21 May 2024

Bangchak Discusses ESG-Aligned Business Operations and Carbon Market’s Role in Advancing Low-Carbon Future at Argus Asia Carbon Conference 2024 in Malaysia

Gloyta Nathalang, Acting Senior Executive Vice President, Sustainability Management and Corporate Communications, Bangchak Corporation Public Company Limited, participated in a fireside chat with Adam Nye, an Argus Media executive at the Argus Asia Carbon Conference organized by Argus Media in Kuala Lumpur, Malaysia, recently. The discussion focused on “Navigating Corporate Stewardship – Advancing ESG Initiatives and Achieving Decarbonization Goals in the VCM”. Argus Media specializes in presenting and analyzing energy and commodity market data.

The conference served as a platform for exchanging perspectives and information on carbon market development across various Asian countries, involving both public and private sectors. Gloyta discussed Bangchak’s business operations, which have been aligned with ESG principles for 40 years. The Company has set a target to achieve Carbon Neutrality by 2030 and Net Zero GHG Emissions by 2050 through the BCP 316 NET plan. This includes enhancing efficiency and production process improvements, promoting ecological balance, and transitioning businesses towards clean energy through technology, with carbon markets serving as one of the mechanisms to offset the organization’s carbon footprint. However, Bangchak prioritizes reducing its carbon footprint to the greatest extent possible before resorting to offsetting it with carbon credits.

In Thailand, a Voluntary Carbon Market (VCM) was developed in 2012 by the Thailand Greenhouse Gas Management Organization (TGO). The market has seen registrations of various projects, including renewable energy development, afforestation and forest conservation, waste management, and agricultural improvements. Although Thai carbon credit trading volume remains relatively low compared to the number of registered projects, there has been an increasing trend in the past two to three years. This can be attributed to the announcement of the national sustainability goals and the private sector’s commitment to carbon neutrality and net zero emissions. Moreover, collaborations, such as the establishment of Carbon Markets Club by Bangchak and partner organizations, have led to the creation of Thailand’s first network to support carbon credit trading and raise awareness of the climate crisis in 2021.

Additionally, Gloyta proposed that establishing a unified carbon credit standard across ASEAN countries would bolster resilience, elevate prices, and streamline international cross-border trading. This initiative would play a significant role in advancing the low-carbon society, driving the energy transition, and fostering opportunities to position ASEAN as a global carbon credit hub.