Finnfund invests in solar panel factory in Thailand
Finnish development financier Finnfund is investing in the establishment of a solar panel factory in Thailand through a joint venture. The investment aims to meet growing renewable energy demand in Southeast Asia.
Finnish development financier Finnfund is participating in a EUR 7.5 million investment to establish a solar panel factory in Thailand, named Salo Tech Thailand Ltd. The company is a joint venture co-owned by Finnfund, Finland's Solar Finland Investment Ltd, and Thailand's state-owned PEA Encom International.
The factory's initial production capacity will be 100 MW per year. The primary market for the solar panels, produced following a Finnish operational model, will be Thailand and its neighbouring countries in the ASEAN region. Production is slated to commence in the second quarter of 2022.
Finnfund stated that the investment will enhance access to renewable energy and contribute to climate change mitigation in the region. "Providing access to cleaner energy is crucial for curbing climate change," said Jussi Tourunen, Finnfund's Associate Director for Energy and Infrastructure. The company is committed to making EUR 1 billion in new climate finance investments by 2030.
The project aims to address increasing energy demand and reduce emissions in the long term. A second phase will see production capacity expanded based on market demand, with operations adhering to international quality standards.