Venture to facilitate a cut in emissions

The Industrial Estate Authority of Thailand (IEAT) is promoting solar energy at its estates nationwide under a new joint venture aimed at helping the government reduce carbon emissions in the manufacturing sector.

The authority teamed up with renewable energy developer Prime Road Power Plc to set up a new company, Prime Industrial Energy, to install solar panels and help factories better manage their energy usage.

“The new firm will support the government’s policy to improve energy efficiency and use more renewable energy in industrial estates,” said Veeris Ammarapala, governor of the IEAT.

Prime Minister Prayut Chan-ocha vowed during the 26th UN Climate Change Conference in Glasgow late last year that Thailand would be more aggressive in addressing climate change, striving to reach carbon neutrality by 2050 and net-zero emissions by 2065.

The two goals refer to attempts to strike a balance between emissions and the absorption of carbon dioxide and greenhouse gases.

The IEAT is promoting eco-friendly manufacturing in order to reduce greenhouse gas emissions in its industrial estates by 2.5 million kilogrammes of carbon dioxide equivalent (kgCO2e) between 2021 and 2025, or around 500,000 kgCO2e per year.

Under the joint venture, the IEAT made a 25% investment in Prime Industrial Energy, while the remaining 75% was made by Prime Road Power.

The new company has registered capital of 100 million baht.

The IEAT Act allows the authority to form joint ventures with Thai or foreign companies to embark on new businesses.

Somprasong Panjalak, chief executive of Prime Road Power, said the new venture would focus on renewable energy-related businesses, ranging from consultancy services and solar panel installation to engineering designs and financial issues.

The IEAT runs the Map Ta Phut deepsea port and a total of 66 industrial estates in 16 provinces, 15 of which are solely owned by the IEAT, while the other 51 are operated under joint ventures.