Business Model Resilience
CKPower’s vision is to become a leading electricity producer in Thailand and Southeast Asia that operates with efficiency on the basis on environmental responsibility in response to changes in state policies and technology, with the three key components being electricity production excellence, process reliability, and the potential of the personnel. In pursuit of this vision, CKPower has prescribed uniform operational guidelines across the organization based on the main concepts of potential enhancement in anticipation of challenges, sustainable business growth through investments in new business opportunities in Thailand and Southeast Asia, and the integration of digital innovation and technology into business operations to foster regional energy security and generate optimal and fair returns for customers and shareholders in accordance with its principal strategies “P - Partnership for Life”.
Business Resilience Action Plan
In 2022, CKPower developed an action plan for fostering business resilience and integrated it into the corporate sustainable business strategies. The five-year action plan (2022-2026) is aimed at promoting the achievement of the Company’s short-term and long-term targets, including:
- Gaining at least 3% new customers compared to the total number of customers by 2022.
- Establishing action plans for digital technology and innovation application by 2023.
- Operating at least one new business in Southeast Asia by 2024.
- Gaining at least three new groups of customers and completing the implementation of the business resilience action plan by 2027.
Appointment of CKP Exploration Team
To operate a diverse range of businesses, a challenge of the Company is to enrich the knowledge of its personnel to keep up with the innovation and technology to be applied to its businesses. To this end, CKPower has appointed the CKP Exploration Team, consisting of a new generation of engineers and executives from different units across, including project control and development, electrical engineering, hydropower engineering, solar power engineering, and wind power engineering, to serve as a research and development unit to look for new power production model and define the Company’s directions and strategies to keep up with challenges and opportunities brought on by global trends. The new team not only enhances CKPower’s business resilience but is also part of the strategy to minimize risks, especially emerging risks in the future.
The operation of diverse businesses is an essential factor for fostering business resilience, reducing risks, and diversifying opportunities. CKPower’s business model focuses on sustainability and the investment portfolio and seeks to achieve balanced and flexible power generation from different types of energy as well as to establish strategies that are consistent with its investment in sustainable assets.
In addition, CKPower places emphasis on the trends of the renewable energy market, the expansion of businesses related to carbon credits and renewable energy certificates (REC), and the application of ever-changing digital technology and innovation for power production, as emerging trends present an opportunity for the Company to expand its markets towards renewables-based power production businesses. The Company also collaborates with expert organizations to strengthen its operations.
Develop Action Plan
|CKPower has developed an action plan that corresponds with changes in digital technology and innovation to enhance its operational efficiency.|
|To strengthen its operations, expand investment markets, and enhance its competitive potential CKPower has joined hands with INNOPOWER, a clean electricity innovation and technology developer in the REC market. This partnership will help address CKPower's sustainability goals as it will enhance the sustainability of its renewables-based electricity production and consumption and create a better balance between its electricity production businesses from non-renewable energy and renewable energy in its attempt to reduce GHG emissions. CKPower has also initiated a strategic partnership and signed a memorandum of agreement with country's emerging energy and technology enterprise and Bangkok Industrial Gas Co, Ltd, in order to explore the development of low carbon hydrogen production facilities.|
Enhance Market Strengthen
|CKPower is seeking to strengthen its position in the existing markets and consistently seek new investment markets in new areas within its five-year framework, placing emphasis on expanding towards new groups of customers and adding new strategic zones in Southeast Asia.
In 2022, CKPower introduced digital technology to enhance its hydrological forecast of the inflow volume through the collaboration between CNR, a French consultant, and the Company's engineering team, in which a mathematical model is utilized to apply hydraulic and hydrological principles to runoff assessment. In the short term, the hydrological engineering team has planned to enhance the efficiency of the runoff monitoring and forecast system and maintain the security of the database through, for instance, the establishment of additional water gauging stations, data access management, a transition from a physical server to a cloud server. The use of this mathematical model marks the beginning of CKPower's digital transformation and the utilization of the capabilities of rapidly evolving technologies and innovations, such as communication systems, satellite networks, and high performance computers, to enhance the Company's business operations.
In the long term, CKPower is planning to expand the forecast model to other projects and use digital technology and innovation to collect data from various sources in order to monitor, study, and process data beneficial to the operation of its power plants, such as the National Oceanic and Atmospheric Administration (NOAA) as runoff volumes serve as its primary fuel in producing and delivering electricity to customers. The objectives are to enhance operational efficiency, reduce operational expenses, develop new processes, and deliver better and innovative experiences to customers and employees.
Internal Carbon Pricing Mechanism
|CKPower has made preparations to implement internal carbon pricing (CP) to create opportunities for green finance for the organization.|
2022 Performance Progress