Thailand is considering a proposal to allow businesses to offset up to 15% of their greenhouse gas emissions using carbon credits under its planned emissions trading system. The move is aimed at fostering the country’s voluntary carbon market and advancing climate goals, according to a senior official at the Stock Exchange of Thailand (SET).
The initiative, still pending government approval, would focus on credits from nature-based projects, particularly in forestry. If implemented, it would offer a more flexible approach compared to some neighboring countries. Singapore, for instance, currently permits companies to use carbon credits for up to 5% of taxable emissions.
Thailand is targeting full implementation of its emissions trading system by 2030 and is preparing to introduce a carbon tax of 200 baht (approximately $5.94) per tonne on oil products. The policy aligns with the country’s broader objective of achieving net zero emissions by 2065.
A BloombergNEF report in January identified around 2,166 facilities across sectors such as energy, construction, transportation, and agriculture that would be covered by the cap-and-trade framework. Authorities plan to collect emissions data between 2027 and 2028, with a pilot phase scheduled for 2029.
The details were shared by Suraphon Buphakosum, vice president and head of sustainability service development at the SET, during the Carbon Forward conference in Singapore.
