Banpu has committed to conducting a sustainable business and strives to deliver “Smarter Energy for Sustainability,” said CEO Mrs. Somruedee Chaimongkol

With climate change and global warming on the brink of immeasurable consequence, it is exceptionally important for citizens of the world to take actions that can help the planet. Energy sustainability is one such step towards protecting the planet; it can lower the usage of fossil fuels, which are the primary energy source across the world.

Banpu Public Company Limited’s purpose in the energy business is to provide ‘energy sustainability’, which they consider crucial to all citizens of every country. They prioritize a balanced approach to energy policy that considers the interplay between energy security, the economy, and society. Their diversification covers activities both upstream and downstream, allowing the company to explore opportunities for other businesses within its ecosystem in order to benefit one another through business and human capital development.

Banpu currently successfully operates in nine countries, namely, Thailand, Indonesia, China, Australia, Lao PDR, Mongolia, Japan, the USA, and Vietnam.

Banpu’s foundation and upward trajectory spanning four decades

Banpu Public Company Limited was founded on May 16, 1983, as “Ban Pu Coal Company Limited”. In the initial years of its establishment, Banpu was focused on consolidating its mining business by exploring valuable resources and recruiting experts to join the team as they simultaneously developed efficient technical processes. In 1989, the company was listed on the Stock Exchange of Thailand (SET). The company started with small mines in the North of Thailand before expanding to Indonesia in its quest to find high-quality coal.

In 1993, the company officially changed its name to “Banpu Public Company Limited” and they started to turn their focus towards vertical expansion into the energy business. With its now well established foundation in Thailand and abroad, they were able to expand and diversify their energy business. As a result, Banpu Power (BPP) was established to reinforce Banpu’s power generation. This became the gateway to building its power generation business, which continues to grow to this day.

As the demand for electricity increased between 2003 and 2012, Banpu saw an opportunity to expand its investment into several countries that had high-quality energy resources, especially those in the Asia-Pacific region. It was a crucial time for the company as it became an internationally diverse energy company.

Forms of energy available for supply

Banpu leverages its expertise in providing integrated energy solutions through three core groups of business:

Energy Resources: Coal and gas including related operations
Energy Generation: Thermal and renewable power plants
Energy Technology: Solar rooftops, Energy Storage Systems (ESS), E-mobility and more

As the world started to strive to conserve energy, the need for “green” energy started to play a much larger role in people’s lives. It was then that Banpu started to adopt the “Greener and Smarter” strategy. Under the strategy, the company focused on businesses that were innovative with technology while being more friendly with the environment.

Through their “3T” working approach, they show their commitment and determination: Translating their passion and innovation into results for their shareholders and stakeholders; Transforming the company into a versatile international energy solutions provider; and Transcending thinking and challenges through innovation and technology.

Banpu’s current business plan includes the strategic goals of “3A”:

Acceleration – to expedite Greener & Smarter growth in the company’s four major areas; Gas, Mining, Power and Energy Technology.
Anti-fragility – diversifying risks and capturing new opportunities through Banpu’s integrated energy solutions portfolio.
Augmentation – using the company’s present business ecosystem to leverage the core competencies and capitalize on new opportunities, while generating revenue.

This strategic plan will expedite the processes of its transition to a portfolio of energy technology development and greener energy that aligns with future trends, helping them achieve the goal faster and in a more sustainable manner.

Challenges, triumphs and enhancements of positive social impact

Banpu has been able to make a drastic impact over 40 years across countries through their various strengths and abilities. Through every challenge, they have risen victorious and continue to do so through their strong belief that “an industry will be strong only when it is developed in tandem with social and environmental responsibility”. They conduct their business by recognizing the importance of Environmental, Social, and Governance (ESG) principles and putting a sustainable development framework into practice through the effective implementation of international best-in-class standards, creating competitiveness and value for all their stakeholders.

As a company, one of Banpu’s major strengths is being a good corporate citizen, through which they have been able to foster good relationships with their surrounding communities. Banpu promotes and supports social activities as well as community development projects in order to meet the needs of local communities. These activities span the development of people’s well-being, education for the underprivileged, and the allocation of a budget to provide assistance in local economic development, sports, natural disasters, and other philanthropic charities.

In times of crisis, especially during natural disasters, Banpu steps in to alleviate the hardships that people are facing both domestically in Thailand and in other countries they operate in. Not only do they operate their businesses to deliver smarter, sustainable energy that will enhance people’s quality of life, but they also commit to providing assistance and support to those in need when crises occur. This is how Banpu passes on their positive energy to every part of society, emphasizing their commitment to generating growth.

