“ESG is in the DNA of Bangchak. We integrate ESG into businesses to foster sustainability.” Bangchak Group CEO presented “The Great Remake: Always Ahead of the Curve” at the ESG: Game Changer #ChangeForASustainableWorld Seminar

Chaiwat Kovavisarach, Group Chief Executive Officer and President, Bangchak Corporation Public Company Limited, was invited as a speaker on the topic “The Great Remake: Always Ahead of the Curve”, as he leads an organization that has prioritized sustainability in the environmental, social, and governance (ESG) dimensions for nearly four decades and emphasized the importance of integrating ESG into business or transforming it into a sustainable model. The seminar titled “ESG: Game Changer #ChangeForASustainableWorld,” was organized by Prachachat Turakij at Samyan Mitrtown.

Chaiwat shared how integrating ESG into business operations is akin to the DNA of Bangchak, a critical factor in fostering sustainability. He cited Bangchak’s initiatives in several “first” businesses in Thailand, such as the “Rice for Oil” initiative that aided farmers through agricultural cooperatives during times of low rice prices and high oil prices. This initiative evolved into the first Cooperative Service Station in 1990. Presently, with over 600 cooperative service stations nationwide, it has become a sustainable social enterprise. Additionally, Bangchak’s offering community products as premium giveaways began during the economic crisis in 1997, contributing to the sustainability of the local economy. Moreover, Bangchak has led the efforts in renewable energy, including the production and retailing of biofuels at its service stations since 2005.

Entering the era of energy transition, Bangchak became the first Thai company to invest in lithium mines in South America through a company in the United States. It also expanded its green power business via BCPG Public Company Limited. It established the GEMS service station, which serves as a pilot innovation and environmental initiative featuring an energy storage system and blockchain energy trading platform. In 2020, it took a significant step by becoming one of the first companies in the country to announce target of achieving Net Zero GHG Emissions in 2050, by implementing the BCP316 NET plan. Moreover, Bangchak has been creating ecosystems for a low-carbon society, including piloting Winnonie, the EV bike platform with an automated battery swapping network. Furthermore, Bangchak established the Carbon Markets Club to promote carbon credit trading and supported knowledge sharing about synthetic biology, among other initiatives. Recently, Bangchak achieved another milestone by becoming the first company in Thailand to produce sustainable aviation fuel (SAF) from used cooking oil.

Chaiwat highlighted SAF as a crucial business opportunity and a critical solution to reducing greenhouse gas emissions, especially considering the decreasing demand for fuel from road transportation and the increasing demand from the global marine and aviation transport sectors. With the aviation industry’s carbon dioxide emissions expected to rise significantly, SAF offers a critical means to mitigate these carbon dioxide emissions. In addition to becoming the first SAF producer in the next 1-2 years, Bangchak is also developing a Book and Claim registration system using blockchain technology through the Carbon Markets Club. This system aims to enable passengers to offset their carbon footprint by choosing to travel with SAF.

Chaiwat concluded that “Investing in businesses that integrate ESG principles and create long-term returns is crucial for the planet and society, as it ensures the sustainability of ESG practices.”