Environmental Management

Importance

A good environment, clean air quality, and comprehensive waste management have always been fundamental in sustaining life. From the past to the present, Human well-being is vitally dependent on the environment and natural resources. Therefore, driving excellence in environmental management is a key to achieving a sustainable business.

OR realized the importance of environmental management as key drivers in sustainable growth. Thus, OR has a clear stance to demonstrate a strong commitment to conducting business responsibly towards the environment, society, and communities while maintaining the ability to compete. Furthermore, OR operates with the belief that the business of the future is one where people and the environment develop in harmony alongside sustainable business growth through OR’s SDG (Small, Diversified, Green). Creating sustainable opportunities, OR encourages businesses to become green enterprises, to achieve OR 2030 Goals effectively.

2023 Targets

Management Approach

OR has established environmental management by the Quality, Safety, OR manages environment aspects under the Quality, Security, Health, and Environmental (QSHE) Policy framework. The company aims to alleviate and prevent environmental impacts throughout the value chain by utilizing natural resources for maximum benefits in line with the principles of the Bio-Circular-Green Economy and adhering to emission control regulations, preventing pollution that may affect the environment. OR apply ISO 14001, the environmental management system as a guideline in the operation which covers petroleum terminals, gas depots, oil depots, aviation fueling stations, lifestyle business centers (OASYS), Lubricant Distribution Centre at Bang Pakong, and Phra Khanong office buildings. As a result, in 2023, there were no violations of environmental regulations and laws found.

OR sets annual environmental performance targets that align with the strategy and OR 2030 Goals. The Healthy Environment dimension has the objective of creating a sustainable environment by reducing conventional energy consumption, reducing greenhouse gas emissions, and decreasing waste generated from business operations by more than one-third compared to the year 2022. This includes the utilization of the Quality, Safety, Health, and Environment Management System with the SSHE Performance Database as a system for collecting data for Environmental Performance Indicators (EPI). This system covers all establishments operated by OR, encompassing both the oil business and retail operations. The Sustainability and Quality, Safety, Health, and Environment department monitors environmental operations and uses the data for analysis to continually enhance environmental management processes.

Download the Quality, Security, Safety, Health and Environment (QSHE) Policy Document

In addition, OR has provided and established the standard viz, waste management and wastewater management for PTT Station, FIT Auto, and Café Amazon branches. Therefore, all these standards have been conveyed to franchises and dealers of PTT Station. Moreover, inspection and evaluation of the environmental performance of PTT Station, FIT Auto, and Café Amazon branched has been monitored regularly.

Water Management

OR promotes the concept of maximizing the sustainable use of natural resources, with water being one of the crucial resources. Therefore, OR emphasizes managing the water used in the company’s operations. OR place importance on water resource management by integrating into QSHE policy and annual target. OR has established water management as the following:

OR has implemented efficient water management to ensure minimal impacts on business operations by utilizing international standards, such as AQUEDUCT and the Water Risk Filter.
To enhance this management, a water use assessment was conducted to identify opportunities for water efficiency improvements by environmental aspect via ISO 14001 which is audited annually. Data on water utilization from all operation areas have been consistently recorded on the Web-Application: PTT Group SSHE Performance Database. This record is regularly summarized and analyzed to compare water consumption with the established targets to reduce water use by using QSHE controlling target and these targets apply to all operation sites (See in Target section).

Key projects to enhance water management efficiency including:

Actions to improve water consumption efficiency include the installation of water-saving devices and submeters in different plant areas.
OR aimed to reduce water consumption, specifying goals for each operation area. OR integrated and linked the concept of efficient water consumption across all establishments through the PI Idea project (Productivity Improvement), fostering a culture of continuous improvement and development among employees and units to meet the organization’s sustainable development goals. The evaluation criteria include projects that yield results in Triple bottom-line business operations, emphasizing the importance of the 3Ps (Planet, People, Performance). In consideration of the Planet aspect, emphasis is placed on reducing water consumption through actions like reuse of grey water, rainwater harvesting, reusing process water for cooling towers, and the application of water recycling.
Awareness training provided to employees on water efficiency management programs further support these initiatives via SSHE 1 Training.

