP): Power (2/3) Combustion inspection & Reserved shutdown 88% 100% 99% 100% 97% 99% Availability rate Q2/16 VS Q1/16 (QoQ) Availability payment rate in Q2/16 increased to almost 100% thanks to an improvement in plant management. Revenue from Availability Payment (AP) in Q2/16 increased by THB 10 million or 7% from higher weight factor, mainly affected by the increase in demand of power consumption in Q2/16. Q2/15 Q3/15 Q4/15 Q1/16 Q2/16 1H15 Quarterly revenue from Availability Payment (AP) (THB million) % YoY % QoQ % 1H Availability Payment (AP) Q2/16 VS Q2/15 (YoY) Availability payment rate in Q2/16 increased by 4% from Q2/15 when there was scheduled plant shutdown for inspection. Revenue from Availability payment decreased by THB 48 million or 25% due to the lower weight factor in 2016 than in H16 VS 1H15 Availability payment rate in 1H16 increased by 2% from higher reserved capacity for EGAT. However, revenue from AP decreased by THB 31 million or 10% resulted from the lower weight factor in 2016 than in Q2/15 Q3/15 Q4/15 Q1/16 Q2/16 1H15 1H16 05/09/59 41 Financial Performance

42 Click to edit Master title style Quarterly average sales price & dispatch (Baht/kWh, GWh) ,276 2,686 Sriracha Power Plant (IPP): Power (3/3) Combustion inspection & Reserved shutdown Q2/15 Q3/15 Q4/15 Q1/16 Q2/16 Quarterly revenue from Energy payment (EP) (THB million) -54% YoY % QoQ ,291 1,225 1,296 1,237 Q2/15 Q3/15 Q4/15 Q1/16 Q2/ ,360 1H15 5,276 1H15-52% ,242 1H16 2,533 1H16 Average sales price Dispatch Energy Payment (EP) Q2/16 VS Q1/16 (QoQ) Q1/16 VS Q4/15 (QoQ) Average sales price in Q2/16 decreased by 0.20 In Baht Q1/16, per kwh, the from average the lowering sales price of gas decreased price. from In Q2/16, 2.50 dispatch Baht to volume 2.38 Baht, increased resulted by 32 from GWha drop or 5% in because natural of gas the price. higher submitted electricity Nevertheless, volume per EGAT s revenue instruction. from EP increased by THB Revenue from Energy Payment (EP) decreased by 71 million or 6% as a result of higher dispatch, THB 59 million or 5% from reduction of gas price. for 72 Gigawatt-Hours, submitted to EGAT than in Q2/16 Q4/15. VS Q2/15 (YoY) Average sales price in Q2/16 decreased by 0.09 Q1/16 Baht VS per Q1/15 kwh or (YoY) 4% from Q2/15 from the lower Revenue gas price. from EP decreased by THB 1,294 Dispatch volume also significantly decreased by million or 50% mainly due to a decrease in 636 GWh or 50% resulted from the decrease in average sales volumes sales per price EGAT s which instruction. was in line with a decline As a result, in natural revenue gas from price EP and decreased a lower dispatch by THB to 1,449 EGAT million for or 54%. 480 Gigawatt-Hours as EGAT s dispatch instruction. 1H16 VS 1H15 Average sales price in 1H16 decreased by 0.11 Baht per kwh or 4%, resulted from the decrease in gas price. Also, dispatch volume dramatically decreased by 1,118 GWh or 47%. Revenue from EP in 1H16 decreased by THB 2,743 million or 52% from lower sales price and sales volume. 05/09/59 42 Financial Performance

