Industrial projects grinding to a halt at Thailand's No. 1 industrial park: Debate on what to do next
By Jon Fernquest
The
recent court order to halt industrial projects at the Map Ta Phut
Industrial Estate in
Rayong south of Bangkok is the focus of today's front page story in the
Bangkok Post business section (Read article).The closures have attracted a lot of attention recently because of their potential economic impact on the whole Thai economy (Read article).
A business-NGO debate is also featured (Read article).
The article begins after the vocabulary:
Map Ta Phut Industrial Estate
- one of Thailand's largest industrial estates located in Rayong
(See interactive
map)
industrial estate, industrial park - a special area especially for factories with special facilities (roads, transportation, water, electricity, waste disposal) (See Wikipedia)
attracted a lot of attention - many people are interested in the story and following it to see what happens
potential economic impact - the effect it might have on the economy
NGO - any non-profit, voluntary citizens' group which is organized on a local, national or international level, perform a variety of service and humanitarian functions, bring citizen concerns to Governments, advocate and monitor policies and encourage political participation through provision of information. Some are organized around specific issues, such as human rights, environment or health (Source: ngo.org also see Wikipedia)
industrial estate, industrial park - a special area especially for factories with special facilities (roads, transportation, water, electricity, waste disposal) (See Wikipedia)
attracted a lot of attention - many people are interested in the story and following it to see what happens
potential economic impact - the effect it might have on the economy
NGO - any non-profit, voluntary citizens' group which is organized on a local, national or international level, perform a variety of service and humanitarian functions, bring citizen concerns to Governments, advocate and monitor policies and encourage political participation through provision of information. Some are organized around specific issues, such as human rights, environment or health (Source: ngo.org also see Wikipedia)
INDUSTRY IS DOING ALL IT CAN
12/10/2009Chainoi Puankosoom is the president of PTT Aromatics and Refining Plc (PTTAR) and chairman of the oil refinery industry club of the Federation of Thai Industries.
1. Simple, there will be no more investment in the area. But the problem does not end there. It will affect local and foreign confidence about local investment and investors' confidence in the consistency of the government's investment promotion policies.
doing all it can - doing
everything possible to
solve a problem
PTT Aromatics and Refining Plc (PTTAR) - the refinery branch of the Thai energy company PTT (See website)
refinery - a factory that purifies a chemical (for example: oil)
an oil refinery - "a very large industrial plant where crude oil is processed and refined into more useful petroleum products, such as gasoline, diesel fuel, asphalt base, heating oil, kerosine, and liquefied petroleum gas, oil refineries are typically large sprawling industrial complexes with extensive piping running throughout, carrying streams of fluids between large chemical processing units" (See Wikipedia on oil refinery)
aromatics - hydrocarbon chemicals such as benzene or toluene added to gasoline in order to increase octane
consistency - behaving the same way in all situations
strong confidence in the consistency of - strong believe that it will behave the same way in all situations
PTT Aromatics and Refining Plc (PTTAR) - the refinery branch of the Thai energy company PTT (See website)
refinery - a factory that purifies a chemical (for example: oil)
an oil refinery - "a very large industrial plant where crude oil is processed and refined into more useful petroleum products, such as gasoline, diesel fuel, asphalt base, heating oil, kerosine, and liquefied petroleum gas, oil refineries are typically large sprawling industrial complexes with extensive piping running throughout, carrying streams of fluids between large chemical processing units" (See Wikipedia on oil refinery)
aromatics - hydrocarbon chemicals such as benzene or toluene added to gasoline in order to increase octane
consistency - behaving the same way in all situations
strong confidence in the consistency of - strong believe that it will behave the same way in all situations
2. The claim that local villagers are facing health threats from industrial emissions needs further examination. The industrial sector believes we have done a lot in regard to solving pollution issues in the area. Projects in this area have been implemented since the time of the government in 2007 to reduce pollution. It works in a way that an existing project owner can only produce [emissions at] 80% from an expansion project from the amount it has already reduced. PTT invested several billions of baht in implementing these projects to reduce emissions. PTTAR alone has spent more than 10 billion baht to reduce greenhouse gases by more than 40%.
Our Euro4 standard refinery project currently being constructed in Map Ta Phut will produce petrol with less sulphur content, which is better for the environment and benefits the whole country. If the project is suspended, those in charge of national energy direction need to have another look at how we will go about having vehicles running on Euro4 on the roads.
Investment from the industrial sector creates employment and improves the economy of Rayong province and [livelihoods of] its people. If projects are suspended, the move will present a negative outlook for the country, but some villagers who did not know of the pollution-reduction programmes may think the suspensions are good for them.
emission - the
release into the air of a gas
industrial emissions - when factories release chemicals into the air
further examination - continue to look closely at (in order to determine what is happening)
projects implemented - did planned projects
greenhouse gases - gases around the earth that absorb and emit radiation, without these gases the earth experiences global warming (See Wikipedia)
Euro 4 emission standards - European Union limits on emmisions (See Wikipedia on European emission standards and emission standards) มาตราฐานควบคุมการปล่อยของเสียจากเครื่องยนต์ตามมาตราฐานของกลุ่มประเทศในยุโรป
Euro4 standard refinery - an oil refinery that operates following Euro 4 emission standards
suspended - stopped for a period of time (temporarily)
livelihoods - ways to earn money to support a family
negative outlook - future does not look good
industrial emissions - when factories release chemicals into the air
further examination - continue to look closely at (in order to determine what is happening)
projects implemented - did planned projects
greenhouse gases - gases around the earth that absorb and emit radiation, without these gases the earth experiences global warming (See Wikipedia)
Euro 4 emission standards - European Union limits on emmisions (See Wikipedia on European emission standards and emission standards) มาตราฐานควบคุมการปล่อยของเสียจากเครื่องยนต์ตามมาตราฐานของกลุ่มประเทศในยุโรป
Euro4 standard refinery - an oil refinery that operates following Euro 4 emission standards
suspended - stopped for a period of time (temporarily)
livelihoods - ways to earn money to support a family
negative outlook - future does not look good
3. I believe economic development and environmental protection can live together. It is impossible to see industrial development while local residents cannot live comfortably.
