PTT Plc, Thailand’s national energy titan, is reshaping its blueprint to harmonize business expansion with environmental sustainability, aspiring to dovetail both its own and Thailand’s aspirations for carbon neutrality and net-zero emissions, according to the company’s CEO. In a recent tête-à-tête with the Bangkok Post, PTT President and CEO Kongkrapan Intarajang unveiled that the company is avidly aligning business growth with sustainability, a move designed to fortify Thailand’s national energy security. PTT has thrown down the gauntlet by setting an audacious objective of reaching carbon net zero by 2050, a full 15 years ahead of the national deadline of 2065 agreed upon at COP26 in Glasgow, Scotland.
Steering towards a green horizon, PTT has dichotomized its operations into two cardinal areas: the hydrocarbon and power business and the non-hydrocarbon business. The hydrocarbon and power segment is anchored in sustainable expansion, zeroing in on reducing carbon emissions and syncing with global trends, such as embracing hydrogen energy and carbon capture and storage (CCS) technology. Their existing operations—upstream, downstream, and power—are ramping up decarbonization initiatives to stay competitive in a progressively eco-conscious market.
On the flip side, the non-hydrocarbon sector is getting a makeover, with a renewed focus on electric vehicles, logistics, and life sciences to dial up their market magnetism and strategic soundness. “Our past investments were somewhat scattered. Today’s investors crave substantial outcomes, compelling us to recalibrate towards smart investments, where we play to our strengths, further sustainability, slice greenhouse gases, and amplify EBIDA,” elucidated Mr. Kongkrapan.
Mr. Kongkrapan conceded that the CCS business is indeed cost-intensive but sees it as a golden opportunity that dovetails with global megatrends. The broader PTT group will join forces on CCS initiatives, underscoring a collaborative ethos. As for hydrogen energy, although current demand is in its infancy, the nation’s latest Power Development Plan (PDP) earmarks hydrogen as 5% of the total energy mix for electricity generation.
With hydrogen gearing up to take the global stage as a green energy linchpin, PTT is in lockstep with the government to construct the necessary infrastructure, paving the way for future hydrogen imports, noted the CEO.
Jatuporn Buruspat, Permanent Secretary of the Ministry of Natural Resources and Environment and a stalwart member of PTT’s board, underscored the imperative of private-sector involvement in the crusade to curtail carbon emissions. He spotlighted PTT’s crucial role in propelling Thailand closer to its carbon reduction pledges. Thailand is bracing for a peak in carbon emissions at 388 million tonnes by 2025, a stark rise from 269 million tonnes in 2021. The country stands committed to the United Nations to shave off 40% of its emissions by 2030, aiming squarely for carbon net zero by 2065. Soberingly, the PTT Group is accountable for nearly one-sixth of Thailand’s entire CO2 footprint, rendering its decarbonization and CCS ventures pivotal, Mr. Jatuporn emphasized.
Furthermore, Mr. Jatuporn echoed that while Thailand contributes a mere 0.8% to global CO2 emissions, it is paradoxically one of the top 10 nations most vulnerable to the caprices of climate change, courtesy of its sprawling 3,000 kilometers of coastline. He advocated leaving no stone unturned to mitigate carbon emissions and proposed an audacious measure: the complete phase-out of coal use in Thailand within the next decade.
In weaving business growth with sustainability, PTT is not merely fueling engines but igniting a transformative journey for Thailand’s energy landscape. It’s a state of flux where every strategic maneuver is punctuated by a clear-eyed vision for a greener, more resilient future.
PTT setting such an ambitious goal is commendable, but a 2050 target still feels too slow given the urgent climate crisis we’re facing.
Agreed! Why not aim for 2030? Other companies and countries are setting much more aggressive targets.
2030 is way too optimistic. The infrastructure changes required are massive and costly.
Realistically, 2050 is a huge step forward for an energy giant like PTT. Transformations on this scale take time.
Exactly. People seem to forget how dependent we still are on oil and gas. Transitioning too quickly could have severe economic repercussions.
It’s ironic that a major oil company is now a champion of carbon neutrality. Can we really trust them to follow through?
Good point. These companies have a history of greenwashing. Their main goal is still profit, not the planet.
While skepticism is healthy, PTT has much to gain by genuinely transitioning. The future market will favor sustainable energy.
CCS technology is ridiculously expensive and unproven at scale. PTT should focus more on renewables.
Unproven, yes, but essential if we have any hope of hitting global carbon targets. Not everything can be powered by renewables alone.
Exactly! Renewables are great, but without reliable storage solutions, they can’t provide a stable energy supply.
I see your point, but we should be investing heavily in improving battery technology and other renewable storage solutions.
I think the focus on hydrogen is smart. It’s a versatile energy carrier and could revolutionize many industries, not just power generation.
Hydrogen is a long way from being practical. It’s expensive to produce and not as efficient as other energy sources.
Electric vehicles alone can’t save us. We need a holistic approach like PTT is suggesting, with life sciences and other sectors playing a role.
True, but electric vehicles are a significant step forward. The non-hydrocarbon segment will play a key role in reducing GHG emissions.
Thailand phasing out coal in the next decade sounds fantastic. It’s about time we stop subsidizing such a harmful industry.
But where will we get affordable energy in the meantime? The transition needs to be balanced to avoid blackouts or massive price hikes.
You’re right about the need for balance, but the harm from coal far outweighs its short-term economic benefits.
Thailand only contributes 0.8% to global CO2. They shouldn’t bear the burden alone. Major polluters need to step up.
Every little bit helps! Small countries can still make a big impact through leadership and innovation.
That’s true, but it’s a global issue. Wealthier nations with higher emissions need to lead the way, not just developing countries.
The problem is that every nation waiting for others to act first is a recipe for disaster. We need collective and simultaneous action.
It’s essential that PTT collaborates with the government closely. Such ambitious targets can’t be met without strong policy support.
Exactly, policy and regulation will be essential to make sure these targets are more than just empty promises.