New IEAT projects aim to attract ESG investors
text size

New IEAT projects aim to attract ESG investors

The Industrial Estate Authority of Thailand (IEAT) is planning to launch new projects this year for prospective investors interested in environmental, social and corporate governance (ESG) principles while operating businesses at its industrial estates.

The projects include renewable energy development and carbon credit trade.

Carbon credit refers to the amount of carbon dioxide emissions reduced by environmental projects, including clean energy development and environmentally friendly businesses. The credits can be sold to other companies to offset the carbon dioxide they release into the air.

"We are conducting a feasibility study on carbon credit trade because many businesses need it as they pursue ESG standards which are in line with the UN's Sustainable Development Goals," said Yuthasak Supasorn, newly appointed chairman of the IEAT board.

The IEAT is promoting more investment in order to have it make up 27% of GDP by 2026.

The authority plans to support renewable energy to serve companies in the RE100 group, a global initiative that commits its members to using 100% renewable energy.

"We will focus on solar and wind energy as we have co-developed these two types of energy with partners for our customers in industrial estates," said Mr Yuthasak.

Many businesses need to use more renewable energy in order to avoid non-tariff barriers imposed by some countries on products made from carbon-intensive manufacturing.

The authority earlier announced it wants to invest in hydrogen energy projects, which would include the use of hydrogen-powered vehicles to transport workers, as part of efforts to shift towards clean energy.

Hydrogen energy projects are expected to be carried out at Smart Park Industrial Estate in Rayong.

The IEAT currently runs 68 industrial estates in 16 provinces, as well as a deep sea-port in Map Ta Phut in Rayong.

Most of the industrial estates are co-managed by the IEAT and companies.

Mr Yuthasak said the IEAT needs to focus more on its wholly-owned industrial estates where development seems to be slower than those which are co-managed by the authority and companies.

Do you like the content of this article?