Thailand seeks World Bank funds for low-carbon projects

BANGKOK, 10 November 2009 (NNT) – The cabinet’s recent approval for the low-carbon technology investment plan takes its first step, initially under a World Bank funding.

Mr Amphon Kitti-amphon, Secretary-General of the National Economic and Social Development Board (NESDB) said all selected projects mostly concern energy and transportation sectors. They are worth around 4.3 billion USD in total. Each project corresponds to the 10th NESD plan and the Alternative Energy Development Plan, spanning over 14 years starting in 2008. Once implemented, all projects will contribute to the carbon emission reduction in short and long terms, as well as the country’s sustainable development in the future.

Following the cabinet’s endorsement, the Ministry of Finance will negotiate with the World Bank on terms and conditions of the loan and will bring the outcome of the negotiations to the ministerial meeting for further consideration.

The World Bank has suggested Thailand seek financial support from its CIF funding, which provides low-interest loans for both private and government sectors. The low-carbon projects in Thailand has initially received a 300 million USD fund from the World Bank.

Some of the projects lining up for the loan are the Electricity Generating Authority of Thailand’s renewable energy, construction of 100 power plants using renewable energy from wood scraps, and the Bus Rapid Transit by the Bangkok Metropolitan Administration.