EGCO divests its entire shares in Star Energy’s Geothermal Power Plants in Indonesia
TUESDAY, DECEMBER 27, 2022
Electricity Generating Public Company Limited or EGCO Group announced the successful disposal of its entire shares in three geothermal power plants in Indonesia to Star Energy Group Holdings Pte. Ltd.
EGCO Group will use the proceeds from the divestment transaction for new investment opportunities in the future, especially in renewable and clean energy projects with superior growth potential.
Thepparat Theppitak, EGCO Group’s President, said, “Phoenix Power B.V. a wholly owned subsidiary of EGCO, entered into the Sales and Purchase of Shares Agreement with Star Energy Group Holdings to dispose of 20% of issued and paid up ordinary shares in Star Energy Geothermal Pte. Ltd.(“SEG”) and 30.25% of issued and paid-up ordinary shares in Star Phoenix Geothermal JV B.V.(“SPG”), on 16 November 2022.
Subsequently, the transaction was successfully completed on 22 December 2022 with total consideration of USD 485 million (equivalent to approximately THB 16,780 million).”
EGCO Group started its investment in Indonesia in 2014 through investment in SEG and SPG, owning 20% and 20.07% effective stakes in SEG Wayang Windu (“SEGWW”) and SEG Salak-Darajat B.V. (“SEGSD”).
SEGWW owns and operates “Wayang Windu” geothermal power plant with a total installed capacity of 227MW situated in West Java, Indonesia.
SEGSD owns and operates two geothermal power plants entitled “Salak” and “Darajat” located in West Java, Indonesia.
The “Salak” geothermal power plant has a total installed capacity of 376.8MW (Steam 180MW and Power 196.8MW). The “Darajat” geothermal power plant has a total installed capacity of 271MW (Steam 55MW and Power 216MW).
These geothermal power plants supply electricity to PT PLN (Persero), a state-owned enterprise and sole off-taker and distributor of the Indonesian power market, on a long-term take-or-pay basis.
“The decision to sell shareholding in those geothermal power plants is part of EGCO Group’s strategy to rationalize the company’s asset portfolio.
EGCO Group will be able to gain profit from the share disposal and strengthen its financial position to support new investment opportunities in the future, especially in renewable and clean energy projects with superior growth potential”, added Thepparat.
Sunny outlook for Thai farmers as Malaysia runs short on eggs
TUESDAY, DECEMBER 27, 2022
Thailand’s association of egg farmers has shifted its focus to the Malaysian market after learning that the neighbouring country is running low on eggs.
A source from the association told the Thansettakij publication that Malaysia is having to import eggs mainly from India to meet the surge in demand.
In a nationwide survey, the association has learned that the consumption of eggs in Thailand was high during the Christmas-New Year holidays, the source said.
The cooperation also said it expects the price of eggs to remain high for at least one month, while the price of animal feed will remain high until mid-next year.
The source added that the association is concerned about the falling price of poultry meat, as it is also bringing down the price of meat from decommissioned laying hens.
On Tuesday, chicken meat from decommissioned hens cost 32 baht per kilogram, while chicken meat from poultry farms cost 41 baht per kilo.
The Livestock Development Department announced on Tuesday that the price for large hen eggs was 4.15 baht apiece.
Thai tourism industry waits expectantly as China scraps travel restrictions
TUESDAY, DECEMBER 27, 2022
Thailand’s tourism industry can expect a boost from China’s move to scrap measures on overseas travel of its citizens from January 8, the Tourism Council of Chiang Mai said on Tuesday.
China’s National Health Commission announced the move on Monday after nearly three years of strict pandemic border restrictions effectively prevented tourists from leaving the country.
Visitors from China were Thailand’s largest tourism market before the pandemic struck in 2020.
Council chairman Punlop Sae-Jew, however, said it was neccessary to monitor China’s reopening as there could be a change in the future.
He expects Chinese businessmen to visit Thailand in the first quarter of next year. Chinese tourists are expected to visit Thailand from the second quarter onwards, he added.
“In my opinion, the Chinese government would keep its citizens in the country during the Chinese New Year festival in a bid to stimulate their own economy before allowing them to travel abroad,” he said.
“Chinese tourists would not be able to travel overseas immediately as their passport may already have expired.”
Punlop confirmed that hotel operators in Chiang Mai are ready to welcome tourists. However, he said operators of some businesses are accelerating recruitment of employees, such as masseurs and bus drivers.
