Corporate Presentation August 2014

Transcription

1 Corporate Presentation August

2 This presentation was made from the analysis of reliable information in order to assist investment community to better understand the company's financial status and operation. It also supports the "Good Corporate Governance Project" of the Securities and Exchange Commission (SEC). However, the information within this presentation has been derived from the existing factors in the present time. Therefore, the forward-looking information on this presentation may not occur in the future if the aforementioned factors or situations are changed. Investors are, however, required to use their own discretion regarding the use of information contained in this presentation for any purpose. For further information, please contact Investor Relations Section of the Electricity Generating Public Company Limited (EGCO) at Tel: (662) or 2

3 Thailand Electricity s Overview EGCO Group s Overview Financial Performances 3

4 Regulators (ERC) Thailand Electricity s Overview EGCO Group s Overview Financial Performances EGAT Generators IPPs IMPORT SPPs VSPPs Transparent transfer pricing Transmission System Owner (TSOw) Single Buyer Transmission Network System Operator (NSO) MEA PEA END User Industrial User EGAT: Electricity Generating Authority of Thailand IPP: Independent Power Producer MEA: Metropolitan Electricity Authority SPP: Small Power Producer PEA: Provincial Electricity Authority VSPP: Very Small Power Producer ERC: Energy Regulatory Commission IMPORT: Purchasing from Laos & Malaysia Source: EPPO, ERC and EGAT 4

5 As of June 2014, Thailand s Power Installed Capacity was 34, MW. Classified by Producer Classified by Fuel type 1.8% 7.0% 10.3% 13.4% 43.0% 16.2% 39.6% 68.6% EGAT IPP SPP IMPORT NATURAL GAS HYDRO COAL OTHERS* EGAT : 14,708 MW SPP : 3,525 MW Natural Gas : 23,402 MW Coal : 4,609 MW Source: EGAT IPP : 13,542 MW Import : 2,404 MW Hydro : 5,541 MW *OTHERS = Fuel Oil, Diesel, Renewable Others* : 627 MW 5

6 MW 30,000 26, MW (April 23, 2014) 26, MW (May 16, 2013) 26, MW (June 3, 2014) 1.3% 25,000 20,000 15,000 Source: EGAT January Februaary March April May June July August September October November December

7 June 2014 (34,179 MW) Additional Capacity PDP 2010 R. 3 (54,005 MW) 2030 (65,547 MW)* 12% 10% 8% 6% 42% 16% 12% 41% 13% 44% 35% 13% 10% 18% 21% EGAT IPP SPP&VSPP Renewables Import *Note: The figure has been deducted by retried plants along the way. Source: EPPO, EGAT 7

8 Year EGAT IPP / Private Players SPP&VSPP Renewable Import Project MW Project MW Project MW Project MW Project MW 2012 Gheco-One Cogeneration Renewable Theun-Hin Boun Exp Cogeneration 1,186.0 Renewable 1, Wang Noi CC # GULF JP NS#1-2 1,600.0 Cogeneration Renewable Chana # North Bkk # GULF JP UT#1-2 1,600.0 Cogeneration Renewable Hong Sa # National Power # Cogeneration Renewable Hong Sa # New KEGCO (June) Lam Takhong # National Power # Cogeneration Renewable Mae Moh #4-7 Cogeneration Renewable Nam Ngiep (Replace 600MW) Sepien Coal Plant # 1_EGAT Cogeneration Renewable Xayaburi 1, Cogeneration 90.0 Renewable Bang Pakong # GULF JP Gas-fired Cogeneration Renewable Neighboring Bang Pakong # GULF JP Gas-fired Cogeneration Renewable Neighboring Coal Plant # 2_EGAT South BKK #1-2 1,800.0 GULF JP Gas-fired Cogeneration Renewable Neighboring South BKK # GULF JP Gas-fired Cogeneration Renewable Neighboring Bang Pakong # Coal Plant # 3_EGAT GULF JP Gas-fired Cogeneration Renewable Neighboring Bang Pakong # Bang Pakong # GULF JP Gas-fired Cogeneration Renewable Neighboring Nuclear # 1 1, Wang Noi # Cogeneration Renewable Neighboring Bangpakong # Nuclear # 2 1, Wang Noi # 2-3 1,800.0 Cogeneration 4.8 Renewable Neighboring Coal Plant # 4_EGAT Gas Turbine # South BKK # Renewable Neighboring Gas Plant # 1_EGAT Gas Turbine # Gas Plant # 2_EGAT Cogeneration 0.9 Renewable Neighboring Gas Turbine # ,401 10,700 6,476 8,981 6,572 Source: EPPO, EGAT 8