43 Click to edit Master title style Quarterly revenue & gross profit margin (THB million, %) 20% 20% 17% Rayong plant revenue breakdown & GPM (1/3) -0% YoY 25% 26% +4% QoQ 20% -2% 26% Q2/16 VS Q1/16 (QoQ) Total revenue in Q2/16 increased by THB 121 million or 4% from higher sales volume from the increases in the demands Also, gross profit increased by THB 50 million or 6% and GPM increased by 1% due to higher sales volume. 3,462 2% 44% 3,034 2,979 2% 2% 46% 46% 3,325 2% 45% 3,446 2% 46% 6,942 2% 45% 6,771 2% 45% Industrial water Steam Q2/16 VS Q2/15 (YoY) Total revenue in Q2/16 slightly decreased by THB 16 million or 0.5% from a decrease in the sales price of both electricity and steam caused by the drop in Ft rate and natural gas price. However, gross profit in Q2/16 increased by THB 189 million or 27% and GPM increased by 6% 54% 52% 52% 53% 52% 53% 53% Electricity 1H16 VS 1H15 Total revenue in 1H16 decreased by THB 171 million or 2% from a decrease in the sales price from the reduction in Ft rate and natural gas price. Gross profit significantly increased by THB 337 million or 24% and GPM increased by 6% because of the increase in the sales volume and better cost management. Q2/15 Q3/15 Q4/15 Q1/16 Q2/16 1H15 1H16 05/09/59 Remark: *Revenue from Electricity (IPP) includes income from electricity sales and finance lease. 43 Financial Performance

44 Click to edit Master title style Quarterly power sales volume (GWh) 566 Rayong Power Plant (SPP): Power (2/3) Customers maintenance shutdown % YoY % QoQ 624 1,107 +8% 1,19 7 Q2/16 VS Q1/16 (QoQ) Volume : increased by 51 GWh or 9% due to higher demands from EGAT and one customer started commissioning in Feb Price : decreased by 0.20 Baht per kwh or 6% due to the decreases in Ft rate and natural gas price. Q2/15 Q3/15 Q4/15 Q1/16 Q2/16 Quarterly average sales price & Ft rate (THB/kWh, THB) 1H15 1H16 Q2/16 VS Q2/15 (YoY) Volume : increased by 58 GWh or 10% resulted from higher demands from customers following the growth of the economy and warmer climate. Price : decreased by 0.39 Baht per kwh or 12% due to the decreases in Ft rate and natural gas price Average sales price 1H16 VS 1H15 Volume : increased by 90 GWh or 8% from higher demands from existing and new customers while there was power plant shutdown for inspection in Q1/15. Price : decreased by 0.34 Baht per kwh or 10% due to the decreases in Ft rate and natural gas price Ft rate Q2/15 Q3/15 Q4/15 Q1/16 Q2/16 1H15 1H16 05/09/59 44 Financial Performance

45 Click to edit Master title style Quarterly steam sales volume ( 000 tons) 1,254 Rayong Power Plant (SPP): Steam (3/3) 1, % YoY 1,198 1, % QoQ 1,475 2, % 2,795 Q2/16 VS Q1/16 (QoQ) Volume : increased by 155 thousand tons or 12% in Q2/16 resulted from higher demands from existing customer who started commissioning in Feb Price : decreased by 56 Baht per ton or 5% in Q2/16 due to the decreases in natural gas price. Q2/15 Q3/15 Q4/15 Q1/16 Q2/16 1H15 1H16 Quarterly average sales price & average natural gas price (THB/ton, THB/MMBTU) Q2/16 VS Q2/15 (YoY) Volume : increased by 221 thousand tons or 18% from higher demands from customers since there was no customer s plant shutdown and full operation after commissioning. Price : decreased by 153 Baht per ton or 13% due to the decrease in natural gas price. 1,218 1,242 1,154 1,121 1,065 1,251 1,092 Average sales price 1H16 VS 1H15 Volume : increased by 308 thousand tons or 12% in 1H16 resulted from higher demands from the existing and new customers. Price : decreased by 159 Baht per ton or 13% following the decrease in natural gas price Average natural gas price Q2/15 Q3/15 Q4/15 Q1/16 Q2/16 1H15 1H16 05/09/59 45 Financial Performance