Meanwhile, La-iad Bungsrithong, adviser to the president of the Thai Hotels Association Upper North Region, said the occupancy rate of hotels in Chiang Mai in the fourth quarter this year was great.
“The occupancy rate in October and November was 70% and 75%, respectively,” she said, adding the occupancy rate in December was around 80% to 90%.
She expects Chiang Mai’s tourism in the first quarter of next year to recover gradually as Thailand has entered the tourism high season.
She added that the number of flights is a key to stimulate tourism in Chiang Mai as it can facilitate travel for tourists.
“We would hold talks with airlines on the number of flights to Chiang Mai,” she said, adding that the association would also hold talks with tourism entrepreneurs on what tourists need in the post-Covid-19 era.
“We have to set the prices of products and services to be affordable in a bid to attract tourists to the province,” she added.
Thailand minting fewer coins as people opt for online transactions
TUESDAY, DECEMBER 27, 2022
With Thailand fast becoming a cashless society, far fewer coins are being minted yearly.
Chamroen Phothiyod, the Treasury Department’s director-general, said on Tuesday that the department will mint 1.07 billion coins in the 2023 fiscal year compared to 1.60 billion in fiscal 2022.
The minting of coins for 2023 kicked off in October this year, he said.
Chamroen said he expects the production of coins to drop further over the years, though he believes the number of coins in circulation will not drop much as the department has to replace damaged coins.
He said the department replaces some 3 billion damaged coins on average per year.
“There are 38 billion coins worth 79 billion baht currently in circulation,” he said, adding that there is still a high demand for coins, especially among retailers.
He added that a drop in coin production can bring down his department’s revenue. He expects the production of coins in fiscal 2023 will generate about 900 million baht in revenue, compared to around 1 billion baht in 2022.
“To maintain its revenue, the department has decided to start producing commemorative coins,” he said, adding that the department also produces special coins for private agencies and other countries.
Earlier, the Bank of Thailand said the PromptPay application is a game changer as it helped turn Thailand into a cashless society.
PromptPay, which was introduced in 2015, allows people to make electronic transactions with a cheaper transaction fee.
It also allows government agencies to make transactions accurately and transparently, the central bank said.
Target headline inflation in Thailand set at 1-3% for 2023
TUESDAY, DECEMBER 27, 2022
The Cabinet has okayed targeted headline inflation in the range of 1-3% for 2023, the same as it did for this year.
A Government House source said on Tuesday that the Cabinet had been informed by a central bank representative that though the actual headline inflation this year was higher than targeted, it was temporary due to rising energy prices.
The source quoted the central bank’s representative as saying that global energy prices had risen due to the Russia-Ukraine war and the global economic fallout of the Covid-19 pandemic.
The Bank of Thailand representative also assured the Cabinet that the situation will improve next year, prompting the decision to set the targeted inflation rate at 1-3%.
The central bank has reported that the headline inflation for November stood at 5.55%. In October, the Commerce Ministry announced that the 12-month average headline inflation from October 2021 to September 2022 was 5.23%.
Headline inflation is a measure of total inflation in an economy, including the price of commodities like food and energy, which are more volatile and prone to inflationary spikes.
Thai exporters warned new EU deforestation edict could lead to bans
TUESDAY, DECEMBER 27, 2022
Thai exports in seven categories could be affected by the European Union’s new law on deforestation-free products, the Department of Trade Negotiations (DTN) warns.
Talks between the European Commission, the European Parliament and the EU Council took place on December 6 to finalise details of the deforestation policy, DTN director-general Auramon Supthaweethum said on Monday.
The DTN expects the new regulations to take effect from June next year, when Thai exports in seven categories could be banned if the EU finds they have contributed to deforestation. Thai exports under the deforestation spotlight are beef, paper for printing, palm oil, soy, coffee, cocoa and rubber.
Auramon said the new regulation will be imposed on EU trade partners at different levels depending on their deforestation risk. The European Union is currently revising its definition of deforestation and classifying trade partners according to three risk levels: high, medium and low, she said.
The regulation will also require EU importers to carry out comprehensive, effective and continuous due diligence to prove that their products are not linked to deforestation or forest degradation.
Auramon advised Thai exporters to follow progress of the regulation closely so they can adjust their practices to avoid impacts on their business.