If we look at the issue of Health Impact Assessment (HIA), industrialists never say that they don't want to do it. But there is now no existing guideline on how to do it. I can say now that whichever way the HIA regulations come out, we are willing to follow them and to do so quickly. If an industrialist refuses to care for local residents' well-being, no government will allow it to develop.
But the point is that the government needs to be clear by urgently issuing these regulations, otherwise no industry can develop. Can the country be developed without the industrial sector? You can't simply raise the possibility without considering national economic potential.
If you want to focus on tourism alone, then you need to answer whether income from this segment alone will be sufficient to develop the national economy.
The Eastern Seaboard was developed because we wanted to add value from our natural gas resources in the Gulf of Thailand. If we export raw resources without adding value through the industrial process, would we have sufficient income to develop the country? Would agriculture and tourism provide enough to handle national spending and welfare improvement? The government would have to answer this question.
I think our environmental controls are on par with international standards. The 80% emission project is only implemented in a few countries. Industrial operators have invested a lot to meet this standard. The extra expense also cut our return but we are willing to do it.
Health Impact Assessment (HIA) - procedures
to judge the potential
effects of a construction or industrial project on the health of a
population (See Wikipedia)
guideline - rules that tell you (roughly) how to do something
urgently - done quickly because need right now
urgently issuing these regulations - creating regulations quickly (because needed)
national economic potential - what a country's economy could achieve (if everything goes smoothly, according to plan)
Eastern Seaboard - a heavily industrialized area of Thailand stretching from Bangkok south through Chonburi, Sri Racha, and Pattaya to Rayong
environmental controls - government regulations to prevent factories and companies from polluting and destroying environment
on par with - equal to
on par with international standards - equal to international standards
guideline - rules that tell you (roughly) how to do something
urgently - done quickly because need right now
urgently issuing these regulations - creating regulations quickly (because needed)
national economic potential - what a country's economy could achieve (if everything goes smoothly, according to plan)
Eastern Seaboard - a heavily industrialized area of Thailand stretching from Bangkok south through Chonburi, Sri Racha, and Pattaya to Rayong
environmental controls - government regulations to prevent factories and companies from polluting and destroying environment
on par with - equal to
on par with international standards - equal to international standards
4. It is impossible to say if it is worthwhile. What we need to look at is whether those villagers who claimed to have had health problems from industrial emissions are representing the truth. Do their claims represent everyone in Map Ta Phut? PTT and Siam Cement Group have questioned local residents almost every day if their livelihoods are affected from our operations. If there is anything wrong, they normally inform us immediately. For example, when we have an unplanned shutdown, the cleaning of some equipment may cause a bad smell and they let us know right away.
We also offer free clinics for our employees and local residents, as well as scholarships for local children and free tutorial services. We do a lot of corporate social responsibility (CSR) programmes. We came to use their land so we've shown our responsibility through these programmes that give back to the community. The government may not do enough to improve their livelihood but we do what we can. Our tax payments also goes to the Rayong municipality.
unplanned shutdown -
closing when they did not plan before (unexpected, a surprise)
clinics, medical clinics - an office or building where people go to get medical treatment
scholarship - paying money to help children to go to school
corporate social responsibility (CSR) - a term used to express an organisation taking responsibility for the impact of its activities upon its employees, customers, community and the environment. It is often used in the context of voluntary improvement commitments and performance reporting. (Source: New Zealand Government also see Wikipedia)
Rayong municipality - the local city government of Rayong
clinics, medical clinics - an office or building where people go to get medical treatment
scholarship - paying money to help children to go to school
corporate social responsibility (CSR) - a term used to express an organisation taking responsibility for the impact of its activities upon its employees, customers, community and the environment. It is often used in the context of voluntary improvement commitments and performance reporting. (Source: New Zealand Government also see Wikipedia)
Rayong municipality - the local city government of Rayong
5. Moving a community away is not the answer to the deadlocks. They won't agree to it. I insist that industry and villagers can live together in harmony. If industrialists can't make Rayong people happy, moving projects elsewhere will always face local residents' rejection elsewhere too. If the government is to set up the Southern Seaboard, local residents there also need to welcome and be happy with industrial establishment.
deadlocks -
inability to move forward and make progress, barriers
insist that Y must be done - say strongly and firmly that Y must be done (and not give in)
live together in harmony - living together in peace rather than fighting or arguing
industrialists - managers and owners
face local residents' rejection - when people living in a local area reject a local project
Southern Seaboard -
establishment of Y at a place X - creating or building Y at place X
industrial establishment - building factories in an area
insist that Y must be done - say strongly and firmly that Y must be done (and not give in)
live together in harmony - living together in peace rather than fighting or arguing
industrialists - managers and owners
face local residents' rejection - when people living in a local area reject a local project
Southern Seaboard -
establishment of Y at a place X - creating or building Y at place X
industrial establishment - building factories in an area
(Source: Bangkok Post, INDUSTRY IS DOING ALL IT CAN, 12/10/2009, Chainoi Puankosoom and Suthi Atchasai, link)
