GHG Management | RATCH Group PCL. (RATCH)

Tracking GHG emissions through carbon footprint assessment

RATCH Group, through Ratchaburi Power Plant, RATCH Cogeneration Power Plant, Nava Nakorn Power Plant, and in 2022, Sahacogen (Chonburi) Power Plant, in which RATCH has operational control, assessed their carbon footprints in line with Thailand Greenhouse Gas Management (Public Organization)’s carbon footprint calculation and reporting criteria, using the amounts that included other indirect emissions (Scope 3) as the base year. The power plants applied for 2022 TGO’s carbon footprint certificate in 2023 and were certified from TGO as follows:

Amount of emissions (tCO₂e) based on carbon footprint for organization (CFO) assessment
Power plant	Direct emissions (Scope 1) Use of fuels - natural gas, bunker oil and diesel - for power generation Use of fuels for transportation Use of limestone in desulfurization process Leakage of sulfur hexafluoride (SF₆) and coolants				Indirect emissions (Scope 2) Power supply from Electricity Generating Authority of Thailand Power supply from Provincial Electricity Authority Power supply from Metropolitan Electricity Authority				Other indirect emissions (Scope 3) Emissions from upstream sources Emissions from downstream sources
Year	(base year)	2020	2021	2022*	(base year)	2020	2021	2022*	2020	2021	2022*
Ratchaburi	7,128,375 (2015)	4,997,704	4,950,948	6,302,398	27,702 (2015)	18,837	28,131	22,270	-	2,413,616	2,729,674
RATCH Cogeneration	-	313,927	300,854	307,544	-	25	1,069	149	91,804	88,628	88,316
Nava Nakorn	-	-	515,185	485,947	-	-	50	31	-	159,912	153,777
Sahacogen (Chonburi)	-	-	-	525,399	-	-	-	16	-	-	139,785
RATCH Group Building	73 (2018)	664	43	58	1,110 (2018)	888	813	846	-	36	46

Emission reduction under T-VER program

Performance summary of T-VER projects

Registration No.	Project	Type of project	Status		Crediting period	Amount of carbon credit (tCO₂e)		Next certification plan
Registration No.	Project	Type of project	Registered	Carbon Credit Certified	Crediting period	Estimated entire period	Certified	Next certification plan
105	Energy Efficiency Project through LED Lighting Replacement by Ratchaburi Electricity Generating Co.,Ltd.	Energy efficiency (EE)			7 years	5,397	3,064 (4 years)	2024
131	Solar Floating Project at Ratchaburi Electricity Generating Co.,Ltd.	Renewable energy (RE)			7 years	12,418	1,513 (1 year)	2024
185	Sustainable Forestation Project of Ratchaburi Power Plant by Ratchaburi Electricity Generating Co.,Ltd.	Forest and Green area (FOR)			20 years	1,140	390 (3 years)	2027
Total						18,955	4,967

Application for carbon credit certification for Sustainable Forestation Project of Ratchaburi Power Plant

RATCH Group, through Ratchaburi Power Plant, has participated in Thailand Voluntary Emission Reduction Program (T-VER) – Forestation and Green Area, aside from the energy efficiency and renewable energy categories. In 2022, the power plant carried out the first evaluation on the forestation project, covering a 48-rai area in its premise, which was registered for Thailand Greenhouse Gas Management (Public Organization)’s carbon credit certification (Registration #185) on 29 October 2019.

The evaluation showed that additional 390 tCO₂e was sequestrated by the teak and broad-leaf mahogany plantation area during 1 September 2019 and 23 September 2022 (3 years and 23 days), or 130 tCO₂e on annual average. The amount was above the 57 tCO₂e projection stated in the application, or 2.3 times, thanks tCO₂e favorable condition for teak and broad-leaf mahogany trees and proper maintenance and management. Under the project, weed was under control and tree branches were cut, along with the management of other risks. Through the project, the power plant prepared itself for Thailand’s Emission Trading Scheme (ETS).

GHG sequestration	Tons of carbon dioxide equivalent (tCO₂e)
(1) Amount of carbon sequestrated in the project area during 2019-2022	1,409.83
(2) Amount of carbon sequestrated in the project area in the base year 2019	1,019.38
Net amount of sequestrated carbon = (1) – (2)	390.45

Emission reduction through production efficiency enhancement

All 7 power plants in the Company Group and head office implemented 22 fuel- and energy-saving activities, resulting in 23,620 million BTU of saved heat rate and 5,775 megawatt-hours of saved electric power equivalent to 6,347 tCO₂e of reduced emissions. This translated into a decrease in expenses by THB 2.1 million.

