1

AsianProductivityOrganization

developmentacademy of

thephilippines

Philippine Business for the

Environment

International Conference on

Environmental Finance and Markets Evaluating Non-financial Factors in Region

The Success Story of “Thai Green Public Procurement Project” and Opportunity of

Socially Responsible Investment in Thailand

Dr. Chaiyod BunyagidjDr. Chaiyod Bunyagidj

Vice President, Thailand Environment InstituteVice President, Thailand Environment Institute 20 March 200920 March 2009

2

Content• Thailand’s Green Label experience : 2008

• Thai Green Public Procurement

• Socially Responsible Investment

3

Thailand's Green label Thailand's Green label Experience : 2008Experience : 2008

Thailand Environment InstituteThailand Environment Institute

4

Thai Green Label Scheme• initiated by the Thailand Business Council

for Sustainable Development (TBCSD) in 1993

• formally launched in August 1994 by the Thailand Environment Institute (TEI) and the Thailand Industrial Standards Institute (TISI), Ministry of Industry

• in consultation with the Federal Environmental Agency of Germany

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Thai Green Label• type I environment certification awarded to

specific products that are shown to have less impact on the environment, in comparison with other products serving the same function

• apply to products and services excluding food, beverages, and pharmaceuticals

• voluntary participation• open to both domestic and foreign suppliers

6

Three Steps

• Selection of product categories

• Development and adoption of appropriate criteria

• Certification and licensing

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Principles of Criteria Development• environmental assessment of the product’s l

ife cycle• solving specific issues of high national priorit

y• capability to meet proposed criteria with

reasonable process modification and/or improvement

• possessing appropriate test methods

review every 3 year

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Assessment Matrix

Life Cycle of Products Environmental Aspects Pre-

production Production Distribution Use Disposal

Raw Material Use Energy Consumption Emission/ release of Pollutant into

- air - water - soil Waste Other impact

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Washing Machine Life CycleDesignChoice of materialsExtraction of raw materialsMaterial manufactureUse of recycled materialsTransport of materials & componentsManufacturing of componentsWashing machine manufacture

PackagingTransport

OperationDurabilityReliabilityDetergent useWater use

Collection, TransportRecyclingLandfill, Incineration

Raw MaterialsEmissions and solid waste

Emissions and solid waste

Emissions and solid waste

Emissions andsolid waste

Production

Distribution

Use

Disposal

Energy

Energy

Energy

Water

Energy

Source: PA Consulting Group, 1992

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LCI of Washing Machines

0

10

20

30

40

50

60

70

80

90

100

110

Production Distribution Use Disposal

Per

cen

tag

e C

on

trib

uti

on

of

Lif

e C

ycl

e S

tag

es

to T

ota

l E

nv

iro

nm

ent

Imp

act

Energy

Critical Air Volume

Critical Water Volume

Solid Waste

Water Consumption

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GL Criteria of Washing Machines

• good washing performance• electricity consumption for normal cycle

not exceed 0.04 kWh/ kg of washload• water consumption for normal cycle not

exceed 35 litters/kg of washload• noise level not exceed 65 dBA• use mark/symbol to identify plastic

types

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Technical Committee Meeting

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Transparency and Consultation Process• criteria developed by Technical Subcommittee

for each product category• draft criteria sent for comments to relevant

parties (30 days period)• all comments will be carefully considered• send revised final criteria for approval to the

Thai Green Label Board• final criteria are published in a press bulletin

of TISI

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Criteria of 42 Product CategoriesNo.

Products Criteria

No.