Wastewater Management

OR complies with all applicable environmental laws, international standards, and procedures. Therefore, all operations basically completely comply with regulations. Enhancement of wastewater management details are shown as the following:

OR has invested and implemented wastewater treatment processes according to the type of effluent, ensuring that the water quality meets required standards before being released into the environment at all OR’s operational sites. Moreover, establishments regular monitoring of wastewater quality by third party and OR’s Laboratory, ensuring compliance through frequent inspections and audits.
OR has developed a centralized wastewater treatment system to focus on reducing wastewater generated and implemented this system with renovated and new branch of PTT Station. This system, coupled with water discharge controls, inspections, and audits, ensures maximum efficiency in wastewater treatment to meet regulatory requirements before discharge into the public drainage system.

OR implement the concept of water reuse and/or water recycling processes. Actions to improve wastewater quality, such as process improvements, effluent monitoring, and periodic sampling. The key project to enhance wastewater management efficiency including:

Currently, businesses that have implemented these water management practices include lifestyle business center (OASYS), LPG cylinder refurbishing plants, Phra Khanong Office Building, and PTT Stations in Chiang Khan, Wangchan, Western Outer Ring Road (inbound), and Vibhavadi 62.
OR invested in Ultra Filtration Recycle System for PTT Station Vibhavadi 62. This system has no chemical use and water can be recycled for watering plants complying with the standard of US EPA.
Moreover, OR selected ENVICCO environmentally friendly cleaning products within PTT Stations and Café Amazon branches operated by OR. These products are designed to naturally decompose, reducing the utilization of chemicals and chemical residue to the environment. Additionally, the products are made available for sale to customers to promote the use of environmentally friendly products.

Waste Management

OR set the quantified targets to minimize waste for all operations which is a zero hazardous and non-hazardous waste disposal sent to secure landfill in order to reduce the waste sent to landfill by 2023. To enhance our waste management effectiveness, OR has conducted waste assessments /audit, according to ISO 14001 to identify opportunities for improving waste performance. Moreover, the EPI has been used to identify the amount and type of waste being generated in a company’s operations and monitor a waste’s trend.

OR establish Integrated Terminal Operation System (I-TOS) which integrated the management systems for our operation such as ISO, TPM, KM, PIC, SSHE. etc into the same system to reduce the repeat works. I-TOS contains the process of assessing the organization context, define the internal-external issues, identifying opportunities, losses and risks, and perform the countermeasures according to such management systems. The scope of the key issues covers the security, safety, health & environment part. These processes can help to prevent, monitoring, and minimize the environmental impacts and also minimize waste from operation according to ISO14001.

OR has precipitated into waste reduction along the value chain. As a part of the Community Coffee Sourcing (CCS) project, one of the actions to reduce waste generation is providing training courses tailored to the farmer’s needs, covering coffee cultivation, maintenance, harvesting, and processing. This helps to improve the quality of the raw materials entering OR’s operation as a result of waste reduction. Additionally, OR invests in innovation to minimize wastes such as the investment on a Coffee Processing Plant in the beginning of 2024, in Mae Wang District, Chiang Mai Province. This also be a point to purchase Arabica coffee beans directly from coffee farmers in the northern region to ensure the high quality of raw materials and minimize the operational waste before being sent to Café Amazon Roastery Plant.

For the recycling program, OR has conducted LPG Scrap to Cylinder Recycling Project as a part of our broader effort to integrate recycling programs to reduce the waste sent to landfill. The un reusable parts of LPG Cylinder including carry handles and cylinder’s base have been recycled to become iron pellets used in shot blasting process. At a present, OR is continuously studying recycling such a part to re-produce the new parts of LPG Cylinders. This demonstrates that the reprocessing of materials in LPG Cylinders will be used in OR’s operations.

The majority of raw materials utilized in OR’s businesses are oil, LPG, base oil, coffee beans, mixing powder, and baking flour, which are processed into products for customers and consumers through the OR business’ value chain. This results in the following primary types of waste; oil sludge, oil-contaminated materials, coffee chaffs, and plastic cups, defect mixing powder, all of which, without proper management, could lead to environmental impacts.