Last year, Thai rubber exports to the EU were worth US$1.69 billion, or 8% of total rubber exports, while Thai wood exports to the EU were worth $22.6 million, or 9% of the total. Thai export volume of other products on the list – beef, soy, cocoa and palm oil, is relatively low at less than 1% of total exports in each category.
New study finds 8.1 million people in Thailand poor, 4.4 million below poverty line
MONDAY, DECEMBER 26, 2022
As many as 8.1 million Thais are poor and 4.4 million of them are living below the poverty line, the latest National Economic and Social Development Council (NESDC) report shows.
The report on Thailand’s poverty situation in 2021, which was released this year, said that the number of people living below the poverty line had dropped from 4.7 million in 2020 to 4.4 million last year.
“This is all thanks to the government’s economic stimulus measures to ease the financial burden on poor people, such as measures to increase purchasing power and utility bill cuts,” NESDC said.
However, NESDC found that poverty from other dimensions other than just income in Thailand is far more severe.
Citing its Multidimensional Poverty Index (MPI) which identifies four dimensions of poverty, namely education, health, quality of living and financial stability, it said 8.1 million Thais are suffering from poverty.
“As many as 36.9% of them are the elderly, while 51.5% are those who do not contribute to the economy, like children, the mentally ill, the ill or the unemployed,” NESDC said.
In the education sector, it said, more children have dropped out of school, especially those who are not living with their parents.
More than 280,000 students have been recorded as having dropped out of school last year due to poverty, the report said.
In terms of health, it said poor people suffer from the lack of access to clean water and nutrition, adding that people’s access to basic utilities is still limited, especially in remote areas.
When it comes to quality of living, it said 2.8 million people do not have access to the internet as signals do not reach all locations and many people are not able to pay internet fees.
When it comes to financial security, the report said many workers do not have access to social security and their earnings are not enough to make ends meet.
This has resulted in rising debts and problems with saving money, it said.
To solve these issues, NESDC has advised the government to improve information systems and launch policies to boost people’s quality of life.
“Government agencies should come up with policy packages that solve multidimensional poverty, such as improving financial literacy among people,” it added.
Cortina Watch’s Golden Jubilee culminates amid the splendour of love and joy
MONDAY, DECEMBER 26, 2022
2022 marks a monumental year for Cortina Watch as it commemorates its 50th year of becoming one of Asia Pacific’s foremost luxury watch retailers and distributors.
The gala traced the growth and transformation of Cortina Watch over the past half a century, from its humble beginning as a family-run retail store that debuted amid the quartz crisis and subsequently growing from strength to strength to becoming a publicly listed company with over 40 boutiques region, including Singapore, Malaysia, Thailand, Indonesia, Hong Kong, Taiwan, and Australia. Throughout the years, Cortina Watch has stayed true to the vision of its founder, Mr Anthony Lim, by putting the core values of trust, loyalty, and reliability at the heart of the business.
This year, Cortina Watch also marked this epic milestone with a series of commemorative events. Some of them include Patek Philippe’s travelling exhibition showcasing some of Cortina Watch’s collection of unique dome clocks and both past and present anniversary editions from the Swiss watchmaker, the Blancpain Fifty Fathoms Bathyscape exhibition, “Happy Sport – Tale of an Icon” exhibition with Chopard, followed by a Franck Muller exhibition in September. Furthermore, Singapore Heart Foundation’s (SHF) third wellness facility – the SHF-Cortina Watch Heart Wellness Centre, was officially unveiled in August. Cortina Watch also collaborated with eight brand partners to launch exclusive celebratory edition timepieces. Together with Patek Philippe, Blancpain, Cartier, Chopard, Corum, Franck Muller, H. Moser & Cie., and Tag Heuer, a total of 16 limited edition models were presented as part of the golden jubilee festivities. Key management personnel of Cortina Watch’s longstanding brand partners also sent in personal congratulatory messages. Some even flew to convene for Cortina Watch’s monumental celebratory gala dinner at the Ritz-Carlton Millennia Singapore on 19 November.
During the gala dinner, Jeremy Lim, CEO of Cortina Watch & COO of Cortina Holdings, attributed the success of Cortina Watch to the strong foundation laid down by its founder, as well as the passion and steadfastness of its staff. “Had it not for our chairman Mr Anthony Lim, who made a bold decision to start Cortina Watch 50 years ago, we probably would not be here today celebrating our golden jubilee. In our business, trust and passion are always key to our success. And it is the trust that has enabled us to build longstanding relationships with all our brand partners and business associates. Cortina has gone through many ups and downs over the past 50 years, including many recessions and adverse economic situations, not forgetting a pandemic that has made everything even more challenging. However, we have steered through these challenges because of our dedicated and passionate team of employees.”