9 The National Energy Policy Council in the meeting on August 15, 2014 approved the outline for preparation the new 20-year PDP proposing by MOE. The final draft should be finished within three months. MOE has the policy to reduce the portion of gas-fired power plants as well as to increase the portion of coal-fired power plants. New PDP will be concerned on the energy security, the compliance with the energy conservation and renewable energy development, energy sustainability, cost effectiveness, fuel diversification and emission. 9

10 Thailand Electricity s Overview EGCO Group s Overview Financial Performances 10

11 As of March 21, 2014 EGAT 25.41% TEPCO 50% NDF* 50.11% NVDR 14.61% 10.43% TEPDIA 23.94% Others 49.89% Foreign Investors 20.88% Thai Investors 15.16% Mitsubishi 50% * Nuclear Damage Liability Facilitation Fund 11

12 BOD EGAT 4 seats TEPDIA 4 seats Independent Directors 6 seats President 1 seat 12

13 EGCO Group s business lines can be categorized into 3 business groups: Power Business To develop and acquire power plants with multiple fuel types. Service Business To provide operation, maintenance, engineering and construction services to power plants and other industries. Other Business To invest in water businesses that supply raw and tap water and the integrated energy business. 13

14 BLCP, Quezon, MPPCL NTPC (NT2), XPCL 8% 5% Rayong, KEGCO, GEC-GPG (KK2) EGCO Cogen, GEC-GCC, GEC-NKCC GEC-SCC, KN4, TJ Cogen, TP Cogen, SK Cogen 25% 63% GEC-GYG, Roi-Et Green, NED, SPP2 SPP3, SPP4, SPP5, GPS (#1-4), TWF, YEH, GIDEC, BRWF, CWF Natural Gas Coal Hydro Renewable 14

15 Currently, EGCO Group s portfolio comprises of 21 operating power plants, totaling contracted capacity 4, MWe. Power Plant IPPs Rayong Rayong Natural Gas Combined Cycle % 1, , Dec 94 Dec 14 Thermal Jun 96 Jun 16 KEGCO Nakhon Sri Thammarat Natural Gas % Combined Cycle Jun 96 Jun 16 GPG (Khaeng Khoi 2) Saraburi Natural Gas Combined Cycle 50.00% 1, May 07 / 1 Mar 08 May 32 / Mar 33 BLCP Rayong Coal Thermal 50.00% 1, Oct 06 / 1 Feb 07 Oct 31 / Feb 32 SPPs EGCO COGEN Rayong Natural Gas Cogeneration 80.00% Jan 03 Jan 24 ROI-ET GREEN Roi-Et Rice Husk Thermal 70.30% May 03 May 24 GEC-GCC Saraburi Natural Gas Cogeneration 50.00% Sep 98 Sep 19 GEC-NKCC Saraburi Natural Gas Cogeneration 50.00% Oct 00 Oct 21 GEC-SCC Samutprakarn Natural Gas Cogeneration 50.00% Sep 99 Sep 20 GEC-GYG Yala Parawood Thermal 50.00% Nov 06 Nov 31 Renewable NED Lopburi Solar PV Solar PP 33.33% Dec 11 Dec 21 SPP2 Saraburi Solar PV Solar PP % May 12 May 22 SPP3 Srisaket Solar PV Solar PP % Feb 12 Feb 22 SPP4 Srisaket/ Ubon-Ratchatani Solar PV Solar PP % Jan 12 Jan 22 SPP5 Roi-Et Solar PV Solar PP % Jun 12 Jun 22 GPS (Phase 1-4) Nakhon Sawan/Chai Nat Solar PV Solar PP 60.00% ,2,5 Mar 12 / 1 Feb 13 Mar 22 / Feb 23 TWF Chaiyaphum Wind Wind Turbine 90.00% Jul 13 Jul 23 Solarco Nakornpathom Solar PV Solar PP 49.00% Nov 13 / 16 Dec 13 Dec 23 Overseas Province/Country Fuel Type Plant Type Quezon Philippines Coal Thermal 98.00% May 00 Jun 25 NTPC (Nam Theun 2) Laos Hydro Hydro PP 35.00% 1, Apr 10 Apr 35 MPPCL Philiphines Coal Thermal 40.95% Jun/Dec 98 up to PPA EGCO Shares Contracted Capacity (MW) Total IPPs Total SPPs Total Renewable Total Overseas Total Operating Projects Attrib. Capacity (MWe) 3, , , Contract Years COD Expired 15