OR’s activities, resulting waste, and management guidelines for each waste type are shown in the table below, including the integration of these findings into our operations:

Business Types	Significant Types of Waste	Potential Impacts	Waste Management Guideline
Oil Depot	Oil Sludge cake and oil-contaminated materials	– Environmental pollution – Health risks	Disposal is carried out by waste disposal service providers with a license as legally required, alongside actions plans to reduce waste generation.
Lubricant Distribution Center at Bang Pa Kong	Film wrap	– Environmental pollution	Waste is recycled by waste disposal service providers with a license as legally required, part of our broader effort to integrate recycling programs to reduce the waste sent to landfill.
FIT Auto Service Stations	1) Contaminated packaging 2) Used lubricants 3) Used batteries 4) Used tires	– Environmental pollution	Waste is recycled by waste disposal service providers with a license as legally required, including waste reduction training provided to employees.
PTT Station / Café Amazon	1) General waste 2) Recycled waste such as plastic, glass bottles	– A breeding ground for insects and carriers of the disease – Causes pollution to the environment	Waste is sorted and recycled by waste disposal service providers with a license as legally required. Coffee cups are processed into uniforms for Café Amazon baristas.
Café Amazon Coffee Roastery Plant	1) Coffee chaff 2) Foil pouch packaging for coffee beans 4.) Polypropylene plastic coffee cup	– A breeding ground for insects and carriers of the disease – Causes pollution to the environment	Waste is utilized as raw materials in the upcycling process to create products for the Café Amazon coffee stores, such as using foil to make Eco Boards used for menu board. The foil containing coffee beans can be made into an eco-friendly product collection, including various types of bags for sale. Additionally, used coffee cups are repurposed to create decorative walls shaped like macaws (at the Samyan branch).
Bakery Plant and Dry Mix Plant	Breadcrumbs, milk Defect of mixing powder	– A breeding ground for insects and carriers of the disease – Causes pollution to the environment	100% Value added of food waste by making fertilizer/soil improvement materials, a testament to our quantified targets to minimize waste.

In addition, OR also implements the Zero Waste project at PTT Stations to efficiently manage waste at source. This initiative involves operating learning and waste management centers, utilizing waste generated at PTT Stations. For example, projects include producing fertilizers from composting food waste and producing cleaning solutions and converting food waste into organic soil. These projects are currently being carried out in the 9 PTT Stations as the following:

Saraphi Branch
Laem Chabang Branch (Inbound)
Laem Chabang Branch (Outbound)
Western Outer Ring Road Branch
Saraburi Branch
Rama 2 Branch (Outbound)
Bangna Branch (Outbound)
Vibhavadi 62 Branch
Wang Chan Branch

For non-recyclable waste, OR has measures to ensure that both hazardous and non-hazardous waste are properly disposed of by a licensed disposer as legally required. The licensing companies who collect hazardous waste from our operation will clearly identify the reuse or recycling methods to ensure zero waste to landfill. The amount of waste diversion to landfill and the disposal methods will be then reported and verified by a third party. The assurance statement is presented in the link.

OR invests in innovation to minimize waste s such as using AI Technology for data collecting and point recording for customer who return the used PET packaging to Café Amazon. The project has first implemented in 10 branches of Café Amazon since October 2023 until the present which collected more than 11,000 PET cups from more than 700 customers participating in the project. OR is currently considering further expansion of the project. This is to minimize waste in Café Amazon shop.)

Apart from the program and action to reduce the waste from our operation, OR also conducts Lean/Six Sigma principle training provided to employee. The objective of the training program is to apply the Lean/Six Sigma principles to reduce the cost/expense as a result of high efficiency of the production and waste reduction from OR’s operation.

Air Pollution

OR places emphasis on maintaining pollution control within the legally required level. The primary type of pollutants resulting from OR’s operations is volatile organic compounds (VOCs), which are generated in operations related to fuel storage, transportation, and trading. Therefore, OR has created VOC Inventory resulting from the activities of its petroleum terminal, oil depots, and LPG terminals, PTT Stations, and LPG cylinder refurbishing plants, which is updated annually to continuously monitor VOC evaporation in the designated areas. The data is then analyzed to develop systems and equipment that reduce the evaporation of VOCs into the environment. Initiatives undertaken include switching the fuel transfer method for tankers from top loading to bottom loading, which is a closed system and thus reduces the evaporation of fuels during transportation and discharge. Additionally, Vapor Recovery Units (VRUs) have been installed between the fuel storage tanks and tanker trucks during fuel transfers at Phra Khanong Oil Depot, Lam Luk Ka Oil Depot, Saraburi Oil Depot, Surat Thani Petroleum Terminal and Songkhla Petroleum Terminal and all PTT Stations. Furthermore, a Vapor Recovery Unit (VRU) control system has been installed at the fuel dispensers during fuel transfers into customers’ car tanks at PTT Stations. This installation is carried out at every PTT Station in compliance with regulations and in sensitive community areas, such as schools, to prevent adverse impacts on the surrounding communities of PTT Stations. In addition, OR has operational performance to support the PTT Group’s Volatile Organic Compounds (VOCs) emission target of not greater than 33,600 tons. In 2023, OR ‘s performance on VOCs is 8,877 tons.

