Oil and Gas Industry’s Role on the Transition to a Low-Carbon Future in Thailand

Abstract

The present study examines role of oil and gas (O&G) industry in Thailand towards the transition to a low-carbon future or, in other words, the diversification of the energy mix to be less dependent on fossil fuels and increase the penetration of renewable and alternative energy. It proposes that although government policy is important to drive changes in the energy mix, the O&G industry, an established energy supplier, could arguably be a key player for sustainable energy development. After reviewing the energy policy of Thailand, and in particular the climate change mitigation and renewable and alternative energy development policy, the study distributed an online questionnaire survey and conducted interviews with six O&G companies in Thailand to gain first-hand data on their corporate response to climate change and low-carbon energy sources. Findings revealed proactive responses in climate change mitigation with various activities undertaken signifying a range of degree of commitment among the various companies. Finally, the authors outlined policy recommendations based on an analysis of incentives and rationales for companies to take part in low-carbon energy development in Thailand.