16 Currently, EGCO Group s portfolio consists of 4 under construction projects and 4 under development projects, totaling contracted capacity 1, MWe. Power Plant Province/Country Fuel Type Plant Type Under Construction EGCO Shares Contracted Capacity (MW) Attrib. Capacity (MWe) Contract Years COD Expired GIDEC Songkhla Waste Thermal 50.00% Oct 14 Jun 24 BRWF Australia Wind Wind Turbine % Feb 15 Feb 30 KN4 Nakorn Sri Thammarat Natural Gas Combined Cycle % Jun 16 Jun 41 XPCL Laos PDR Hydro Hydro PP 12.50% 1, Oct 19 Oct 48 Under Development Total Under Construction 1, CWF Chaiyaphum Wind Wind Turbine 90.00% Dec 16 Dec 41 TP Cogen Ratchaburi Natural Gas Cogeneration % Feb 17 Jun 41 SK Cogen Ratchaburi Natural Gas Cogeneration % Feb 17 Jun 41 TJ Cogen Pathumthani Natural Gas Cogeneration % Jun 17 Jun 42 Potential Project Total Under Development Quezon Expansion Project Philippines Coal Thermal 49.00% N/A Q3/2018 N/A Total Potential Project Total Under Construction, Under Development and Potential Projects 1,

17 EGCO Group s other business portfolio comprises of 6 companies: Company Business Type EGCO Engineering and Service Co., Ltd. (ESCO) O&M Pearl Energy Philippines Operating Inc. (PEPOI) O&M Quezon Management Services Inc. (QMS) Management Service Eastern Water Resources Development and Management Plc. (EASTW) Water Egcom Tara Co., Ltd. (Egcom Tara) Water Manambang Muara Enim Co., Ltd. (MME) Coal Mining 17

18 Under Construction Projects GIDEC BRWF KN4 XPCL (Waste) (Wind) (Gas) (Hydro) TP Cogen CWF (Gas) SBPL (Wind) SK Cogen (Coal) (Gas) Potential Project (Waiting for ERC s Approval) TJ Cogen Under Construction Projects (Gas) Under Development Projects Under Development Projects 18

19 6,000 5,500 5,000 4,500 4, : 1,232 MW SCC Conal - WMPC Conal SPPC AEP NMPC EGCO Cogen Roi-Et Green BLCP GYG KK2 Quezon NTPC NED SPP2-5 GPS TWF YEH GIDEC MPPCL CWF KN4 BRWF TJ Cogen TP Cogen SK Cocen SBPL XPCL 3,500 3,000 KEGCO GCC NKCC APB 2,500 2,000 1,500 Rayong 1, ,000-1, (10) (7) (42) (75) (29) (55) NMPC#1 Retired NMPC#2 Retired AEP (25), AEB (17) Divestment KEGCO Barge #1 Retired CONAL: WMPC (19), SPPC (10) Divestment (1,232) Rayong Retired (749) KEGCO (749) Retired GCC Retired 19

20 Domestic Prospects SPP Development Expand Renewable Energy Portfolio Import Power Projects Neighboring Country Projects International Prospects Quezon Expansion Project Renewable Energy Projects Acquisitions/New Greenfield Plant Bids 20

21 Thailand Electricity s Overview EGCO Group s Overview Financial Performances 21

22 Million Baht 3,000 2,471 2,500 1,623 Net Profit +848 MB or +52% ,000 1,500 1,000 2,110 MD&A +456 MB or +22% 2, Q2/2013 (restated) Q2/2014 Net Profit Before FX, DT& TFRIC FX Deferred Tax TFRIC4&12 22

23 Million Baht 3,000 2,566 2,500 2, , MD&A +456 or +22% 1,500 1,000 2,053 2, Q2/2013 (restated) Q2/2014 Power Generation Others 23

24 Million Baht 3,000 2,500 Increase in AP BLCP 207 KEGCO (126) GPG (17) Rayong (15) 2,418 2,404 2,566 2,566 2,000 1,500 1,000 2,110 2, Operating Performances QPL 220 North Pole (245) KEGCO 164 BLCP (83) NTPC 144 GPG (39) EGCO 113 ESCO (29) GEC-SPP 24 Roi ET (5) Rayong 3 EGCO Cogen (4) Egcom Tara 3 Others (8) MME 1 (14) 162 Construction & Development SBPL (6) GIDEC (5) BRWF (3) Solar & Wind YEH 144 NED 10 GPS 6 SPP5 3 TWF 1 SPP3 (2) Q2/2013 Q2/