Oil and Chemical Spills

As one of OR’s core businesses is Seamless Mobility, oil and chemical spills may occur, which could severely affect the environment and nearby communities, as well as adversely impact OR’s business. Therefore, OR places great emphasis on preparing to respond to oil and chemical spills. Oil spill response equipment has been installed to handle such incidents. Regular inspections are conducted to ensure the readiness of oil spill response equipment in all areas. Annual emergency response drills are conducted for oil depots, petroleum depots, and aviation depots, enabling OR to respond promptly when spill incidents occur. Furthermore, OR collaborates with the Oil Industry Environmental Safety Group Association (IESG) by supporting the association’s maintenance budget with an allocation calculated based on the volume of oil sold or produced by member companies in the previous year, equivalent to 1,577,000 THB. Additionally, OR also contributes to the International Oil Pollution Compensation (IOPC) fund, providing additional funding of 4,111.49 GBP or 167,008.72 THB. OR has also adopted environmental restoration guidelines from the PTT Group in case of spills. In 2023, there were no significant spill incidents at OR facilities.

Biodiversity

OR is committed to conducting business responsibly to preserve biodiversity and prevent the impacts of operations in high-risk project areas. OR has demonstrated commitment to biodiversity covering Tier-1 and Non-tier 1 suppliers and has established a policy combined with the assessment of biodiversity impacts as one of the criteria for evaluating various project investments. Additionally, OR has developed Biodiversity Action Plan Guideline (BAP), Biodiversity and Ecosystem Service No Net Loss Assessment Guideline, and Biodiversity and Ecosystem Service Risk Assessment Guideline. These guidelines serve as standard tools prescribed by the PTT Group, in ordered to demonstrate its commitment to the protection and preservation of biodiversity and the ecosystem.

OR has conducted a biodiversity risk assessment utilizing the Integrated Biodiversity Assessment Tool (IBAT), the guidelines for biodiversity mentioned earlier, the IUCN Red List species, and the National Conservation List within the locations of petroleum terminal, aviation depot, and Cafe Amazon roasting plants. From the assessment OR found that some locations are in the vicinity of the Marine Protected Area which are Phuket Aviation Depot. There are 10 business operations located in areas of high biodiversity value, which include the following:

Lifestyle Business Center (OASYS)
Bang Pa-in Oil Depot
Bangchak Petroleum Terminal
Lam Luk Ka Oil Depot
Phitsanulok Oil Depot
Phra khanong Oil Depot
Samut Sakhon Oil Depot
Surat Thani Petroleum Terminal
Phuket Aviation Depot
LPG cylinder refurbishing plants, the Central region, Phra Nakhon Si Ayutthaya Province

In 2023, OR found that the operation of the establishments had no impact on biodiversity.

No Deforestation

OR conducted operations responsibly in all areas to avoid and mitigate against adverse impacts to biodiversity values. OR integrated no deforestation policy into operation business and all working systems in the organization systematically and considering of biodiversity values into our investment.

Performance

Green Products

OR is committed to reduce the environmental impact from its production processes. OR also supports consumers in reducing environmental impacts by using OR products or services; and in turn supporting government initiatives to promote the use of biofuel (Biodiesel/B100 and ethanol). The products are under OR’s Healthy Environment strategy implementation plan. OR focuses on reducing the amount of greenhouse gas emissions both directly and indirectly and increasing the proportion of revenue from low-carbon products, with every PTT Station distributing diesel fuel (B7, B10) and gasohol, along with continuous development and improvement of oil quality. The objective is to respond to consumer needs, the changing engine technology, and for the better quality of life of the people in the country.

