Fueledbytherapidindustrializa-tiontakingplaceamidChina'sBeltandRoadInitiative,VPowerGroup'sbusinessoutlookisstrong,accordingtoaseniorexecutiveofthecompany.
Withsolidexperienceinproprietarysystemintegration,VPowerisaHongKong-listedcompanyspecializingininvesting,buildingandoperatingfast-trackdistributedpowergeneration(DPG)stationsinSoutheastAsia,withMyanmar,IndonesiaandBangladeshasitskeymarkets.
"WesetoursightsontherapidlygrowingemergingcountriesbeforethelaunchoftheBelt&RoadInitiative,"saidRorceAu-Yeung,co-CEOofVPower.
HesaidthecompanysteppedintotheIndonesianmarketandcommissioneditsfirstDPGstationinTelukLembuinlate2012.
"Afterthisproject,weexpandedintoBangladeshandMyanmar.Sincethen,wehavebeenincloseandlong-termcollaborationwithState-ownedentitiesinIndonesiaandMyanmar.
"Givenourstrongfootholdinthosecountries,wearenowreadytotakeourbusinesstothenextlevelbylever-agingtheavailablelong-establishedtechnicalexpertise,localknowledge,financialresourcesandoperationplatforms,"headded.
VPowerisconfidentthatfast-trackDPGcanmeetmanyemergingcountries'electricitydemandsmoreeffectivelyandseespromisinggrowthprospectinthissegmentinnationsalongtheroutesoftheBeltandRoadInitiative.
InMarch,thecompanyplannedtoacquirecleanandrenewablepowergenerationprojectsinSoutheastAsiaincooperationwithitsstrategiccornerstoneshareholder,CITICPacific.
Thetwocompanieswillestablishajointventurecompanytoinvestanddevelopgas-firedpowerstationsintheregion.
"CITICPacifichasjustconductedameetingwithMyanmar'sStateCounsellorAungSanSuuKyionfosteringourDPGprojectsinthecountry,"Au-Yeungsaid. "Thisisasolidproofofourinfluenceandrobustnetworkinthecountriesalongtheroute."HebelievesthatVPower'sstrategicrelationshipwithCITICPacificwillempowerthecompanytocapturethesubstantialmarketopportunitiesinthelowelectrificationcountriesbroughtaboutbytheinitiative.Thecompanyaimstoreplicateitssuccessfulbusinessmodelinnewemergingmarketswherepowersupplypercapitaremainslowandpowershortagesremainwidespread,includingLatinAmerica,Africa,theMiddleEastandChina.
Launchedasasystemsintegrationcompany,VPowerisnowoneofthelargestprivategas-fired,engine-basedDPGstationownersandoperatorsinSoutheastAsia.Au-Yeungbelievesthatsuchsuccessisattributableinlargeparttothecompany'sabilitytodeliverDPGstationswith"F-A-C-T":Fast-track,Adaptable,Cost-effectiveandTechnologicallyadvanced.
"Requiringlessnetworkinfrastructureinvestmentthanlarge-scalecentralizedpowerplants,DPGcangoonlinebetweentwoto12months,"hesaid.
"DPGcanalsoprovideinterimpowertocomplementcentralizedpowerplants.Itcreatestheidealsolutionfordevelopingregionswherelarge-scalepowersuppliesarebeingplanned."
AccordingtoAu-Yeung,gas-firedDPG-installedcapacityinSoutheastAsiaisexpectedtogrowatacom-poundannualgrowthrateofapproximately20.7percentbetween2015and2020,outstrippingoverallgrowthforDPG-installedcapacityoverthesameperiodandpresentingpromisingprospectstothecompany.
Currently,VPowerisoperatingeightDPGstationsinitsthreekeymarkets,withanaggregateinstalledcapacityof507.1megawatts, 256.1mWofwhichitaddedin2016.Tofurtherenhanceitsstrength,over300mWofcapacityiscurrentlyunderconstructionanddevelopment.
"Webelieveourcompanycansuccessfullyaddresstheutility-grade,DPGmarket'scallforlowercosts,cleanerenergyandfast-deliveryofreliabledistributedpower,"Au-Yeungsaid.
Headdedthatthecompanywouldcontinuetoexpanditsbusinessbyacorestrategyfocusingonfivekeypillars:existingmarketconsolidation,newmarketpenetration,fuelsourcediversification,researchanddevelopment,andacquisitions.
Lastyear,VPowerwassuccessfullylistedonthemainboardoftheHongKongStockExchange.