Biodiversity and Ecosystem Services Management
Importance and Mission
PTTEP recognizes the critical importance of Biodiversity and Ecosystem Services (BES) as the global focus. Our mission is to align with the objectives of the Global Biodiversity Framework (GBF), ensuring that our operations contribute to global efforts to conserve, protect, and restore BES. PTTEP has committed to operating with minimal environmental impacts and integrated BES considerations into the business decision-making process, by means of the promotion of the net positive impact on biodiversity and ecosystem services at all operational areas.
Goals
- Avoid operating in World Heritage sites as defined by UNESCO.
- Deliver Net Positive Impact (NPI) for New E&P Operated Projects in high-risk area from 2026 onwards
- Achieve No Net Deforestation for New E&P Operated Projects from 2026 onwards*
*The Food and Agriculture Organization of the United Nations (FAO) defines a forest as natural forests and forest plantations that have tree canopy covers more than 10 percent and areas of more than 0.5 hectare. The trees should be a minimum height of 5 meters. Forests are determined both by the presence of trees and the absence of other predominant land uses.
Management Approach
To ensure effective implementation of the Company’s BES management objectives, PTTEP has established the Biodiversity and Ecosystem Services Management Guideline in alignment with internationally recognized practices, including A Guide to Developing Biodiversity Action Plans for the Oil and Gas Sector developed by the International Petroleum Industry Environmental Conservation Association (Ipieca), and Performance Standard 6: Biodiversity Conservation and Sustainable Management of Living Natural Resources issued by the International Finance Corporation (IFC).
The Company has adopted the Biodiversity Mitigation Hierarchy, comprising Avoid, Minimize, Restore, and Offset measures, and has implemented these principles across all of its petroleum exploration and production projects since 2014.
Biodiversity and Ecosystem Services Risk Management
PTTEP implements BES risk management from the pre-project stage through the Environmental Impact Assessment (EIA) process. Risks associated with all phases of project operations that may affect BES are assessed, and preventive and mitigation measures are established to serve as operational guidelines, as well as for environmental monitoring related to biodiversity and ecosystem services throughout project implementation.
In addition, since 2017, the Company has conducted BES risk assessments for all projects that PTTEP is operator, covering both exploration and production phases. The assessment considers two key dimensions, comprising of 1) Risk to Natural Habitat Loss and 2) Risk to Recognized High Biodiversity Areas, including proximity to protected areas (PAs) and/or Key Biodiversity Areas (KBAs).
The latest assessment identified two projects located in areas with high biodiversity risk, the Zawtika Project and the Yadana Project, specifically in the onshore gas pipeline areas. PTTEP has completed Biodiversity Offset Management Plans (BOMP) for both projects and is currently implementing and continuously monitoring the plans. These measures aim to prevent the loss of endangered species, as well as to protect and restore ecosystem services potentially affected by the Company’s operations, in line with the established objectives.
Beyond the BES risk assessment of PTTEP-operated assets, the Company has expanded the scope of its BES assessment and management in alignment with the recommendations of the Taskforce on Nature-related Financial Disclosures (TNFD). The assessment covers both operated and non-operated projects, as well as activities across the midstream and downstream value chain, totaling 45 projects, through the application of the LEAP approach.
Significant nature-related dependencies and impacts identified through the assessment process are further evaluated as potential business risks and opportunities. Where high-risk issues are identified that may affect the Company’s assets, operations, or long-term resilience, PTTEP establishes appropriate mitigation measures and integrates them into the Company’s enterprise risk management process in accordance with the defined time horizons.
At the same time, opportunities that may generate positive impacts identified through the assessment are integrated into the Company’s strategic decision-making and business operations through various projects and initiatives.
PTTEP regularly monitors nature-related risks and opportunities through established indicators and targets to ensure the effectiveness of mitigation measures and project implementation, while supporting ecosystem sustainability alongside the Company’s long-term business growth. In addition, BES risks are reviewed on a regular basis, particularly in cases involving new project developments or the expansion of the Company’s operational areas.
Collaboration and Networks Drive Biodiversity and Ecosystem Services Enhancement
PTTEP has become a member of business associations and networks both domestically and internationally to promote sustainability efforts including setting frameworks for environmental and sustainable practices. More information regarding Sustainability Collaboration and Networking can be found in Sustainability Framework and Long-term Target. In addition, we actively collaborate with external organizations in driving policies related to BES such as;
- IPIECA-IOGP Biodiversity and Ecosystem Services Working Group (BESWG) and UN Environment Programme World Conservation Monitoring Centre (UNEP-WCMC) since 2016. The collaborations are in terms of e.g. sharing best practices, providing input on relevant legislation and regulations, supporting initiatives that drive positive change, capacity building/training and stakeholder engagement to promote biodiversity conservation and ecosystem services.
- Department of Marine and Coastal Resources, under the Memorandum of Understanding (MoU) of Ocean for Life, aims to conserve, restore and manage marine resources and biodiversity for ocean sustainability, as well as to promote public participation to enhance the quality of life and generate income for local communities in 17 provinces around the Gulf of Thailand where PTTEP operates. This cooperation covers a 10-year period, from 2020 to 2030, and extends until 2039 for mangrove forest conservation and restoration for carbon credits.
- Kasetsart University, under the Memorandum of Understanding (MoU), aims to promote ocean sustainability through various initiatives to tackle national and global issues with focus on ocean health and biodiversity monitoring. This cooperation covers an 8-year period, from 2021 to 2028,
- Department of Fisheries, Kasetsart University, Prince of Songkhla University, and Southeast Asian Fisheries Development Center, under the Memorandum of Agreement (MOA) for 3-year cooperation (2022-2025) to study and develop a guideline on the rigs-to-reef for sustainable fisheries Project, as well as promote and enhance fisheries resource management.
- Petroleum and Energy Institute of Thailand (PEIT) (formerly known as Petroleum Institute of Thailand, PTIT), National Research Council of Thailand (NRCT) and Office of National Security Council (NSC) signed a Memorandum of Understanding (MOU) for 5-year collaboration (2023-2028), with the cooperation from petroleum operators such as PTTEP and Chevron Thailand Exploration and Production Co., Ltd., for enhancing academic collaboration in the maritime interests to exchange knowledge and co-sponsor research assistance related to the ecosystem around decommissioning petroleum wellhead platforms in the Gulf of Thailand in order to conserve marine biodiversity.
- Office of Natural Resources and Environmental Policy and Planning under the Memorandum of Agreement (MOU) for 5-year collaboration (2023-2028) in promoting biodiversity conservation and ecosystem services, synchronizing between localized and national data platforms, and enhancing the social and environmental balance for biodiversity and support the country sustainability goal.