BCP forges pact to create Carbon Markets Club

Bangchak Corporation Plc (BCP) has formed an alliance with 10 firms in various industries to set up a Carbon Markets Club in a fresh move to support carbon emissions trade, a key mechanism to reduce greenhouse gases.

Mr Chaiwat said the alliance members also got together to provide financial support to renewable energy development.

In the market, the amount of greenhouse reduction, known as carbon credits, generated by environmental projects can be traded so companies can offset the carbon dioxide they release into the atmosphere. super slot

The 11 firms signed a memorandum of understanding yesterday to brace for stricter trade rules in the post-pandemic period when European countries may, under the European Green Deal, impose a non-tariff barrier on Thai exports from factories that emit high levels of carbon emissions.

Their cooperation is also aimed at promoting projects aimed at reducing carbon dioxide emissions.

"We also grouped together to give financial support to renewable energy development," said BCP president and chief executive Chaiwat Kovavisarach.

The alliance includes state-owned Electricity Generating Authority of Thailand, Charoen Pokphand Group, The Shell Company of Thailand Ltd, Kasikornbank, Ayutthaya Bank, BRS Group Holdings, Tetra Pack and Bangkok Industrial Gas Co.

Mr Chaiwat said factories and firms that still emit carbon dioxide may encounter more operation costs in the future as they may need to buy carbon credits or pay taxes on carbon emissions. The money can be used for investment in green industries. Such tools as new taxes can play an important role in speeding up work to curb global warming.

Thailand has long promoted a transition from fossil-based fuel to clean energy, but progress has been rather slow.

Mr Chaiwat said growing concerns over climate change are encouraging many countries to join efforts to keep the rise in global temperatures below 1.5-2.0 degrees Celsius.