On Monday at 11:01 AM (Bangkok time), the share price of B.Grimm Power Public Company Limited (SET: BGRIM) rose by 4.62% or THB 0.80 to THB 18.10, with a trading value of THB 455.95 million.
Gulf Development Public Company Limited (SET: GULF) surged 1.18% or THB 0.75 to THB 64.25, with a trading value of THB 1.16 billion.
Global Power Synergy Public Company Limited (SET: GPSC) expanded by 2.14% or THB 1.00 to THB 47.75, with a trading value of THB 382.06 million.
Kasikorn Securities (KS) has issued a positive outlook on the Thai utilities sector, highlighting that the country’s growing data center industry will drive a significant increase in power demand and create the need for additional generation capacity. The firm anticipates that the sector will benefit from the new Power Development Plan (PDP) over the next one to two years, expected to unlock further upside and new growth drivers.
Kasikorn views Thailand as an emerging hub for data centers, with investments from major hyperscale providers such as AWS, Microsoft, and Google, as well as projects under consideration by the Board of Investment (BOI). Total data center capacity is projected to increase from 600MW in 2025 to 5GW by 2030.
Currently, Thailand’s power reserve margin stands at around 40%, but Kasikorn expects this figure to decline significantly to the mid-20% range by 2030, as roughly 17GW worth of Power Purchase Agreements (PPAs) are due to expire between 2026 and 2035. This impending decrease is set to add pressure on power generation planning.
Data centers are anticipated to become a key driver of future electricity demand, with each megawatt (MW) of IT load requiring 1.3-1.5 MW from the grid. This could translate into an additional 7.5GW in electricity demand by 2030, further underscoring the need for new power generation capacity.
Power plant operators, particularly GULF and BGRIM, are expected to benefit directly as they are already positioned within the digital infrastructure ecosystem. The expansion of data centers will support long-term revenue growth and generate stable cash flows from long-term contracts.
Kasikorn also identifies opportunities for increased renewable energy capacity. The upcoming 2,000MW Direct PPA project and a new round of renewable energy auctions are expected to provide further investment opportunities, generating incremental profit and supporting green energy policies.
Additionally, the expiration of legacy PPAs for major base-load plants like Glow IPP and Huay Ho IPP (operated by GPSC) presents opportunities to renew contracts or secure direct PPAs with data center operators, ensuring a stable supply of base-load power for industrial needs.
As a result, Kasikorn forecasts that the core operating profit of the sector will grow by 25% in 2026 and by 10% in 2027, driven by new capacity, operational recovery, recognition of profit shares from subsidiaries, and dividend income. The brokerage assigns an ‘Outperform’ rating to BGRIM, GPSC, and GULF, with target prices set at THB 20.00, THB 52.00, and THB 79.00, respectively, while recommending a ‘Neutral’ stance on EGCO and RATCH, with price targets of THB 117.00 and THB 32.50 per share.
