Sustainable Code of Conduct for Suppliers of Thaioil and Subsidiaries

Sustainable Code of Conduct for Suppliers of Thaioil Group

     In accordance with the Thaioil Group Sustainability Management policy and Sustainable Procurement Policy, Thaioil Group will pursue collaborative actions through SCOC and Supplier ESG Program with Suppliers who are the key to success in delivering sustainable development capabilities alongside Thaioil Group. Therefore, this SCOC are covered three dimensions: Environmental, Social, and Governance whilst contributing to the realization of Sustainable Development Goals as follows:


1.1 Environmental Management

Suppliers shall manage environmental aspects in a systematic manner to comply with all applicable environmental laws, regulations, and standards. Suppliers shall perform continuous performance improvement towards environmental challenges and undertake initiatives to enhance greater environmental responsibility which is a precondition for the survival and prosperity of humans and other living beings. Suppliers shall manage the relevance and feasibility of environmental strategies such as life cycle analysis, environmental impact assessment and eco-efficiency. Suppliers shall promote environmental principles with their suppliers and other stakeholders in the supply chain, encourage a precautionary approach, environmental responsibility, environment risk management, and ensure the operation in accordance with the “polluter pays” principle.

1.2 Sustainable Resource Efficiency

Suppliers shall ensure efficient resources management which includes the efficient use of energy and water consumption, and the reduction of environmental pollution. Suppliers shall strive to promote the efficient use of raw materials (reuse, recycling, circular economy, life cycle approach) and reduce the impact of their activities and products on the environment.

1.3 Biodiversity, Deforestation or Land Conservation

Suppliers shall collaborate, aim to protect, and value the biodiversity, ecosystem services, avoid gross deforestation, and sustainably use of the land and natural resources, including promote environmentally sound urban and rural development.

1.4 Pollution Prevention and Waste Management

Suppliers shall identify, separate, and manage solid waste, chemicals, and hazard materials along with monitoring, controlling, and water treatment from production process and related process before being released into the external environment to ensure safe handling, movement, storage, and disposal. In addition, Suppliers shall prevent pollution emissions to air and discharges to water, waste management, from the use and disposal of toxic and hazardous chemicals and pesticides, and manage other forms of pollution such as noise, odor, vibration, electromagnetic emissions, radiation, and viral or bacterial pollution as generated or received as a part of business operation in line with the applicable laws and regulations as well as initiate monitoring and control measures consistent with Thai Oil Zero Landfill Aspiration.

1.5 Greenhouse Gas Reduction and Climate Change Mitigation

Suppliers shall mitigate, in collaboration with their suppliers, the adverse climate change impacts of direct and indirect greenhouse gas emissions in order to reduce the greenhouse gas emission of its own operation and its supply chain, as well as consider aiming for carbon neutrality through participating in appropriate program with either Thaioil Group or other organizations. Suppliers should consider calculating carbon footprint (not just carbon emissions) associated with their products or services.


2.1 Human Rights

    ● Non-Discrimination

Suppliers shall respect the differences or diversity among employees and workforces in the workplace and equally treat all employees and workforces without unfairly benefiting or depriving employees and workforces based on their race, nationality, skin color, ancestry, religion, social status, marital status, gender, age, sexual orientation, disability, political beliefs. Supplier shall not discriminate in any manner.

    ● Anti-Harassment

Suppliers shall oppose to harassment and threat in any forms within the organization that covers both sexual and non-sexual unwelcome conduct or behavior that creates hostile work environment. Sexual harassment relates to gender and sexual orientation and non-sexual harassment associates with personal characteristics or situations, such as race, religion, age, ethnicity, intelligence, disability, physical stature, etc.

    ● Child Labor

Suppliers shall not engage and employ under-aged or involuntary labor of any form. Young workers or workers aged under 18 years old must also be barred from performing night work or hazardous work.

    ● Forced Labor

Suppliers shall not employ forced or unwilling labor in any form including forced labor, bonded or indentured labor, any work people are forced to do against their will under threat of punishment.

    ● Freedom of Association

Suppliers shall acknowledge the rights of their employees to freedom of association and collective bargaining.

    ● Working Conditions

Suppliers shall conform to all applicable local laws and regulations regarding working conditions, including working hours, remuneration and lay-off practices.

    ● Wages and Benefits

Suppliers shall comply with labor law on wages, compensation, and various forms of benefits, and shall not deduct wages under any circumstances unless otherwise exempted by law.