46 Decrease in cost of sales and services YoY mainly from lower gas price and plant optimization Click to edit Master title style Quarterly cost of sales and services* (THB million) -22% Q2/16 VS Q1/16 (QoQ) Cost of sales and services in Q2/16 was approximately the same as in Q1/16. While the sales volume increased sharply, Rayong plant was able to manage the production cost to be relatively the same as in Q1/16 5,584 2% 4% 4% 44% 46% -23% YoY + 0% QoQ 4,296 4,302 4,068 3% 3,930 3% 4% 4% 4% 3% 6% 5% 5% 5% 6% 6% 54% 55% 57% 60% 32% 30% 30% 28% 11,084 2% 4% 4% 44% 46% 8,598 3% 4% 5% 59% 29% Others Maintenance fee Other raw materials Natural gas (SPP) Natural gas (IPP) Q2/16 VS Q2/15 (YoY) When compared with Q2/15, cost of sales and services significantly decreased by THB 1,282 million or 23%. The decrease was caused by a drop in cost of raw materials from lower dispatch to EGAT and gas price together with the decrease in maintenance costs in line with the decrease in the sales volume. 1H16 VS 1H15 Cost of sales and services in 1H16 significantly decreased by THB 2,486 million or 22%. The decrease in natural gas price, following the declining of the oil price, is the main factor in the reduction reinforced with the reduces in the dispatch volume. Q2/15 Q3/15 Q4/15 Q1/16 Q2/16 1H15 1H16 05/09/59 Remark: *Cost of sales and services excludes depreciation and amortization expenses. 46 Financial Performance

47 Natural gas price and consumption Click to edit Master title style Apr-15 Quarterly natural gas consumption ( 000 MMBTU) vs. Monthly natural gas price (THB/MMBTU) Jun-16 8,944 Natural gas consumption Q IPP Q SPP 8,893 SPP* 247 W.A. 241 IPP 229 7,702 7,768 6,675 6,914 3,850 3,952 4,492 4,721 Q2/15 Q3/15 Q4/15 Q1/16 Q2/16 05/09/59 Remark: *SPP monthly price are weighted average of all natural gas types used in SPP plants IPP s natural gas price numbers shown are as of Mar Financial Performance

48 Gross profit improved 25% YoY, GPM improved to 23% from plant optimization and higher SPP s sales volume Click to edit Master title style Quarterly gross profit and gross profit margin* (THB million, %) 15% 15% 15% +25% YoY 22% 23% 15% +27% 22% 2,439 2% VSPP Q2/16 VS Q1/16 (QoQ) Gross profit in Q2/16 was THB 1,251 million increased by THB 63 million or 5%. This mainly due to the increase in sales volume from higher demand from the customers at Rayong and IRPC-CP Phase 1 plants Higher %GPM from higher K and weight factors during summer season. 1,000 2% 71% 27% 699 3% 88% 9% +5% QoQ 1,251 1,188 2% 2% 734 3% 84% 84% 78% 19% 14% 14% 1,928 2% 73% 25% 84% 14% SPP IPP Q2/16 VS Q2/15 (YoY) Compare with Q2/15, gross profit increased by THB 251 million or 25%. The increase was from more efficient production process from Rayong s plants optimization and the drop in maintenance costs. Moreover, the starting of IRPC-CP Phase 1 in Nov 2015 also enhance company s gross profit. 1H16 VS 1H15 Gross profit in 1H16 significantly increased by THB 511 million or 27%. The plant optimization and revenue recognition from the SPP power plants (higher margin) were the main contribution of the significant increase in the gross profit and GPM in 1H16. Q2/15 Q3/15 Q4/15 Q1/16 Q2/16 1H15 1H16 05/09/59 Remark: *Gross profit margin does not include depreciation and amortization expenses. 48 Financial Performance

