UOB Thailand has extended a green loan worth 150 million baht under its solar energy adoption program to a distributor of solar inverters.
Polytechnology, one of the leading distributors of solar inverters in Thailand and a partner of Huawei, will use the loan to procure solar equipment from its key partner to support their customers’ ongoing solar projects.
“UOB’s green trade financing facility will be used as working capitals towards procuring inverters and Energy Storage System (ESS) from Huawei,” said Narratchai Leeraphante, President of Polytechnology.
“This first green trade loan from UOB Thailand will also enable us to timely supply such equipment to our customers as the demand has risen,” he said.
The green trade financing facility that was extended to Polytechnology is a part of UOB’s U-Solar 2.0 program that simplifies access to sustainable financing for solar project developers, engineering, procurement, and construction contractors, and leading equipment suppliers.
By connecting these players, the program helps ensure that there is enough liquidity for them to meet the growing demand for solar energy adoption.
“The collaboration between UOB Thailand and Polytechnology highlights our commitment under U-Solar 2.0 to facilitate a smooth financial flow for solar development projects in the country,” said Amporn Supjindavong, an Executive Director of Commercial Banking at UOB Thailand.
“With the support from us, Polytechnology can better finance the purchase of equipment and work on multiple projects simultaneously, supporting them in seizing more business opportunities,” she said.
The Thai government has plans to meet its Paris Climate Accords targets of 30% renewable by 2030 and net-zero emissions by 2065 and solar energy is a key part of these goals. Businesses and political parties are also pushing for more solar rooftops to save on energy and electricity bills.
The country’s installed solar capacity has increased from 49 megawatts in 2010 to 2,983 MW in 2020, according to the Energy Regulatory Commission. The plan is to increase the capacity to more than 12,000 MW by 2037.