Products Criteria

1 Products Made From Recycled Plastics

- -TGL 1 R-106

2

2

Metal Furnitures - -21 9

9

2 Fluorescent Lamps - -RR -22

02

2

3

Product Made from Rubberwood

- -22 9

9

3 Refrigerators - -3TGL R-202

2

4

Electronic Ballasts -R2- -3 1R03

4 Paints - - -43TGL R08

2

5Soaps - -24 9

9

5 Flushing Toilets - -5TGL R-203

2

6

Surface Cleaners - -25 9

9

6 No Mercury Added Batteries - -696 2

7

Correcting Agents - -26 0

0

7

-Air conditioners- -7TGL R

-1032

8 Photocopiers-R2- -7 1R06

8 Paper - -8TGL R-106

2

9

Gasoline stations - -28 0

1

9 Sprays with zero ODP & GWPsubstances

- -9TGL R-106

3

0 Writing Instruments - -29 0

0

1

0

Detergents - -10 9

7

3

1

Toner Cartridges -R3- -0 1R03

1

1 Faucets and Sanitary Accesso

ries-R1- -1 1R03

3

2

Fertilizers - -31 0

2

1

2

Computers - -12 9

7

3

3 Roof tile paints - -32 0

1

1

3 Clothes Washing Machines for

Household Use-R1- -3 1R07

3

4 Passenger Car - -33 0

4

1

4

Building Materials: Thermal In sulations

- -14 9

7

3

5Televisions - -34 0

4

1

5 Rubber Insulations- -142

01

3

6 Mobile Phone- -35 0

3

1

6

Motors - -15 9

8

3

7

Facsimile Machine - -36 0

3

1

7 Products Made from Cloth - -16 9

8

3

8

Printers - -37 0

4

1

8

Dry Cleaning and Laundry Services

- -17 9

8

3

9

Video Media Players / Recorders

- -39 0

4

1

9

Shampoo - -18 9

8

4

0

Cement Roof Tile -R4-010/

8

2

0

Dishwashing detergents - -19 9

8

4

1

Panels for the Building, De corating and Furniture Ind

ustry

- -41 0

7

2

1

Lubricant Oil - -20 9

9

4

2

Fire Extingguisher - -42 0

8

15

TGL Products (as of February 2009)

No.

Product category Model

No.

Product category Model

1 Fluorescent Lamps 31 1

0 Electronic Ballasts

4

2 Refrigerators 13 1

1

Faucets and Sanitary Accessories

4

3 Paints 26 1

2

Detergents 2

4 Paper 46 1

3

Dishwashing detergents 3

5 Building Materials: ThermalInsulations

5 1

4

Surface Cleaners 1

6 Metal Furnitures 5 1

5

Soaps 1

7 Gasoline Stations 1 1

6

Passenger Car 3

8 Photocopier 43 1

7

Writing Instrument 1

9 Products Made from Rubbe r wood

2 1

8

Correcting Agent 2

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Green Label Award Ceremony

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Environmental Fare 2004

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Green Label Campaign

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Talk Show on Green Label

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Green Label Exhibition Road Show 2008

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International Cooperation

• Member of the Global Ecolabelling Network (GEN)

• Develop criteria of products with Taiwan, Japan, Korea, Hong Kong, China, Philippines, Singapore

• Mutual Recognition Agreement (MRA) with Taiwan, Japan, Korea, New Zealand, Australia

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Future Plan

• Promoting of Green Government Procurement

• Promoting Greening of Supply Chain

• Promoting Sustainable Production and consumption

http://www.tei.or.th/greenlabel

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Government Green Procurement Policy

• Endorsed by Cabinet 22 January 2008

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Criteria for Products:(Base on Life Cycle Consideration)• Less Environmental Impacts: renewable

resources, recycle content, less energy, less or no toxic substances

• Less materials• Use Clean Technology• Less Packaging/Less Environmental Impact during

transportation• Less Environmental Impact during use phase• Provide collection system after end of life• Durable, easy to operate and maintenance.

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Target for Department Participation

Year % Participation

2008 >25

2009 >50

2010 >75

2011 100

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Target for each Department Expenditure on Eco-Products

Year % Eco Products

2008 >25

2009 >30

2010 >40

2011 >60

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2008: Summary Results for Government Green Purchasing

43.2

69.99

41.16

38.19

9.63

86.8

62.56

7.69

91.63

0

5.76

81.66

19.02

29.63

0

64.71

11.29

0 10 20 30 40 50 60 70 80 90 100

Percent

Ink cartridge

Computer Paper

Folder

Envelop

Box

Correction fluid

Fluorescent Light Bulbs

Photo Copy Machine

Toilet Paper

Printer

Steel Cabinet

Battery

White Board Marker

Paint

Photocopy Services

Cleaning Services

Hotel Services

Typ

es

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% Department Participation 33 %

% Volume for Eco-Products mostly >25%

2008 Results

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Major Players• Stock Exchange of Thailand (SET)

• Stock Exchange Commission (SEC)

SRI in Thailand - Status

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• Background review

• Establishing comparative SRI criteria

• Scoring method

Focus :

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• Finalizing basic criteria and scoring method

• Based on – SRI – related criteria indexes from DJSI, FTSE4 good, GRI

Status :

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Dr. Chaiyod BunyagidjVice President

Thailand Environment Institute (TEI)

16151/ Muang Thong Thani, Bond Street, R RRRRRRRRR , 11120

662 025044783Tel. ( ) -662 0250448268Fax. ( )

E-mail : chaiyod@tei.or.th Web Site : www.tei.or.th Web Site : www.tei.or.th

Contact Address Contact Address Contact Address Contact Address