49 Q2/16 EBITDA strongly increased by 23% YoY with better EBITDA margin of 19% Click to edit Master title style Quarterly EBITDA and EBITDA margin (THB million, %) 13% 12% 12% 19% 19% 13% 19% Q2/16 VS Q1/16 (QoQ) EBITDA in Q2/16 was THB 1,056 million increased by THB 17 million or 2% mainly due to the increase in sales volume % YoY +2% QoQ 1,039 1,056 1, % 2,095 Q2/16 VS Q2/15 (YoY) Compare with Q2/15, EBITDA showed a strongly increase by THB 197 million or 23%. The favorable outcome was mainly caused by the increase in sale volume from both existing and new power plants. together with the drop in production costs resulting from the plant optimization H16 VS 1H15 EBITDA in 1H16 significantly increased by THB 429 million or 26%. The increase was mainly caused by the lower cost of raw materials from the drop in natural gas price. Q2/15 Q3/15 Q4/15 Q1/16 Q2/16 1H15 1H16 05/09/59 49 Financial Performance

50 Click to edit Master title style Quarterly net profit and net profit margin (THB million, %) 7% Net profit for 1H16 for the company increased outstandingly from better operating results and dividend income 11% 7% 16% 13% 7% +55% 15% Q2/16 VS Q1/16 (QoQ) Net profit for the company in Q2/16 was THB 686 million decreased by THB 185 million or 21%. The decrease due to the fact that there was dividend income of THB 180 million from Ratchaburi Power Company Limited (RPCL) in Q1/ % YoY - 21% QoQ % % 13% % 51% % 34% 87% 11% 83% 38% 66% Q2/15 Q3/15 Q4/15 Q1/16 Q2/16 1,005 16% 84% 1H15 1,557 12% 11% 77% 1H16 Dividend income Share of profit of associates and joint ventures Earnings from operation of the company and subsidiaries Q2/16 VS Q2/15 (YoY) Net profit for the company increased by THB 212 million or 45%. The increase was due to increase in demand of electricity and steam consumptions from the existing and new customers, and better cost management from the plant optimization. 1H16 VS 1H15 Net profit in 1H16 significantly increased by THB 552 million or 55%. The increase in the net profit came from 2 parts: Increase in earnings from operation from production capacity expansion and optimization of production process. Dividend income increase from Ratchaburi Power Company Limited (RPCL) for THB 180 million during Q1/16. 05/09/59 50 Financial Performance

51 Click to edit Master title style Total Assets (THB million) Summary of financial position of GPSC and its subsidiaries Total Liabilities & Shareholders equity (THB million) +3% +3% Current assets 28% 55,983 15,784 57,415 14,514 25% 5% 27% 55,983 2,958 14,989 57,415 2,923 15,503 5% Other current liabilities 27% Long-term borrowing Investment in associates jointly ventures and other long term investments 15% 8,278 9,104 16% 2% 1% Other non-current liabilities Property, plant and equipment 42% 23,467 25,549 44% 66% 37,128 38,209 67% Equity Finance lease receivable 12% Other non-current assets 3% 6,929 6,672 12% 3% 31 Dec Jun Dec Jun 16 Total assets were THB 57,415 million, increased by 3% from THB 55,983 million. The increase was mainly from increases in investments from the better operating result of the associates and JV and increase in assets under constructions of IRPC- CP Phase 2. Total liabilities were THB 19,206 million increased by THB 351 million or 2% mainly from the additional drawdowns of long-term loans for power plant constructions. Equity were THB 38,209 million increased by THB 1,082 million or 3% mainly from an increase in the unappropriated retained earnings and gains from translation of foreign currency. 05/09/59 51 Financial Performance