    ● Employment Creation and Skill Development

Suppliers shall promote and support activities encouraging the development of skills and knowledge and abilities for employees and operators by career development planning, existing knowledge and abilities review, training or providing opportunities to learn new things to enhance readiness of employees and operators for efficient and effective operations.

2.2 Occupational Health and Safety

    ● Safety and Working Environment

Suppliers shall implement occupational health and safety policy with the aim of creating an injury-free work environment and preventing the occurrence of occupational illness. Suppliers are expected to manage occupational health hazard according to management hierarchy and to provide appropriate personal protective equipment to all workers. Workers shall not be disciplined for raising safety concerns.

    ● Emergency Prevention, Preparedness, and Response

Suppliers shall anticipate, identify, and assess emergency situations and events and minimize their impact by implementing emergency plans and response procedures.

2.3 Community Involvement and Development

Suppliers shall establish and maintain effective engagement activities with communities to secure channels for communication and concerns as well as to strengthen relationships with communities they operate in. Furthermore, Suppliers shall support various activities that promotes development of skills, knowledge, and abilities for the people of surrounding communities, to achieve sustainable growth together. Suppliers must encourage members of the surrounding community to build skills so that they can create income-generating jobs, and provide knowledge and understanding about the health care of community members.


3.1 Regulatory Compliance

Suppliers shall conduct their business in full compliance with international, national and local laws and regulations applicable to their business operations, including having all the necessary permits in place.

3.2 Anti-Corruption & Bribery

Thaioil Group has a “zero tolerance” policy and does not accept any type of corruption practices including extortion, fraud or bribery, at a minimum of Suppliers or its third parties. Any Suppliers who participate in payment or receives bribes or kickbacks will be immediately terminated. A kickback or bribe includes any item intended to improperly obtain favorable treatment. Thai Oil Group will not be responsible for any consequences of contract termination from such misconduct.

3.3 Anti-competitiveness

Suppliers shall under no circumstances cause or be part of any breach of laws, rules, general or special competition regulations, such as illegal cooperation on pricing, illegal market sharing or any other behavior that is in breach of applicable laws. In addition, suppliers shall support and promote fair competition throughout the supply chain such as support of anti-trust, anti-dumping and have no relevance in taking inappropriate advantage of social conditions such as poverty or market and financial conditions, to gain an unfair competitive advantage.

3.4 Gifts

Suppliers shall understand that Thaioil Group employees do not give or accept any gift or favor that could compromise decision making or gain an unfair advantage. Other than modest gifts given or received in the normal course of business or as part of the cultural reason, neither Suppliers nor its third-party may give gifts to, or receive gifts from Thaioil Group.

3.5 Conflict of Interest

Suppliers are expected to disclose to Thai Oil Group any situation that may appear as a conflict of interest and inform Thaioil Group if any Thaioil Group employee may have an interest in any kind in the Supplier’s business with relevant evidence.

3.6 Confidentiality of Information

Suppliers shall have a process in place to protect all confidential information provided by Thaioil Group.

3.7 Disclosure

Suppliers shall keep accurate records and disclose information regarding their business, environmental and social activities, structure, and performance in accordance with applicable laws and regulations.

3.8 Respect for Intellectual Property Rights

Suppliers shall not engage in activities violating property rights, including misuse of a dominant position, counterfeiting, piracy, and abusive intellectual property litigation practices by enhancing awareness among employees of the organization. Furthermore, Suppliers shall abide by the intellectual property rights of others and shall legally request consent from the owners the intellectual property before utilizing. Suppliers shall not involve in any activities infringing the intellectual property rights of others.

3.9 Customer Issues

    ● Customer Data Protection and Privacy

Suppliers shall provide customer data protection and privacy to safeguard customers rights of privacy by complying with the laws, policies, regulations, requirements, and practices on the protection of Personal Data for customers and other relevant persons.

    ● Protecting Customers’ Health and Safety

Suppliers shall ensure that goods or services shall not impact customers’ health and safety, including avoiding the supply of goods or services infringing any intellectual properties whether in the process of consumption, use, storage, maintenance, repair, and return.

    ● Education and Awareness

Suppliers shall contribute to the education of customers by providing accurate, health and safety related information including environmental impacts, e.g., by providing labelling, instructions, user manuals, and other public relations.

    ● Customer Service, Support and Complaint and Dispute Resolution

Suppliers shall offer adequate customer service, support, and complaint mechanisms, including proper installation, warranties and guarantees, and technical support regarding use, as well as making provisions for return, repair and maintenance. Make use of alternative dispute resolution, conflict resolution and redress procedures that are based on national or international standards, ensure customer’s safety, are free of charge or are at minimal cost to customers.