25 Million Baht 5,300 4,800 4,300 3,800 3,300 2,800 2,300 1,800 1, , , M2013 (restated) Net Profit +940 MB or +23% MD&A +337 MB or 8% 4, ,435 6M2014 Net Profit Before FX, DT& TFRIC FX Deferred Tax TFRIC4&12 25

26 Unit: Million Baht Rayong 233 MB ET 72 MB, 1% ESCO 58 MB, 1% SPP 323 MB (GEC, EGCO Cogen, Roi-Et Green) 6% 4% BLCP 1,473 MB 27% NTPC 686 MB 13% GPG(KK2) 717 MB 13% 20% Quezon 1,084 MB (QPL,QMS,PEPOI) 15% Note: Excluding EGCO SOLAR & Wind 789 MB (GPS,SPP2-5,NED,YEH, Theppana) 26

27 Total Outstanding As of 31 Mar 2014 Total Outstanding As of 30 June 2014 AUD 122 M AUD 191 M USD 893 M USD 861 M JPY 210 M JPY 210 M THB 19,337 M THB 20,472 M Total Outstanding (Baht Equivalent) THB 52,106 M THB 54,498 M 27

28 Times (X) EGCO + Subsidiaries Unit: MB Debt 65,227 Equity 73, Debt Equity Debt 23,117 EGCO Unit: MB (Restate) 6M/2014 Equity 56,103 EGCO+Subsidiaries EGCO Debt Equity 28

29 Baht/Share 7.00 Second Payment Interim Payment Dividend Policy % of the consolidated net profit after tax Average Dividend Payout Ratio 42% ( ) 2013 Final Dividend Paid 3.25 Baht On May 2, 2014 * BOD at the meeting on August 23, 2014 approved the interim dividend payment for the first half- year operation at 3.00 baht to be paid on September 19,

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32 THAILAND PHILIPINES MPPCL Zambales QPL Quezon Asia Pacific Region I N D O N E S I A MME Muara Enim AUSTRALIA Boco Rock New South Wales

33 IPP SPP Renewable Nakhon Sawan GPS (Ta Keet); Solar GPS (Ta sang); Solar Lopburi NED; Solar Chai Nat GPS (Dong Korn); Solar Saraburi GCC; Gas NKCC; Gas GPG (KK2); Gas SPP2; Solar Nakhon Pathom/Suphanburi Yanhee; Solar Ratchaburi TP Cogen; Gas SK Cogen; Gas Nakhon Sri Thammarat KEGCO; Gas Songkhla GIDEC; Waste Yala GYG; Parawood Khammouane, Lao PDR NTPC; Hydro Chaiyaphum TWF; Wind Farm Roi-Et RG; Rice Husk SPP5; Solar Srisaket SPP3; Solar SPP4; Solar Phetchabun GPS (Bueng Sam Phan); Gas Pathumthani TJ Cogen; Gas Samutprakarn SCC; Gas Rayong Rayong Power Plant; Gas BLCP; Coal EGCO COGEN; Gas

34 Ratchaburi Egcom Tara; Pipe Water Generating and Supply Business EASTW; Pipe Water Generating Rayong ESCO; O&M and Engineering Services APPC; Bio Diesel Plant Muara Enim MME; Coal Mining Project

35 GIDEC Waste Power Plant Project (GIDEC) Project Description Type: Municipal Solid Waste Plant Location: Hat Yai, Songkhla Province Shareholders: EGCO 50%, IEC Green Energy 50% Expected COD: October 2014 PPA with PEA (VSPP Program) Contracted Capacity: 6.5 MW Adder: 3.5 baht/unit for 7 years Project Progress - Construction work was almost complete, individual function test of each equipment is ongoing. - Steam flushing/blowout was complete. Commissioning of boiler, steam turbine, generator and BOP are under preparation. 35

36 Boco Rock Wind Farm (BRWF) Project Description Type: Wind Power Plant (Green Field) Location: New South Wales, Australia Shareholder: EGCO 100% SCOD: February 2015 PPA: 15 years with Energy Australia Pty Ltd. Installed Capacity: 113 MW Project Progress - Ending Q2/2014, the progress of work was 79.42%. - Construction work is progressing well, installation of 21 WTGs was complete. 36

