Corporate social responsibility
CORPORATE SOCIAL RESPONSIBILITY
Challenges, Risks, and Impacts
In 2023, the Clean Fuel Project (CFP) construction made significant progress which also posed a challenge for the Company to maintain business stability, while ensuring flexibility and agility in business operations. The construction could potentially impact the surrounding communities, such as traffic congestion, dust, and noise. Furthermore, in 2023, Thaioil Group encountered an oil spill incident at the Single Buoy Mooring (SBM-2). This presented another challenge for the Company to manage and maintain business continuity while aiding and mitigating the impacts of the incident. To address these challenges, Thaioil Group implemented a corporate social responsibility project to proactively prevent potential impacts that might affect the rights and safety of the surrounding communities. Also, the Company has developed the quality of life and driven the local economy through several projects that promote the quality of community life. Throughout this year, Thaioil Group operated community projects under the ESG strategic framework to maintain internal management stability and manage community impacts, particularly in communities surrounding the CFP project and operational sites.
Commitments and Targets
Thaioil Group is committed to building community engagements in accordance with the 2030 vision of “Empowering Human Life Through Sustainable Energy and Chemicals”. The Company conducts a petroleum and petrochemical refinery business under a framework of management excellence and in compliance with the principles of good governance, while also upholding responsibility towards stakeholders, environment, communities, and society to drive the Company towards sustainable development. The strategy for corporate social responsibility encompasses the following key elements:
- 1. Conduct social activities, focusing on projects that are significantly linked to the business operations of Thaioil Group.
- 2. Focus on four main activities: education, energy and natural resources, conservation of the environment, and quality of life. The strategy is to achieve self-reliance and sustainability.
- 3. Manage networking and collaboration with PTT institutions and other agencies with expertise and to be socially acceptable.
- 4. Promote the participation of stakeholders, including government agencies, customers, suppliers, and employees, in the CSR initiatives.
In 2023, Thaioil Group implemented integrated community development plans through projects and initiatives in society and culture, health and quality of life, education, and environment. Furthermore, Thaioil Group is committed to developing community, social, and environmental goals in line with the Company’s vision. In order to achieve this, Thaioil Group has adopted the social return on investment (SROI) concept to assess the effectiveness of community programs in a systematic manner.
Targets
Indicators | Unit | 2023 target | 2030 long-term target |
Community complaints responded to, resolved, and resulted in measures to prevent reoccurrence | % | 100 | 100 |
Community engagement score | % | More than or equal to 85 | 90 |
SROI in strategic CSR projects | Ratio | 2:1(1) | 2:1(1) |
Management Approach and Performance
Management Approach
Thaioil Group has defined Corporate Social Responsibility Policy and reports the results of its performance to the Corporate Governance and Sustainability Committee on a bi-annual basis.
Community Needs Assessment and Engagement
Thaioil Group conducts community relations activities with the communities surrounding the refinery area according to the “3-synchronization model” and the “5-Together” conceptual framework. This aims to encourage communities to participate in the development of their own communities, thereby becoming self-reliant and building strong communities while reducing impacts from Thaioil Group’s operations. The Company allows the community to provide feedback for mutual problems resolution, in which stakeholders within the community have been identified based on risks and environmental impacts. In the meantime, the Company communicates and analyzes community needs through various communication channels, such as exclusive meetings, the collection of feedback from subgroups, on-site visits with the households surrounding the construction project, and a community engagement survey. The findings will then be analyzed to identify directions to develop the community further.
Stakeholders | Stakeholder Engagement Approaches |
Community Committee |
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Village Health Volunteer Group |
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Local Government Agency |
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Elderly Group |
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Fishery Group |
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NGOs / Environmental Impact Assessment Committee |
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Ship Operator Group |
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Youth Volunteer Network and Committee |
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General Public |
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Thaioil Group proactively implements preventive measures and proactive solutions to address potential impacts on the communities. The Company has a central function that allows communities to report incidents or complaints. According to the operational procedures, the central function will coordinate and collaborate with the internal functions in case of any complaints about occupational health, safety, and the environment. Meanwhile, the Company encourages a community participation to enhance quality of life and community development through community relations activities and projects in four areas, namely: social, religious, traditional, and culture; health; education; and environment. This allows the Company to systematically respond and manage the expectations of the community.
Creating Social Value Through Community and Social Development Projects
Priority | Education (SDG target 4.3) |
Environment (SDG target 13.1) (SDG target 13.3) (SDG target 15.2) |
Energy (SDG target 7.2) |
Quality of Life (SDG target 3.8) (SDG target 8.3) |
Approach | Support education development projects in collaboration with academic institutions and award scholarships. | Manage forest conservation and rehabilitation and develop greenhouse gas reduction initiatives. | Develop alternative energy and encourage efficient energy consumption. | Develop local communities to provide employment opportunities and promote public health. |
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Support the Net Zero GHG Emissions Target by 2060. • Support transition to a low-carbon society through forest conservation, rehabilitation, and reforestation, while creating biodiversity to balance local ecosystems. Support the Marine Resources Rehabilitation Project in Chonburi by 2024. • Support marine resources rehabilitation project in collaboration with government agencies.
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Social Value Created in 2023 |
School Project and CONNEXT ED project
• In 2023, the Company implemented five projects to develop teacher skills in the fields of science, technology, and engineering, coupled with promoting students' sports skills.
Teach for Thailand ProjectSupported the budget for two teachers to serve as a teacher assistant in the fields of science and English language at Wat Manorom School, Sriracha District, Chonburi Province. |
Reforestation project for Carbon Credit Benefits
• In 2023, Reforestation projects were implemented for the benefit of carbon credits. As a result, this project can absorb over 92,800 tons of carbon dioxide equivalent over the 10-year project period.
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Sustainable for Health Care Project
• In 2023, solar power generation systems were installed at three hospitals and community health centers, with a total capacity of 72 kW and at five Border Patrol Police Schools, with a total capacity of 20.7 kW, respectively.
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Health Promoting Project In 2023, heath promoting projects were implemented as follows. • Organized 39 yoga sessions with 40 participants per session. • Organized 3 sessions of the 5-month Commitment 100,000 km. Walk and Run activities with 150 participants per session. Job Training Project
• Organized 3 sessions of Additional Jobs for Increased Income Project with 30 participants per session.
• Organized 8 community flea markets.
Community Health Survey ProjectIn 2023, community health survey projects were implemented as follows. • 205 households visited for preliminary health check-up. • 736 community members screened for non-communicable diseases, such as diabetes and high blood pressure, and participated in health promotion projects. |
Business Value Created in 2023 |
• 43.16 million THB corporate reputation (PR value) generated by social development projects in 2023.
• In 2023, the corporate volunteering culture included 911 volunteers who took part in 89 CSR activities for a total of 7,488 volunteered hours.
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Highlighted Projects
In 2023, Thaioil Group implemented key social and community projects under the corporate social responsibility (CSR) framework as follows:
Community Management
• Community Products Project for Communities Surrounding Thaioil Group
• Project for mitigating the oil spill impacts
CSR Management Projects
Employee Voluntary Culture
• The “You Initiate… We Fulfil” Project: Year 3
CSR Networking & Branding
• Project to Support Victims of Natural Disasters
- Performances 2023
- Update : February 2024
CSR Projects by CSR Framework Priority Area 2023
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