52 Click to edit Master title style Debt profile Well-managed debt profile and continuous deleveraging Debt repayment plan Total interest-bearing debt: THB 15,503 million Current portion of long-term loan 10% Jul 16- Jun 17 10% Current portion THB 1,595 million THB 100% Non-current portion of long-term loan 90% Jul 17-Jun 21 48% From Jun 21 42% By currency By maturity % to total interest-bearing debt All debt balance as at 30 June 2016 is in THB currency. 100% of total interest-bearing debt is long-term loan which includes 10% of current portion. Non-current portion of long-term debt equals to THB 13,908 million while current portion equals to THB 1,595 million. 48% of total interest-bearing debt will be repaid between July 2017 June /09/59 52 Financial Performance

53 Key financial ratios support GPSC s strong financial position Click to edit Master title style DSCR (Times) Total D/E and Net Debt/ Equity ratio (Times) Earning per share (EPS) (Baht/share) x 0.48x 0.50x 0.05x 0.09x 0.13x Q2/15 Q1/16 Q2/16 D/E ratio Net Debt/Equity ratio 2.75x* x 2.13x 1.76x Q2/15 Q1/16 Q2/ x* Q2/15 Q1/16 Q2/16 ROE (%) ROA (%) Book value per share (BVPS) (Baht/share) Q2/15 Q1/16 Q2/16 Q2/15 Q1/16 Q2/16 Q2/15 Q1/16 Q2/16 05/09/59 Remark: *D/E ratio of 2.75x and DSCR ratio of 1.05x are a maximum and minimum of financial covenant rate, respectively, according to the company s policy 53 Financial Performance

54 Thailand Industry Overview P.2 Company Overview P.7 Q Significant Events P.16 Project Update P.22 Financial Performance P.38 Key Takeaway P.54 54

55 Key Takeaway Click to edit Master title style GPSC is PTT Group s Power Flagship. GPSC s portfolio is mainly in Thailand (one of the current largest consumers), Laos PDR, and potential projects in Myanmar (the emerging and potential consumers of the region) 1 Reliability Efficiency Cost Conscious Maintain Business As Usual Portfolio Management Business Development 100% Owner full control NG Conventional power plant Operating asset Most of Revenue&NI of GPSC Most of manpower of GPSC Manage Project Management Portfolio Management 2 3 Active or Passive Control Various type of business Operating asset and under construction More importance impact in the future Balance Growth and Return to Investors Move New Project Initiatives Battery technology business platform Various type of business Key drive of business growth Need resource (Time, Money, Manpower) Expectation from stakeholder 55 Key Takeaway

56 THANK YOU Global Power Synergy Public Company Limited 555/2 Energy Complex, Building B Vibhavadi Rangsit Rd. Chatuchak, Bangkok IR Contact Sukittee Chaiyarak Pimploy Wichienprakarn Juthamas Singanurak ir@gpscgroup.com Tel , , Disclaimer The information contained here is being furnish on a confidential basis for discussion purposes only and only for the use of the recipient, and may be subject to completion or amendment through the delivery of additional documentation. Except as otherwise provided herein, this document does not constitute an offer to sell or purchase any security of engage in any transaction. The information contained herein has been obtained from sources that Global Power Synergy Public Company Limited ( GPSC ) considers to be reliable; however, GPSC makes no representation as to, and accepts no responsibility or liability for, the accuracy or completeness of the information contained herein. Any projections, valuations and statistical analyses contained herein have been provided to assist the recipient in the evaluation of the matters described herein; such projections, valuations and analyses may be based on subjective assessments and assumptions and may utilize one among alternative methodologies that produce differing results; accordingly, such projections, valuations and statistical analyses are not to be viewed as facts and should not be relied upon as an accurate representation of future events. The recipient should make an independent evaluation and judgement with respect to the matters contained herein. 56

57 Appendix Thailand Power Industry Overview o Government Policy & Key Power Authorities GPSC s Overview Other Countries Electricity Overview 57

