Declining costs of solar energy technology are prompting Siam Cement Group (SCG) to enhance its focus on solar power through its Onnex brand, aiming to boost power generation capacity to 1,000 megawatts between 2025 and 2029.
Currently, the company’s capacity stands at 200 MW, which includes electricity generated from its solar farm in Saraburi, covering 47.5 rai.
“Onnex has upcoming solar projects with a total capacity of 400-500 MW,” stated Wachirachai Koonamwattana, head of SCG Smart Living’s living solutions business.
SCG Smart Living manages the solar energy solutions under the Onnex name.
The planned projects consist of solar farms, floating solar farms, and solar carports, as noted by Mr. Wachirachai.
Solar carports are parking structures equipped with rooftop solar panels to generate electricity.
He also mentioned that the costs associated with solar technology and equipment installation are decreasing.
There is an increasing interest among homeowners in installing rooftop solar panels to reduce their electricity bills from the grid, according to Mr. Wachirachai.
Typically, households employ small-scale rooftop solar systems. For instance, a large home with a capacity of 7-10 KW incurs costs ranging from 300,000 to 500,000 baht for the equipment. The expense for solar farm development is estimated at 20 million baht per megawatt, while constructing a solar carport costs around 28 million baht per megawatt.
Onnex’s business is experiencing growth, with an internal rate of return reaching 34%, as reported by Suchart Nokputsa, associate director for rooftop solar panels at SCG Smart Living.
SCG aims to solidify its solar power operations in the domestic market before venturing internationally, particularly in the Philippines, where the government is encouraging investments in renewable energy.
“Thailand is witnessing a high demand for solar energy, driven by increased investments in deep tech-related businesses, such as data centers and cloud services,” noted Dusit Chairat, director for smart home living solutions at SCG Smart Living.
The company indicated that foreign data center operators interested in investing in Thailand are seeking clean energy to power their facilities.
