SET and ICE to advance Thailand’s carbon market development
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SET and ICE to advance Thailand’s carbon market development

Stock Exchange of Thailand president Asadej Kongsiri, left, shakes hands with Gordon Bennett, ICE global head of environmental markets, in Britain on Tuesday. (Photo: SET)
Stock Exchange of Thailand president Asadej Kongsiri, left, shakes hands with Gordon Bennett, ICE global head of environmental markets, in Britain on Tuesday. (Photo: SET)

LONDON: The Stock Exchange of Thailand (SET) and Intercontinental Exchange (ICE) have signed a Memorandum of Understanding (MoU) to explore innovative solutions for the emerging carbon markets of Thailand and Asia.

The collaboration will leverage both organisations’ strengths in data analytics, technology infrastructure and market operations to assess feasibility, share insights and design optimal market frameworks, according to the SET. 

SET president Asadej Kongsiri said that the SET envisions carbon credit trading on a transparent platform as a key enabler for Thai and Asian businesses transitioning to a low-carbon economy.

“This initiative is a core part of our 2025 corporate strategy and aligns with Thailand’s national policy framework, particularly the Climate Change Act,” he said. “The upcoming legislation will introduce carbon taxation, emissions trading, and carbon credits as core pricing mechanisms.

“The SET is committed to studying and evaluating options for developing the required trading infrastructure to ensure a fair, transparent, and reliable carbon trading platform,” Mr Asadej said.

“The partnership will benefit from ICE’s expertise as operator of the world’s largest energy and environmental derivatives markets, providing SET with valuable insights for developing Thailand’s carbon market infrastructure.” 

Gordon Bennett. ICE Global Head of Environmental Markets, said: “Over the last two decades, ICE has built and operated financial technology and market infrastructure to support the growth of carbon markets. This experience makes ICE uniquely positioned to support Thailand in establishing a robust carbon market.

“The signing of the MoU with ICE marks a major step in developing a robust carbon trading platform in Thailand. By leveraging ICE’s financial technology and global environmental market expertise, the SET aims to find the most suitable framework and mechanisms for the primary and secondary markets, paving the way for a comprehensive carbon market ecosystem in Thailand.”

The development of a fully integrated ecosystem will unlock new opportunities for Thai businesses and investors, driving meaningful contributions to the Nationally Determined Contribution (NDC) for emissions reductions under the Paris Agreement, Mr Bennett added.

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