58 Thai government policy advocates growth of energy and electricity sectors Ensure consistency and security of electricity and energy supply by seeking energy from neighboring countries Improve electricity and energy infrastructure to enhance competitiveness especially in transmission line in regional areas Diversify sources of energy, esp. the alternative energy such as clean coal, to maintain self-sufficiency Ensure price affordability to stabilize the energy sector and help end-consumers Energy policies is more environmentalconcerned, supported by the use of cleancoal energy and other non-fuel sources Promote research and development in energy sector, especially exploration of new energy sources and technologies Source:: Policy Announcement of Government and News, PYI Analysis 58

59 Roles and Authorities in Energy Sector in Thailand Ministry of Energy The most significant government energy authority in Thailand. MOE is responsible for energy policy-making as well as overseeing the government agents under related to energy and power industries Energy Policy and Planning Office (EPPO) Energy policy think-tank: Draft the PDP plan and other energy policies for the MOE Electricity Generating Authority of Thailand (EGAT) Single buyer of electricity: Responsible for electric power generation and transmission Purchase electricity and distribute to consumers Energy Regulatory Commission (ERC) (Independent body) Regulator of energy sector: Oversee the regulations about electricity systems of generation, transmission, distribution, and their system operator Metropolitan Electricity Authority (MEA) Metropolitan agent of EGAT: Purchase electricity and distribute to consumers in the Bangkok metropolitan areas Provincial Electricity Authority (PEA) Provincial agents of EGAT: Purchase electricity and distribute to consumers in each regions of Thailand 59

60 Thailand is the second largest electricity consumer in ASEAN, with energy consumption growth of 3.3% CAGR in next 20 years Thailand is the second largest consumer of electricity in ASEAN, second only to Indonesia. Considering GPSC profile, whose portfolio is mainly in Thailand, Laos PDR, and potential projects in Myanmar; the company is located in one of the current largest consumers (Thailand) as well as in the emerging and potential consumers of the region (Myanmar and Laos PDR) Electricity Consumption & Forecasted Energy Consumption Growth (CAGR ) (GWh) 5.3% 3.3% 2.7% 6.0% 4.1% 1.2% 4.8% 0.0% 8.0% 4.3% 188, , , ,000 62,000 45,000 10,000 3,000 3,000 3,000 Indonesia Thailand Malaysia Vietnam Philippines Singapore Myanmar Brunei Darussalam Cambodia Lao PDR Electricity Consumption (GWh) Energy Consumption Growth (%) Source: Electricity Consumption: South-East Asia Energy Data 2014, Enerdata Intelligence Energy Consumption Growth: Energy Outlook of Asia and the Pacific Report 2013, Asian Development Bank 60

61 Thailand's electricity consumption grows in tandem with economic growth Historically, Thailand s electricity power consumption has been driven by economic growth Thailand s GDP and Energy Consumption has expanded in tandem, it is forecasted that GDP will grow at 3% CAGR (2016 onwards) and Electricity Power Consumption will grow at 2% CAGR ( ). Given higher economic growth in the future, there will be higher demand for electricity in Thailand Thailand s historical and forecasted GDP (USD million) Thailand s Electricity Power Consumption (GWh) 500, , , , , , , , Actual 2016E Forecasted 2006 Actual 2036E Forecasted 100, , E 2018E E 2021E 2024E 2027E 2030E 2033E 2036E Source: Thailand s GDP and forecasted of GDP, World Bank; Thailand s electricity power consumption , Energy Policy and Planning Office (EPPO), Ministry of Energy); Forecasted of Electricity Consumption Power Development Plan, EPPO 61

