Global Power Synergy Plc (GPSC), the power generation arm of national oil and gas conglomerate PTT Plc, has joined hands with Singapore-based steel producer Meranti Steel Pte to jointly conduct a study on clean energy development for steel manufacturing in an effort to reduce carbon dioxide emissions.
The study, which will take at least two years to complete, will examine the potential of solar, wind and hydrogen energy to generate 150 megawatts of electricity for the "green steel" production process.
The project is aimed to enhance the efficiency of high-quality steel production and reduce carbon dioxide emissions at the same time in line with global campaigns to address climate change.
"We are responsible for the feasibility study on the development and implementation of clean energy projects, along with the energy cost management that can be competitive in the long run," said Rosaya Teinwan, GPSC's executive vice-president for business development.
She was speaking during a ceremony to sign a memorandum of understanding (MoU) on the cooperation yesterday.
"This MoU is a significant collaboration between GPSC and Meranti in the development of innovative energy technologies with an integration of renewable energies and hydrogen energy."
Meranti plans to build a new steel plant, with production capacity of 2 million tonnes per year, in the Map Ta Phut area of the eastern province of Rayong.
The factory, scheduled to start operation in the second half of 2027, promises a significant cut in carbon dioxide emissions by using the latest technology, sustainable solutions and an innovative energy concept.
"This plant is projected to reduce carbon emissions by up to 3 million tonnes annually, compared to traditional blast furnace technologies," said Sebastian Langendorf, chief executive of Meranti Steel.
"With our cooperation with GPSC, we are helping shape a sustainable future for the steel industry in Thailand that strikes a balance between economic growth and environmental responsibility."
GPSC earlier announced it aims to become a renewable energy-driven company by 2030 to help the government combat global warming and better cope with high global energy prices.