Pongvipa Lohsomboon Carbon Business Office

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1 Seminar on APEC Carbon Labeling Workshop 12 March 2013 in Manila, the Philippines on the Margin of the 36th APEC SME Working Group Meeting Carbon Labelling in Thailand: Experience and Lessons Learned Pongvipa Lohsomboon Carbon Business Office Thailand Greenhouse Gas Management Organization (Public Organization) (TGO)

2 Thailand GHGs Emissions in 2000 ~ MtCO2e Emission (1000 tons) 120, % 100,000 80,000 60, % 40,000 20, % -3.5% Energy Industrial Agriculture Landuse Process change & forestry Sources of emissions by sector Wastes 4.1% Thailand Greenhouse Gas Management Organization (Public Organization) (TGO)2 Source: Thailand 2 nd National Communication (

3 TGO s Activities TGO as the Designated National Authority for CDM office in Thailand We have activities to promote and support GHG emissions reduction that have been developed by the TGO and collaborative organizations. One of the most outstanding achievements is the promotion of carbon labeling in the country. Thailand Greenhouse Gas Management Organization (Public Organization) (TGO)3

4 Carbon Footprint of Products Project TGO and MTEC launched the Carbon Footprint of Products Project in Thailand in Objectives: To promote the use of a carbon footprint on Thai products; which in turn could increase the competitiveness of Thai industries for meeting the global trend market and to provides GHG emission of products to consumers. Thailand Greenhouse Gas Management Organization (Public Organization) (TGO)4

5 Life Cycle Inventory Database developed by MTEC (As of Dec 2012) WG1: Natural Gas 6 WG7: Agriculture/Agro-products (Cont) WG2: Refinery 8 Rice 17 WG3: Petrochemical 23 Pulp & Paper 9 WG4: Ferrous & Non-ferrous Para-wood 8 Ferrous 9 Cassava 2 Non-ferrous 5 Tapioca 7 WG5: Infrastructure/Transportation Longan 2 Electric Grid Mix 1 Pineapple 1 Water 6 Plantation of Plants (literature) 80 Road Transportation: Truck 188 Transportation: Ship & Rail 2 WG8: Basic chemicals WG6: Construction Materials Paints 6 Ceramics 7 Basic chemicals 55 Glass & Mirror 7 Chemical Products 4 Alternative Materials for Wood 3 WG9: Recycle/Waste Management Construction Materials 3 Incinerations 8 WG7: Agriculture/Agro-products Municipal Waste Treatment 10 Feed mill 15 Wastewater Treatment 3 Livestock 16 WG10: Others (Automotive Parts, EE Parts, Textile, Herbal Cosmetics) Thailand Greenhouse Gas Management Organization (Public Organization) (TGO)5 Rubber 7 TOTAL 766

6 The National Guidance on Carbon Footprint Calculation for Products Scope Normative reference Terms and definitions B2B, B2C assessment GHG source, unit GWP Time period Unit of analysis Supporting data Etc. Methodology framework Calculate method Number of carbon footprint Emission factor Etc. 6 Thailand Greenhouse Gas Management Organization (Public Organization) 6 (TGO)6

7 Certification Criteria on Carbon Footprint of Products Thailand Greenhouse Gas Management Organization (Public Organization) (TGO)7

8 CFP Registration Procedure Collect data/calculate for CFP CFP verification by TGO s registered verifier CFP verified data/application form Submit to TGO Validate documents TGO working group committee Approval for CFP Assessment Report Register CFP logo 2 months Thailand Greenhouse Gas Management Organization (Public Organization) (TGO)8

9 Thailand CFP Label Thailand Greenhouse Gas Management Organization (Public Organization) (TGO)9

10 CFP certified products การแสดงปร มาณ คาร บอนฟ ตพร นท บน เว บไซต ข นอย ก บ ผ ประกอบการ Thailand Greenhouse Gas Management Organization (Public Organization) (TGO) 10

11 Current Situation (As of 31/1/2013) Product certified 726 products / 177 companies Product Category Rule 119 PCRs Registered verifiers 18 Persons/ 1 entity Consultants listed on TGO s website 44 persons/ 4 entities Thailand Greenhouse Gas Management Organization (Public Organization) (TGO) 11

12 CFP certified products 726 products from 177 companies (as of 31/01/2013) Thailand Greenhouse Gas Management Organization (Public Organization) (TGO) 12

13 Industries Groups and Size Industry groups Size of Business Small Medium Large Total Food Plastic Construction Packaging Textile Electronic and Electric Automobile Printing Chemical Cosmetics Ceramic Paper Rubber Handicraft Total Thailand Greenhouse Gas Management Organization (Public Organization) (TGO) 13

14 The reasons why manufacturers are interested to have the CFP label From surveys 1. Response to the Corporate Social Responsibility program 2. Identify GHG emissions hotspots in their supply chain leading to emissions reductions and cost savings 3. Want to increase their export competitiveness 4. CFP label was requested by customers in other countries, For example, maltitol sweetener (B2B): a chewing gum company in USA, Natural starch (B2B) and Copper rotors (B2B) were requested by manufacturers in Japan 5. Same product by other manufacturers has CFP certified 6. Prepare for the possible effects of future regulation Thailand Greenhouse Gas Management Organization (Public Organization) (TGO) 14

15 Lessons-learned from Thai CFP project (1) CFP in Thailand is a successful case: many companies and products involved. It shows climate change can be used as an effective marketing tool LCI database is crucial prior to CFP program development CFP is a good application of Life Cycle Assessment (LCA): LCA concept was recognized widely among companies through CFP and it also enable LCI database to be improved faster SMEs need consultancy on calculation because CFP methodology is complicated Required data is not sufficient due to lack of data management Lack of small enterprises participation when consultancy is not free of charge Thailand Greenhouse Gas Management Organization (Public Organization) (TGO) 15

16 Lessons-learned from Thai CFP project (2) There is still poor public recognition of CFP: consumers and some SMEs do not know the meaning or reasons to calculate CFP. Creating awareness by targeting industries directly instead of going through the consumer Half of CFP certified products are business-to-business (B2B), not end-consumer products. Therefore CFP is used to compete in the product supply chain Thailand Greenhouse Gas Management Organization (Public Organization) (TGO) 16

17 Thank you Government Complex, Building B Floor 9, 120 Chaengwattana Road, Laksi, Bangkok Tel Fax Thailand Greenhouse Gas Management Organization (Public Organization) (TGO) 17