UOB Thailand hosted its latest Sustainability Compass Forum, reaffirming its commitment to supporting small and medium-sized enterprises (SMEs) in transitioning to low-carbon operations and capitalising on emerging opportunities in the green economy.
The event brought together sustainability experts, industry leaders, and SME stakeholders to share practical strategies, regulatory updates, and financing solutions aimed at advancing Thai businesses on their decarbonisation journey.
Mrs Panittra Vejjajiva, Head of Financial Institutions and ESG Solutions, UOB Thailand, said: “The UOB Sustainability Compass is a practical tool developed to support SMEs in taking their first steps toward sustainability. With more than 1,600 businesses already engaged, we are proud to offer continued guidance, financial solutions, and strategic partnerships to help them stay resilient and competitive.”
From Voluntary Action to Regulatory Mandates
Governments and regulators worldwide are shifting from voluntary cooperation to enforceable climate regulations. In Thailand, the forthcoming Climate Change Act and the development of the Thailand Taxonomy will provide clearer frameworks for defining sustainable economic activities and classifying environmental impacts.
Dr Teeradetch Tungsubutra, Partner at The Creagy Co., Ltd. and Executive Director of the Climate Finance Network Thailand (CFNT), said: “These new mechanisms represent the rules of the future. Companies that understand and adapt to this new landscape will be better positioned to gain long-term competitive advantages.”
In line with global trends, Thai listed companies will soon adopt IFRS S1 and S2 standards, requiring the disclosure of greenhouse gas emissions across Scopes 1, 2, and 3. Scope 1 covers direct emissions, Scope 2 relates to indirect emissions from energy consumption, and Scope 3 includes other indirect emissions across the supply chain. According to Thailand’s Securities and Exchange Commission (SEC), companies will have a five-year window to collect Scope 3 data before full compliance becomes mandatory.
SMEs: Critical Players in Carbon Reduction
Mr Chayathorn Chanruangvanich, Partner at PwC Thailand, emphasised that SMEs play a crucial role in reducing Scope 3 emissions, which can account for over 99% of a large company’s total emissions in some sectors. “SMEs must begin measuring and managing emissions now to remain compliant and integrated into the supply chains of larger companies,” he said.
The forum encouraged SMEs to start emissions data collection, establish baselines, and develop action plans to prepare for regulatory changes and improve operational efficiency.
Real-World Strategies from Business Leaders
In a panel discussion, three Thai business leaders shared their experiences in integrating sustainability into their operations:
- Mr Panu Petra, Deputy Managing Director of Petra Group, described initiatives such as building green-certified showrooms, installing solar rooftops, and fostering employee-driven sustainability innovation. “UOB’s Sustainability Compass offers a clear, accessible guide for businesses like ours to stay on track,” he said.
- Mr Soros Yodmongkol, CEO of Unique Plastic Industry Plc, highlighted the importance of leadership and cross-department collaboration. “Our sustainability committee unites every department to meet future regulatory expectations and manage operational costs effectively,” he said.
- Mr Arthit Vechakij, Chairman of Neo Clean Energy Co., Ltd., underscored the business case for renewable energy investments. “Solar energy not only helps reduce emissions but delivers strong financial returns. With Board of Investment tax incentives and upcoming legislation, now is the time to act,” he said.
Financing and Partnerships to Accelerate the Transition
UOB continues to drive sustainable business growth through its Smart City Sustainable Financing Framework, which funds projects in renewable energy, energy efficiency, water and waste management, and electric vehicle adoption.
“Sustainability requires strong partnerships,” said Mrs Panittra. “Beyond financial support, we are building networks that connect SMEs with sustainability solution providers, encouraging knowledge exchange and innovation.”
UOB Thailand will expand its sustainability innovation programme in the second half of 2025, fostering cross-sector collaboration to accelerate Thailand’s transition to a green economy.