EGAT - Electricity Generating Authority of Thailand

02/08/2023 | Press release | Distributed by Public on 02/07/2023 22:17

Nestlé, EGAT, and INNOPOWER join forces to pilot green energy use in food industry, aiming for proactive GHG emissions reduction

Nestlé, EGAT, and INNOPOWER join forces to pilot green energy use in food industry, aiming for proactive GHG emissions reduction

8 February 2023

Nestlé Thailand joined hands with EGAT and INNOPOWER to pilot the manufacture of Nestlé Ice Cream with 100% electricity generated from renewable energy in the food industry, and to test green energy procurement options guaranteed by INNOPOWER's REC to achieve Net Zero Emissions and promote green energy mechanism according to international standards.

On February 7, 2023, Mr. Victor Seah, Chairman and CEO of Nestlé Indochina; Mr.Warit Rattanachuen, Assistant Governor - Research, Innovation and Business Development as Project Management Office of the Electricity Generating Authority of Thailand (EGAT); and Mr.Athip Tantivorawong, CEO of INNOPOWER Company Limited jointly announced the collaboration on electricity procurement in the utility level to achieve Net Zero Emissions at Press Conference Room, 3rd Floor, EGAT 50th Anniversary Building, EGAT Headquarters, Nonthaburi Province.

Mr. Victor Seah, Chairman and CEO of Nestlé Indochina said that the company aims for Net Zero Emissions by 2050. One of the projects under Thailand's sustainability scheme to achieve the mentioned target is the use of 100% renewable energy in every manufacturing factory of Nestlé by 2025. Today, we are pleased to cooperate with EGAT on the use of 100% green electricity from renewable energy at the Nestlé Ice Cream factory to be piloted for the first time in Thailand's fast-moving consumer goods (FMCG) industry under the Utility Green Tariff. As the largest food and beverage company in the world, Nestlé is aware that its production affects the environment. This is an important step for Nestlé's business operation to help develop Thailand and the world to be more sustainable and livable.

Mr. Warit Rattanachuen, EGAT Assistant Governor - Research, Innovation and Business Development revealed that this collaboration between Nestlé Thailand and EGAT is an important step in driving the use of renewable energy in manufacturing of the food industry, which is a main industry close to the consumers. Moreover, it tests the mechanism of trading electricity from renewable energy in the form of green energy procurement under the Utility Green Tariff as a part of the ERC Sandbox Project, Phase 2, for a period of 1 year. EGAT is ready to be the management center or Arrangement Unit matching Green Energy Portfolio, comprising dams registered in I-REC platform of EGAT namely Bhumibol Dam, Naresuan Dam, Mae Klong Dam, Chao Phraya Dam, and Kwae Noi Bumrung Dan Dam, according to the actual daily electricity usage report of Nestlé Thailand Bang Chan factory as well as reviewing the Renewable Energy Certificate (REC) to confirm the correct production source and electricity usage. The project aims to test the options of green energy procurement to enhance the green energy sector of Thailand at an international level in line with governmental policies and the readiness to meet the green energy demand of all business sectors. It will also reduce carbon border tax such as CBAM and increase national competitiveness with power innovations, driving the country toward a low carbon society and the goal of Net Zero Emissions of the country and industrial sector.

Mr. Athip Tantivorawong, CEO of INNOPOWER Company Limited, added that as a full-service REC provider and trader, INNOPOWER supported the trading of over 1,000,000 RECs in 2022. It is estimated that the REC market would reach exponential growth due to the readiness of power users toward Net Zero Emissions, resulting in not only the increase of RECs but also an improved standard of green energy access from an annual rate to a daily or hourly rate.

INNOPOWER, in collaboration with allies, has developed innovations to serve power users to achieve Net Zero Emissions; including RECs Aggregator to increase income, support power generation from small power producers, and prepare for Utility Green Tariff power trading. The company believes that experience exchange and collaboration will accelerate the development toward sustainability and would like to cooperate with all sectors to set a standard for eco-friendly power usage in Thailand. For more information, please visit www.innopower.co.th or contact [email protected].