The launch of the Thailand Green Taxonomy on July 5th has sent a strong signal that the country is committed to accelerating its decarbonization efforts. This move not only marks a significant milestone for Thailand's climate policy but also provides a blueprint for a greener future for the nation's business community, government, and experts.

Alfred Tang

Hatched by Alfred Tang

Oct 06, 2023

3 min read

0

The launch of the Thailand Green Taxonomy on July 5th has sent a strong signal that the country is committed to accelerating its decarbonization efforts. This move not only marks a significant milestone for Thailand's climate policy but also provides a blueprint for a greener future for the nation's business community, government, and experts.

The Green Taxonomy, which is divided into phases, will initially focus on two key sectors - energy and transportation. This science-guided and Thailand-specific approach ensures that the taxonomy is tailored to the country's unique circumstances and challenges. By starting with these sectors, Thailand can address the major sources of greenhouse gas emissions and prioritize actions that will have the greatest impact on decarbonization.

One of the key components of the Green Taxonomy is the disclosure of absolute gross greenhouse gas emissions. This aligns with the international standards set by the International Financial Reporting Standards (IFRS). The IFRS S2 Climate-related Disclosures require companies to provide transparent and accurate information about their emissions, allowing stakeholders to assess their environmental impact. By disclosing emissions data according to the Greenhouse Gas Protocol categories, companies can provide a comprehensive overview of their carbon footprint and identify areas for improvement.

In addition to disclosing emissions data, the Green Taxonomy also emphasizes the assessment of climate-related risks and opportunities throughout the value chain. This means that companies must not only consider their own emissions but also those of their subsidiaries, joint ventures, and associated entities. By taking a holistic approach to emissions accounting, companies can identify opportunities for emission reductions and collaborate with their partners to drive sustainable change.

It is important to note that the Green Taxonomy is designed to be greenwash-proof. Greenwashing refers to the practice of making misleading or unsubstantiated claims about the environmental benefits of a product, service, or company. By providing clear guidelines and standards, the Green Taxonomy ensures that businesses cannot simply claim to be green without meeting specific criteria. This will help build trust and credibility in the market and prevent companies from engaging in deceptive practices.

Thailand's familiarity with the catastrophic consequences of climate change has undoubtedly played a role in the development and adoption of the Green Taxonomy. The country has experienced firsthand the devastating impacts of extreme weather events, rising sea levels, and biodiversity loss. By taking proactive measures to address climate change, Thailand is not only protecting its citizens and natural resources but also positioning itself as a leader in sustainable development.

In conclusion, the launch of the Thailand Green Taxonomy is a significant step towards accelerating the country's decarbonization drive. By providing a clear roadmap for a green future, the taxonomy enables businesses, government, and experts to align their efforts and work towards a more sustainable and resilient Thailand. To support this transition, here are three actionable pieces of advice:

  • 1. Embrace transparency and disclosure: Companies should proactively disclose their emissions data and provide transparent information about their environmental impact. This will not only help assess their own performance but also enable stakeholders to make informed decisions and hold them accountable.
  • 2. Collaborate and engage stakeholders: Addressing climate change requires collective action. Companies should collaborate with their partners, suppliers, and customers to identify opportunities for emission reductions and drive sustainable change throughout the value chain. Engaging stakeholders will also help build trust and credibility in the market.
  • 3. Invest in innovation and technology: Transitioning to a green economy requires innovative solutions and technologies. Companies should invest in research and development to find new ways to reduce emissions, improve energy efficiency, and adopt clean technologies. By embracing innovation, companies can stay ahead of the curve and contribute to Thailand's decarbonization efforts.

By following these actionable advice, companies can not only comply with the Green Taxonomy but also contribute to Thailand's broader decarbonization goals. Together, we can build a greener and more sustainable future for Thailand and the planet.

Hatch New Ideas with Glasp AI 🐣

Glasp AI allows you to hatch new ideas based on your curated content. Let's curate and create with Glasp AI :)