62 Roles and Authorities in Energy Sector in Thailand Ministry of Energy The most significant government energy authority in Thailand. MOE is responsible for energy policy-making as well as overseeing the government agents under related to energy and power industries Energy Policy and Planning Office (EPPO) Energy policy think-tank: Draft the PDP plan and other energy policies for the MOE Electricity Generating Authority of Thailand (EGAT) Single buyer of electricity: Responsible for electric power generation and transmission Purchase electricity and distribute to consumers Energy Regulatory Commission (ERC) (Independent body) Regulator of energy sector: Oversee the regulations about electricity systems of generation, transmission, distribution, and their system operator Metropolitan Electricity Authority (MEA) Metropolitan agent of EGAT: Purchase electricity and distribute to consumers in the Bangkok metropolitan areas Provincial Electricity Authority (PEA) Provincial agents of EGAT: Purchase electricity and distribute to consumers in each regions of Thailand 62

63 Relationship among Energy Authorities Ministry of Energy (MOE) Ministry of Finance (MOF) Department of Mineral fuel Department of Energy Business Department of Alternative Energy Development and Efficiency Energy Policy and Planning Office (EPPO) State Own Enterprise (SOE) While PTT and EGAT are under Ministry of energy, MOF holds share in these organizations National Energy Policy Council (NEPC) President: Prime Minister Secretary: EPPO s Director Independent body Energy Regulatory Commission (ERC) PTT Public Company Limited Electricity Generating Authority of Thailand 63

64 Thai government policy advocates growth of energy and electricity sectors Ensure consistency and security of electricity and energy supply by seeking energy from neighboring countries Improve electricity and energy infrastructure to enhance competitiveness especially in transmission line in regional areas Diversify sources of energy, esp. the Ensure price affordability to stabilize the alternative energy such as clean coal, to energy sector and help end-consumers maintain self-sufficiency Energy policies is more environmentalconcerned, supported by the use of cleancoal energy and other non-fuel sources Promote research and development in energy sector, especially exploration of new energy sources and technologies Source:: Policy Announcement of Government and News, PYI Analysis 64

65 Thailand's power new capacity during Thailand's power retired capacity during Most of total new and retired power capacity during are from EGAT and IPP, respectively 6,011 6,133 EGAT IPP SPP VSPP Import Total New Capacity 57,459 MW 2,377 4, ,240 1,691 2, , , ,929 1, , , , ,250 3,420 2,250 2, , , ,339 3,381 2,823 2,808 1,849 1,861 1, , , ,022 1,044 1,055 2, , ,418 Unit: MW 3, , , ,310 1,265 1, (314) (748) (180) (874) (494) (748) (42) (916) (1,224) (185) (1,409) (1,258) (213) (213) (1,016) (1,102) (242) (150) (686) (680) (350) (41) (1,252) (1,077) (680) (1,730) (2,140) (5) (5) (576) (576) (713) (103) (2,041) (7) (2,624) (1,392) (126) (126) (40) (40) (1,025) (1,420) (2,080) (2,134) (21) (9) (2,089) (2,134) (1,046) (90) (948) (2,458) (670) (670) EGAT IPP SPP VSPP Import (236) (4,106) Unit: MW Total Retired Capacity 24,736 MW Source: Power Development Plant Energy Policy and Planning Office (EPPO), Ministry of Energy, as of June 20,

66 Appendix Thailand Power Industry Overview o Government Policy & Key Power Authorities GPSC s Overview Other Countries Electricity Overview 66

67 Pricing structure for each type of GPSC s power plant GPSC s Business Portfolio Luangphabang Pricing Structure Sriracha Rachaburi Power Xayaburi Power 700 MW 1,400 MW 1,285MW Loei 2 (A.Tha Li) 500 KV Vientiane IPP/Import = Availability Payment + Energy Payment Investment cost Equity Return Financing Cost Fix O&M Fuel Cost Variable O&M Khon Kaen 4 SPP (firm) = Capacity Payment + Energy Payment Nava Nakorn Electricity Generation 125 MW 30 T/h Bangpa-in Cogeneration Phase 1 : 117 MW Phase 2 : 117 MW 20 T/h 20 T/h IRPC Clean Power 240 MW 300 T/h KM Vary by type of fuel & Contract Period FX adjustment Vary by type of fuel Fuel adjustment Cogen (SPP non-firm) = K factor(seasonal weight) x EP CUP MW 1,410 T/h Cogen (Sell to IU) = Electricity + Steam Base Tariff (PEA : TOU 4.2) + Ft Cost Plus Basis Chantaburi s Shrimp Farmer Cooperative 5 MW Thai Solar Renewable 80 MW VSPP Renewable = Base tariff + Ft +Adder VSPP Renewable = FiT Japan : ISP MW Lao PDR : NL1PC 65 MW Renewable = FiT Renewable = Fixed Rate with escalation 67

