Thailand Greenhouse Gas Management Organization and Mitr Phol Group hold carbon emission trading ceremony with eight leading green companies in support of Thailand’s 2020 carbon emissions targets

Monday 29 October 2018 14:29
Thailand Greenhouse Gas Management Organization (Public Organization) or (TGO) has joined with Mitr Phol Group in organizing the 2018 carbon emission trading ceremony to encourage the involvement of every sector in addressing global warming. The ceremony is part of the Thailand Voluntary Emission Reduction Program (T-VER), an effort to support Thailand's carbon emissions targets, which specify a short-term national reduction of 7-20% by 2020, and a long-term reduction of 20-25% by 2030.

Mrs. Prasertsuk Chamornmarn, Executive Director of Thailand Greenhouse Gas Management Organization said: "The effects of climate change and global warming are becoming more pronounced. Thailand has seen changes in its weather, significantly higher temperatures and off-season rain. As a member of the United Nations Framework Convention on Climate Change (UNFCCC) and the Kyoto Protocol, we are aware of Thailand's involvement in reducing impacts on the environment. In this regard, TGO has developed the Thailand Voluntary Emission Reduction Program (T-VER) to encourage all sectors to voluntarily mitigate greenhouse gas emissions. Under the T-VER scheme, certified greenhouse gas emissions/absorption, which are known as carbon credits or 'TVERs' under this program, can be traded on Thailand's voluntary carbon market. TGO has set up and is implementing emissions criteria, methodology, validation and verification procedures for every sector, including small-scale projects, so that they are all able to participate voluntarily with less complicated processes and improved cost-effectiveness, in line with the Kyoto Protocol's Clean Development Mechanism. The T-VER scheme will benefit Thailand's economy, society and the environment. For example, it will reduce impacts on the environment, create more revenues for local communities, increase Thailand's green space and reduce agricultural waste as well as create more environmentally friendly jobs."

According to TGO's September 2018 report, around 200,000 tons of CO2 equivalents are being traded on T-VER's carbon market. This carbon credit is generated from five categories of verified emission reduction projects, namely biogas, biomass, hydro power, solar power and waste heat recovery. These projects not only help maximize energy raw materials, but also increase revenue for their developer, and encourage the growth of Thailand's voluntary carbon market, which is currently valued at 6.2 million baht. Mitr Phol Group is one of the first private companies to pilot and reinforce the involvement of other companies in Thailand's carbon market. TGO is looking forward to witnessing the involvement of more organizations and sectors to help Thailand reach its carbon emissions targets.

Mr. Krisda Monthienvichienchai, Chief Executive Officer and President of Mitr Phol Group, Thailand's one of the largest carbon offset providers, said: "We have always made every effort to extend the value of sugarcane at every stage of process through the Value Creation concept. This aims to maximize the benefits of sugarcane and can be expanded to other businesses, namely electricity, ethanol, wood substitute and bio-based. We highly value the eco-friendly working process, as Mitr Phol Group is determined to help in creating a society with less CO2. As of today, we have possessed 489,217 tons of certified CO2 equivalent from the CO2 emission reductions of Mitr Phol Bio-Power (Dan Chang) in Suphan Buri, and we will continue to expand the project's operation. I would like to express my appreciation to our partners who have joined us in our mission to offset CO2 and are showing social responsibility, namely KASIKORNBANK PCL, Thai Airways International Public Co., Ltd., Sivatel Hotel Bangkok, Scratch First Co., Ltd. (Wonderfruit), Bank of Thailand, The Association of Thai Industries, Thammasat Printing House, and Vgreen – Kasetsart University. This participation by all sectors marks a promising start in moving Thailand forward to achieve the goal of greenhouse gas reduction by 20-25% within 2030 to preserve natural resources and the environment for a sustainable future."

Mr. Predee Daochai, President of KASIKORNBANK PCL represented the private sector in signing the MOU for the carbon credit trade from Mitr Phol Group. KASIKORNBANK will also be the first commercial bank to be certified as carbon neutral. Mr. Predee said, "KASIKORNBANK is an organization in the financial sector which is committed to reducing environment impacts and conducts its business with the aim of developing sustainability in the economy, society and the environment. Our commitment to reduce carbon emissions to zero has been supported by the carbon credit from Mitr Phol Bio-Power Co., Ltd. (Dan Chang) Block (2). This represents a significant collaboration in driving society towards a Low Carbon Economy and sustainable growth. It will also serve as a financial mechanism to increase awareness of global warming in the business and industrial sectors. This type of financial support will promote renewable energy and encourage business owners to operate with the environment in mind and reduce greenhouse gas emissions.

Each project to be funded by the bank will be examined and considered based on its impact on the environment and society according to the bank's Environmental, Social and Governance criteria. The bank also aims to encourage people to undertake their financial activities via the K Plus application. This will reduce the need for travel and the use of paper, both of which can help reduce global warming. As for the bank's own environmental management, KASIKORNBANK has appointed its CEO as the Chief Environmental Officer to drive its environmental mission and in 2012 set a target to reduce the emissions of greenhouse gases from the bank's operations by 20% by 2020. The bank has so far been able to reduce greenhouse gas emissions by 8% and is committed to continuing its mission to achieve the set target."

In terms of the performance of the T-VER program by Mitr Phol Group, 26 organizations - 15 private agencies, 9 government agencies and 2 social enterprises – have bought carbon credits to reduce their carbon footprint through Corporate Social Responsibility activities. A total of 190,000 tons of CO2 equivalent of carbon credits have been sold. This is approximately 90% of Thailand's carbon market according to T-VER's standard. It is expected that this ceremony will encourage civil society to work to solve global warming. In the future, if more business owners or other sectors join the movement and buy more carbon credits from programs / activities to reduce greenhouse gas emissions, this will attract more developers and activities, which will in turn reduce Thailand's overall greenhouse gas emissions.