37 Khanom Power Plant Project Unit 4 (KN 4) Project Description Type: Combined Cycle Power Plant Location: Khanom, Nakhon Si Thammarat Province Shareholder: EGCO 99.99% SCOD: June 2016 PPA: 25 years with EGAT Contracted Capacity: 930 MW Project Progress - Ending Q2/2014, the overall project progress was 32.50%. - Piling and foundation works are ongoing ahead of the planned schedule. 37

38 Xayaburi Power Company Limited (XPCL) Project Description Type: Hydro Power Plant Project, Run off River Location: Xayaburi District, Laos PDR Shareholders: EGCO 12.5%, CK 30%, EDL 20%, BECL 7.5%, SCOD: October 2019 Natee Synergy 25%, PT Construction and Irrigation Co., Ltd. 5% PPA: 29 years with EGAT and EDL Contracted Capacity with EGAT: 1,220 MW Contracted Capacity with EDL: 60 MW Project Progress - Ending Q2/2014, the progress of work was 30.85%. - Design of Navigation Lock, Spillway and Intermediate Block were approved, detailed design for Powerhouse and Fish Passing Facilities is continuing. Construction work is progressing. 38

39 Chaiyaphum Wind Farm (CWF) Project Description Type: Wind Power Plant Location: Subyai, Chaiyaphum Shareholders: EGCO 90%, PVI Group 10% SCOD: December 2016 PPA with EGAT (SPP Non-Firm) Contracted Capacity: 90 MW Adder: 3.50 baht/unit for 10 years Subyai CWF 39

40 TP Cogeneration Project (TP Cogen) & SK Cogeneration Project (SK Cogen) Project Description Type: Cogeneration Power Plant Location: Ban Pong, Ratchaburi Province Shareholder: EGCO 100% SCOD: February 2017 Installed Capacity: 125 MW each Contracted Capacity with EGAT: 90 MW each Expected Contracted Capacity with IUs: 23 MW with 40 T/hr of steam (TP Cogen) Expected Contracted Capacity with IUs: 17 MW TP Cogen & SK Cogen with 60 T/hr of steam (SK Cogen) 40

41 TJ Cogeneration Project (TJ Cogen) Project Description Type: Cogeneration Power Plant Location: Klong Luang, Pathum Thani Province Shareholder: EGCO 100% SCOD: June 2017 Installed Capacity: 110 MW Contracted Capacity with EGAT: 90 MW Expected Contracted Capacity with IUs: 16 MW TJ Cogen with 10 T/hr of steam 41

42 San Buenaventura Power Company Limited (SBPL) Project Description Type: Coal Fired Power Plant Installed Capacity: 500 MW Contracted Capacity: 455 MW Location: Quezon Province, Luzon, the Philippines Shareholders: EGCO 49% and MeralcoGen 51% SCOD: Q3/2018 PSA: 20 years with Meralco Project Progress - Achievement for signing Power Supply Agreement with Meralco on May 30, The effectiveness of PSA will be subject to the review and approval of ERC of the Philippines 42

43 Masinloc Power Partners Company Limited (MPPCL) Achievement : - Achievement for signing of Share Purchase Agreement to acquire the shares in MPPCL was on June 25, Acquisition transaction was completed on July 15, 2014 and Shareholders Agreement was signed on the same date. Achievement 43

44 Masinloc Power Partners Company Limited (MPPCL) Power Plant Description History Type: Coal Fired Power Plant Technology: Subcritical Pulverized Coal Installed Capacity: 2x315 MW Contracted Capacity: 589 MW Location: Zambales Province, Luzon, the Philippines COD: Unit 1 - June 1998 / Unit 2 December MPPCL was originally developed and owned by NPC, the Philippines state power utility. - In 2008, AES acquired MPPCL through privatization auction. - Upon takeover, AES executed on rehabilitation plan during MPPCL is now operating at world class standards O&M : MPPCL employees Rated Capacity Heat Rate Availability Factor After Upon turn-over in April MW (Unit 1: 150 MW, Unit 2: 0 MW) > 12,000 btu/kwh April 2009, 1 year after turn-over 630 MW (2x315 MW) 9,995.5 btu/kwh (average full load) < 50% > 90% Auxiliary Load > 12% < 8.5% Environmental Footprint Compliant with Philippine Standards Surpasses Philippine, World Bank Standards 44

45 Masinloc Power Partners Company Limited (MPPCL) Luzon Masinloc Metro Manila Masinloc is located 250 Km north of Metro Manila 45

46 Masinloc Power Partners Company Limited (MPPCL) 40.95% 51.00% 8.05% Masinloc Power Partners Co Ltd (Phlippines) MPPCL 46