Washington: John Morton
Bangkok: Pichaya Fitts
BANGKOK, June 5, 2009 – Thailand’s effort to reduce greenhouse gas emissions and promote renewable energy gets another boost from the World Bank, with the latest carbon finance agreement signed today.
The agreement is between the World Bank and Thailand’s Sapthip Co. Ltd., which produces ethanol fuel from cassava chips. Under the agreement, the Bank will purchase certified greenhouse gas emission reductions equivalent to 375,000 tons of carbon-dioxide. The reductions will result from improvements at Sapthip’s ethanol refinery in Lopburi province. The purchase agreement covers the period from 2010-2012.
This is the second carbon finance agreement the World Bank has signed with Thailand in less than two weeks, noted Annette Dixon, the Bank’s Country Director in charge of five Southeast Asian countries, including Thailand. “The world is beginning to step up to the challenge of climate change, and the World Bank is fully committed to supporting this effort,” she said. “I hope that we clearly demonstrate our commitment today as we sign the second agreement in Thailand in just two weeks.”
Sapthip is a subsidiary of Sapsathaporn Co. Ltd., a manufacturer and wholesaler of cassava and tapioca products. The company was set up recently to take advantage of Thailand’s position as one of the largest cassava producing countries in the World to support Thailand’s growing interest in biofuels.
Its refinery, located some 150 kilometers north of Bangkok, is designed to produce 200,000 liters of ethanol fuel daily. The plant requires energy to heat its boilers and also will generate 1,580 cubic meters of wastewater per day. The plant would normally emit greenhouse gases by using coal for its energy supply and by managing wastewater in a way that allows of the emission of the greenhouse gas methane to the atmosphere.
This project will reduce both the emissions of methane gas from the wastewater and Sapthip’s consumption of coal. The company is installing a wastewater treatment technology that also captures methane gas. It will then use the captured gas and solid residues as renewable energy sources to generate power for the plant. The Bank estimated that the company will reduce emissions of 154,864 tons of carbon-dioxide-equivalent per year after the wastewater treatment-methane capturing system has been installed.
“We are pleased to play our part in the fight against global warming by capturing methane from our new wastewater treatment facility and converting it to clean renewable energy and getting carbon credits for our efforts,” said Supoj Srisathaporn, Director, Sapthip Co. Ltd.
The agreement signing took place in Bangkok today and was witnessed by H.E. Suwit Khunkitti, the Minister of Natural Resources and Environment.
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For more information about the World Bank’s carbon finance operations in East Asia and the Pacific, visit www.worldbank.org/eapcarbonfinance
To learn more about the World Bank in Thailand, visit www.worldbank.or.th