Over the span of four decades, Banpu’s businesses have robustly gone through periods of economic and social change along with crises. The success behind this, according to Banpu, is their principle of anti-fragility, which enabled them to overcome the Tom Yum Kung crisis as well as the COVID-19 pandemic with professionalism. The ability to withstand various storms, take risks, and identify opportunities in every change is in the DNA of the people at Banpu.

One of the biggest storms Banpu faced was the Tom Yum Kung crisis in 1997, which lasted nearly five years. At the time, almost every part of the country was affected by the devaluation of the Thai Baht. Banpu had to manage its finances very carefully while trying to build confidence among its foreign partners that Banpu would be able to repay them. Banpu did not succumb to this crisis due to the strength of the teamwork, which continues to this day. Over two years, the management team would discuss issues, try to solve the problems, and delegate work to each other on a daily basis. This brought everyone together and helped Banpu utilize each comparative advantage to lift the company out of crisis and overcome its obstacles.

At Banpu, leaders and employees alike task themselves with the ability to prepare themselves for impromptu challenges and external impact in the context of VUCA (Volatility, Uncertainty, Complexity, and Ambiguity). The path of anti-fragility has pushed them towards professional adaptation and excellent responsiveness to situations. No matter the future, Banpu has instilled within them the ability to overcome any crisis with ease.

‘Banpu People’ and corporate culture

As an organization, Banpu is equipped with a very strong base of corporate culture, which they like to refer to as “Banpu Heart”. It is not merely the vision of the company’s higher management, but an outcome of every individual at the company who values and believes in the organization. “Banpu Heart” is an iteration of over six thousand team members at Banpu across the globe joining together in heart towards a common goal, working towards the betterment of the company and society.

Human resource is the most valued assets at Banpu; it is the core of their organizational value creation. Their limitless potential and sustainability are their key resources. Banpu focuses on developing their people to be able to respond to fast-paced business landscapes, so that no matter the external challenge, the people at Banpu have the capability to adapt, be ready, lead, and rise to the occasion.

Banpu uses the skills, capabilities, and professionalism of each of their members. Their individual and diverse specializations complement each other, allowing them to become stronger together. Their flexibility and agility in this unpredictable world is what gives them the power to respond to constant change, rising above all crises. These traits are their foundation in organizational culture, Banpu Heart, which they adhere to this day, comprising three core values: Passion, Innovation, and Commitment.

The people at Banpu are diverse in terms of race, culture, age, and experience. This diversity is not only accepted but also harmoniously blended into one. Apart from the corporate culture of Banpu Heart, which plays a key role in connecting the Company’s people and blending their various differences, Banpu has adopted the principle of “Diversity and Inclusion” in its management. This is based on openness, mutual respect, and mutual understanding.

The highlight and future at Banpu

Banpu is a “Learning Organization”, as it began with the coal mining business, giving birth to their knowledge base; they have expanded into multiple other business ventures in countries across the Asia-Pacific region. While this has been the basis for their organization’s acquisition of new knowledge, they aim to build a bigger knowledge base that is simultaneously connected to the past and prepared for the future.

Banpu established the “Banpu Academy” to equip the people at Banpu or those who were interested with the necessary tools to drive the organization forward in times of constant change in the business environment. The role of Banpu Academy was to foster leaders at every level who had the potential to grow along with the company’s expansion, creating a learning culture that increased the efficiency and efficacy of their workforce.

Banpu has synergized the operations of its three core groups of businesses—energy resources, energy generation, and energy technology by sharing resources and technologies and exchanging knowledge while also looking for opportunities to expand investment to achieve the most efficient business results. This is called the “Banpu Ecosystem,” a business ecosystem that strengthens and creates a competitive advantage.

Every move Banpu has made has been to improve the quality of life for people in various countries by giving them access to the best energy solutions. Banpu will continue to deliver on its promises, enhancing their business ecosystem and expanding their investment diversification in order to power a better living for all and sustainable value for the world.

A brief biography of the Chief Executive Officer of Banpu

Mrs. Somruedee Chaimongkol has been the CEO of Banpu since 2015, after having joined the company in its initial year and working for over four decades. Prior to her position as the company’s chief executive, Somruedee was appointed Chief Financial Officer, in which she demonstrated her expertise to lead the company’s financial department and earned a number of awards for herself, including “Best CFO” from acclaimed finance ranking institutions in Asia.

With a bachelor’s degree in Accounting from Bangkok University, Somruedee has acquired an array of post-graduate certifications, including the Program for Global Leadership from Harvard University Graduate School of Business Administration and the Director Certification Program (DCP) from the Thai Institute of Directors Association (IOD), among others. In 2022, Somruedee was granted an honorary doctoral degree in Accounting from Bangkok University in recognition of her contributions to society.