PROJECT/ACTIVITY	2022 Energy-saving target	No. of activities/ projects	Saved heat usage (million BTU/year)	Saved energy (kWh/year)	Saved expenses (BAHT/year)	Investment (BAHT)	Reduced GHG emissions (tCO₂e)
Ratchaburi Power Plant	Electric power 3,257,000 kWh	4	-	3,210,687	9,634,395	128,000	1,605
Nava Nakorn Power Plant	Heat rate 11,659 MMBTU	3	2,793	-	1,448,270	-	409
Berkprai Cogeneration	Electric power 156,363 kWh	5	1,565	169,989	824,123	-	314
RATCH cogeneration	Electric power 725,810 kWh	3	-	974,484	3,897,936	1,077,440	487
Sahacogen (Chonburi)	Heat rate 26,336,936 MJ	5	19,261	1,153,927	3,817,335	396,574	3,399
Head Office	Electric power 19,523 kWh	2	-	265,954	180,959	543,610	133

Emission reduction through renewable energy

In 2022, RATCH’s renewable energy capacity accordingly to the equity installed capacity of commercially-operated power plants totaled 1,551.2* MW, or 15.8% of total capacity of 9,787 MW. Net power output from renewable energy sources reached 3,480,497 megawatts-hour, up by 15 % from 2021 and accounted for 12 % of total output in 2022. The GHG emissions were reduced 2,574,709 tCO₂e

Renewable energy source	Net power output (MWh)		Increase from 2021 (tCO₂e)		%
Renewable energy source	Total	RATCH’s equity sharing	Total	RATCH’s equity sharing	%
1. Solar power	183,147	131,255	1,261	2,501	1.9
2. Wind power	2,217,480	1,727,537	56,549	85,859	5.2
3. Hydropower	5,005,134	1,527,682	171,347	298,091	24.2
4. Biomass	198,953	94,023	127,936	65,616	231

*Note: excluding the equity installed capacity in EDL-Gen and Bangkok Aviation Fuel Services PCL.

Promotion of external emission reduction

Community Energy Project Phase 3 (2020-2022), at Yang Hak sub-district, Pak Tho District, Ratchaburi Province

In the third year of the Community Energy Project at Yang Hak sub-district, the company evaluated the energy efficiency of 6 water pumps that switched from gasoline to solar power and 8 solar-powered water pumps, given to the community to support 100 households’ agricultural activities along with 2 community energy learning centers. The evaluation showed the project reduced greenhouse gases by 40.8 tons of carbon dioxide equivalent in 2022, saving the households’ expenses by THB 330,777. The project benefited 500 households or 15.53 % of households in Yang Hak sub-district, Pak Tho District, Ratchaburi Province.

Project impact assessment in 2020-2022

Activity	Social dimension	Economic dimension	Environmental dimension
Solar-powered water pumps (3,400 watt) given to 6 pilot households Six sets of solar-powered water pump equipment and sixty 340-watt solar panels (10 panels for each household) Inverter equipment for solar-powered water pumps and electric cabinet	6 pilot households	Expenses cut by approximately THB 210,870 per year	Carbon emissions reduced by approximately 26 tCO₂e per year
Eight 600-watt solar-powered water pumps given for community use	100 households (Serving agricultural purposes of 98 households and consumption purposes of 17 households)	Expenses cut by approximately THB 49,617 per year	Carbon emissions reduced by approximately 6.12 tCO₂e per year
Solar-powered pumping system given to 2 learning centers	2 learning centers	Expenses cut by approximately THB 70,290 per year	Carbon emissions reduced by approximately 8.67 tCO₂e per year

* Based on TGO’s calculation methodology: Gasoline combustion of not-moving engine releases 2.1896 kg of carbon dioxide per liter (kgCO₂e)

Low Emission Support Scheme (LESS)

In 2022, Thailand Greenhouse Gas Management (Public Organization) certified for the emission reduction of 11.527 tCO₂e. The certification was awarded to the company’s two community projects that supported renewable energy generation under the Low Emission Support Scheme (LESS) scheme. The projects are:

Project	Reduced GHG emissions (tCO₂e)
Solar-power promotion at Ban Hua Ha, Mae Hong Son Province	4.859
Community Energy Project at Yang Hak Sub-district, Pak Tho District, Ratchaburi Province	6.668
Total	11.527

Forestation for carbon sink creation and carbon credits

RATCH initiated two forest conservation projects to enhance biodiversity and create carbon sinks. The first project was launched in cooperation with the Royal Forest Department to grow trees in 500-rai terrestrial forest. The second project involved the forestation on 113.47-rai mangrove forest allocated by the Department of Marine and Coastal Resources. Both projects are located in Chanthaburi Province. The company plans to register both under Thailand Greenhouse Gas Management (Public Organization)’s T-VER scheme, for the certification of 20-year carbon credits. The Company targets to cover 50,100 rai of forest areas for its carbon sink creation initiative.

Performance in 2022

In addition, RATCH signed a memorandum of understanding with Mae Fah Luang Foundation on “the Forest Carbon Credits Management for Sustainable Development Project”. The project promotes the coexistence of community and community forests through a balanced/sustainable approach in using forest resources. The community forest will participate in Thailand Voluntary Emission Reduction (T-VER) scheme. Under this initiative, the community will have strong mechanism in maintaining forest resources and the environment, gain knowledge in evaluating and following up on forest growth and biodiversity and enjoy job opportunities, for mutual growth and sustainability. RATCH provided supports to community forests in the North and the Northeast, covering 11,000 rai. The Project Design Document (PDD) for T-VER registration is slated for completion within 2027.

Forest Conservation Activities
Objectives	Demonstrate the company’s commitment and determination to forest and biodiversity conservation. Support the company’s carbon emission reduction approach and targets, by creating carbon sink and carbon credits from enlarged forest areas. Enhance community capability in the maintenance and use of forest resources as well as evaluate the carbon adsorption capacity and biodiversity of forests.
Targets	Plan, set the targets and prepare the greenhouse gas emission reduction roadmap in the short, medium and long terms, based on the acquired data. Show the company’s commitment to developing forests and promote biodiversity. (Deforestation and Biodiversity Commitment) Support climate change adaptation in the dimensions of flood and drought protection as well as food security. Enhance the effectiveness of ecosystem and biodiversity conservation for community.
Direct benefits	Enhance carbon removal through forestation Enhance and restore abundance and biodiversity
Co-Benefits	Community engagement in joint study and forest data gathering, aside from jobs as tree growers and caretakers of the project’s forests. Share knowledge on climate change and tree’s carbon sequestration with community and enhance community capability in and enhance community capability in data preparation and carbon assessment.

Promote the maintenance of community forest for carbon sequestration

RATCH maintains its commitment to supporting community forest activities nationwide through the “Love the Forest and the Community Project”. Throughout the past 15 years, with the company’s supports communities have strengthened their forest management capability and the benefits include carbon capture, water retention in soil and values to the ecosystem.

GHG Emission Disclosure

Disclosure channel	Target groups	Results
Sustainability Report preparation under GRI standard	Shareholders, investors, stakeholders and the general public	Assurance of Sustainability Report 2022 and key indicators in environmental and social dimensions in accordance with GRI reporting standards 2021
Stock Exchange of Thailand’s sustainability assessment	Shareholders, investors, stakeholders and the general public	Being a member of Thailand Sustainability Investment (THSI) in Group 2 category for companies with THB 30,000 - THB 100,000 million in market capitalization million for the 8th consecutive year
Response to sustainability questionnaire of S&P ESG Indices	Investors and stakeholders	RATCH was selected to complete S&P ESG Indices questionnaire for the second year and the evaluation score was 5% higher than in 2021.
Response to Carbon Disclosure Project questionnaire	Shareholders, investors and stakeholders	RATCH joined Carbon Disclosure Project (CDP) in disclosing its operations for climate change and water security. The disclosure contained principal data on risk and impact assessment as well as targets on climate change and water utilization responses.

RATCH received honorary “Sustainability Disclosure Award 2022” from Thaipat Institute for the fourth consecutive year, recognized for the Completeness, Credibility and Communication of its publicly-disclosed Sustainability Report based on the Ceres-ACCA criteria.