68 Current Operating Asset (IPP): Sriracha Sriracha Power Plant Chonburi Province (40 Rai leasehold land) Type Combined cycle Capacity Electricity: 700 MW Industrial water: 80 Cu.m/h Customer Electricity: EGAT 700 MW Industrial water: Thaioil Power 50 Cu.m/h Supplier COD 2000 Natural Gas PTT Raw Water EASTW Power Back up EGAT and TP Shareholding Contract 25 Years End: % 68

69 CUP -1 CUP -2 CUP -3 Current Operating Asset (SPP): Rayong Central Utility Plant 1-3 (CUP1-3) Rayong Power Plant Rayong Province Type Cogeneration Capacity CUP-1 Electricity: 226 MW Steam: 890 T/h Industrial water: 720 Cu.m/h CUP-2 Cu.m/H Industrial water: 510 Cu.m/h CUP-3 Steam: 280 T/h Industrial water: 770 Cu.m/h Customer PTT Group Other IU Customers EGAT COD Shareholding 100% Contract CUP-1: years ++ CUP-2: 15 years ++ CUP-3: 15 years ++ 69

70 Current Operating Asset: Type Combined Heat and Power Producing Co., Ltd. Bangkok Province Combined heat and power with district cooling (VSPP) Capacity Electricity: 5 MW Chilled water: 12,000 RT Customer DAD 8,700 RT COD 2008 Electric Chiller Jan 1, 2009 Contract 30 Years End: 2038 Type Cogeneration (SPP) Capacity* Electricity: 240 MW Steam: T/h Customer* Electricity: EGAT 2x90 MW (25 years), IRPC 60 MW (27 years) Steam: IRPC T/h COD 2015 Contract IRPC Clean Power Company Limited (IRPC-CP Phase 1) Rayong Province (118 Rai) 25 Years End: 2040 Shareholding Shareholding 51% 100% IRPC 49% Remark: *Include all capacity and customer of Phase 1 and 2 70

71 Current Operating Asset: Thai Solar Renewable Company Limited Kanchanaburi and Suphanburi Province Nava Nakorn Elecricity Generating Company Limited (NNEG) Pathumthani Province Type Solar Type SPP Cogeneration Capacity Electricity: 80 MW Customer PEA COD Contract 10 Years End: 2023 Capacity Electricity: 125 MW Steam: 30 T/h Customer Electricity: EGAT 90 MW (25 years), IUs 35 MW Steam: IUs COD June, 2016 Contract 25 Years End: 2041 Shareholding Shareholding NNCL 30% 40% 30% Others 60% RATCH 40% 71

72 Current Operating Asset: Bangpa-in Cogeneration Company Limited Ayutthaya Province Ratchaburi Power Company Limited Ratchaburi Province Type Cogeneration (SPP) Type Combined Cycle (IPP) Capacity Electricity: 117 MW Steam: 5 T/h Customer Electricity: EGAT 90 MW, IUs 27 MW Steam: 5 T/h Capacity Electricity: 1,400 MW Customer EGAT COD Mar 2008 COD 28 Jun 2013 Contract 25 Years End: 2038 Contract 25 Years End: 2033 Shareholding IEAT 8% Others 2% Shareholding 15% 25% CK Power 65% Others 45% PIA 15% RATCH 25% 72