Since launching its first boutique at the Colombo Court in 1972, Cortina Watch has served customers for half a century. Thanks to close bonds fostered between sales staff and their customers, many of these loyal customers have been with Cortina Watch since the beginning. Some have even progressed to building multi-generational relationships with the watch retailer.
Mr Sunny Lau, Senior Boutique Manager of Cortina Watch Singapore, has even worked at the company since the beginning and gave his best throughout the past five decades. He beams with pride as he looks back on his days starting out, “I started with Cortina Watch in 1972 and personally witnessed our growth from a humble store in Colombo Court to an international corporation. It was definitely not a bed of roses all the way, but as we grew from strength to strength together, I was rewarded with the most wonderful experiences, and I would not have traded them with anything else.”
Cortina Watch’s founder and Chairman, Mr Anthony Lim, also expressed his heartfelt gratitude towards these dedicated staff. He says with great appreciation, “Our employees are a part of our family. We cherish them and their efforts in lifting the company up. Our success is theirs. Loyalty is a two-way street — we need to be as devoted to our staff, partners and customers as much as they are supportive of us.”
In addition, Cortina Watch has always been committed to giving back to the community and championing social responsibility. Donations in the form of cheques totalling S$1.62 million were also presented to several organisations, including the Community Chest (for AWWA), Singapore Heart Foundation, Ren Ci Hospital, Kwong Wai Shiu Hospital, and the Singapore University of Social Sciences (SUSS). S$1 million was channelled through Community Chest to AWWA Ltd. AWWA provides early intervention for pre-schoolers, education and integration support for children and adults with additional needs, social assistance for vulnerable families, and care services for seniors. AWWA’s mission is to empower the disadvantaged to maximise their potential to lead independent and dignified lives.
Mr Raymond Lim, CEO of Cortina Holdings says, “I think the role of the retailer today, at least from my perspective, is to have an active role in helping brands develop their presence in our markets. This effort entails a lot of trust on all sides: the brands, our customers and ourselves. Trust is what has shaped our work and success, from 1972 till today.”
20 more Kana Pure cannabis outlets to be opened in Thailand next year
MONDAY, DECEMBER 26, 2022
Nongluck Ajanapanya
Bespoke, a subsidiary of Boutique Corporation, is opening 20 more fully licensed Kana Pure cannabis outlets in Thailand next year.
Prab Thakral, president and Group CEO of Boutique Corporation, stated at the opening of the third outlet on Monday that the plan was developed after positive feedback from the two licensed cannabis outlets, giving the company confidence to expand nationwide.
However, the exact location has yet to be determined, but it is likely to be on Boutique’s own property, the parent company of Kana Pure.
The third fully licensed high-grade medical cannabis dispensary shop is located on Sukhumvit Soi 11.
Prab stated that the shop is still focused on growing high-quality medical cannabis for sale at its Kana Pure outlets, with the goal of medical use under expert advice.
Bespoke grows high-quality medical cannabis in environmentally controlled farms in northern Thailand.
Turkish companies see increased trade with Thailand
SUNDAY, DECEMBER 25, 2022
Opal Varunsuda
The Istanbul Chemicals and Chemical Exporters Association said its trade delegation to Thailand earlier this month succeeded in strengthening cooperation between Turkish and Thai companies.
The December 16 event included a business matching meeting at which executives from a wide range of Turkish companies – including chemical, cosmetic, plastic, and medicine – met with their Thai counterparts to discuss opportunities for trade.
Cemil Cakar, who led the delegation, said it paved the way for Thai and Turkish companies to work together to increase their competitiveness.
He described Turkey as a bridge to the European market, saying costs were lower in Turkey while the quality of Turkish products was high enough for them to enter the European market.
Thai companies are eager to take advantage of Turkey’s location and its reputation for quality products, Cakar said.
He also said that Turkish companies, like home appliance maker Beko, are investing in the Thai market and that the delegation led to increased interest in Thailand.
Cemil Cakar
representative of the Istanbul Chemicals and Chemical Exporters Association (IKMIB)
Cemil Cakar
SootinClaimon.Com 