Table of the amount of biofuel procurement

Furthermore, OR also encourages industrial customer groups to shift towards more environmentally friendly energy sources. For example, transitioning from LPG to LNG, which can help reduce greenhouse gas emissions, or installing solar rooftop to generate electricity for utilization within the business operations, totaling 165 Places

In addition, OR has developed various low-carbon products, which have been certified with the PTT Group Green for Life label, awarded to eco-friendly products within PTT Group, and the Green Cart label, issued to green products or services by the Pollution Control Department. OR’s products that have been given such labels are listed below;

Products certified by PTT Green For Life include ENVIICO, which is a cleaning product for various surfaces such as windshields, fuel dispensers and are used in Café Amazon to clean restrooms. Additionally, certified Green Cart Lebel products include lubricant oil products.

Lubricants:

PERFORMA SUPER SYNTHETIC 0W-30
PERFORMA SYNTHETIC ECO CAR 0W-20
PERFORMA SUPER SYNTHETIC 0W-20
DYNAMIC SUPER COMMONRAIL 5W-30
DYNAMIC ULTRA PLUS 15W-40
DYNAMIC COMMONRAIL 10W-30
DYNAMIC SUPER COMMONRAIL 5W-40

A total of seven OR lubricants have been certified with a Green Cart label by the Pollution Control Department based on their environmental impact across the value chain. The label serves as a measure to promote procurement of green products and services.

“Clearing Up to Create New Opportunities Project” by correct methods to dispose of Electronic Waste (e-Waste) “The Clearing up to Create New Opportunities Project” was implemented to promote awareness of the impacts of incorrect disposal of electronic waste at OR. This involves the disposal of electronic waste at designated drop points and recording the data through the E-Waste+ application. Employees can capture images of the electronic waste disposal using the application, providing evidence by submitting via the MS Form to participate in such activity and have a chance to win prizes. In 2023, all collected electronic waste, or e-Waste, was 100 % properly managed. This has contributed to a reduction of electronic waste, approximately 39 kilograms, or 26.32 kgCO2 of carbon scores, equivalent to planting 4 trees.

Picture of “Clean up to Create New Opportunities”

Every year on October 14 is considered as International E-Waste Day, OR participated in declaring a commitment to build a Green Ecosystem alongside governmental and private organizations. More than 190 entities joined forces to collectively address the issue of electronic waste, forming a network to sharing knowledge, establish collection points and transportation channels, as well as promote proper recycling practices. The aim is to sustainably address the problem of electronic waste by raising awareness about the importance of recycling e-waste properly to achieve Zero E-Waste to Landfill

Picture of International E-Waste Day

EIA Monitoring Awards 2023

On July 19, 2023, the Office of Natural Resources and Environmental Policy and Planning (ONEP) organized the EIA Symposium and Monitoring Awards 2023 to recognize business operations that have developed environmental impact assessments report, implemented environmental management practices, and compliance with environmental impact prevention and mitigation measures, as well as their diligent follow-up and monitoring efforts. OR received a total of 5 awards from all business operations that have prepared environmental impact assessment reports, in the category of commercial port project capable of accommodating vessels of 500 gross tons or more. OR received awards for three outstanding projects: the Commercial Port Oil and Liquefied Petroleum Gas Terminal Project in Surat Thani (Port Authority of Surat Thani), the Commercial Port Project in Songkhla (Port Authority of Songkhla), and the Commercial Port Oil Depot Project in Phuket (Port Authority of Phuket). Additionally, two projects were recognized with outstanding EIA monitoring awards for their first-time participation: the Oil and Liquefied Petroleum Gas Depot Project in Surat Thani (Port Authority of Surat Thani – 2nd Port) and the Commercial Port Oil Depot Project in Bangchak (Bangchak Port).

Environmental Personnel Training

OR has established a policy to promote education and training of employees and raise awareness regarding the environment in accordance with the Quality, Safety, Health, and Environment (QSHE) policy. In 2023, OR conducted training courses in environmental management as shown as the following:

Organized hybrid training (Onsite and Online) on Environmental Data Collection and Reporting: In accordance with GRI reporting guidelines to enhance knowledge and understanding of GRI Standards reporting for accurate data collection among operational staff.
Organized hybrid training (Onsite and Online) on Environmental Data Verification: This aims to enable auditors to verify environmental data, ensuring accuracy and precision, and transparently present information through public channels.
Environmental Aspect Assessment and ISO 14001 Environmental Management System Evaluation: This includes conducting assessments on environmental issues and evaluating the ISO 14001 standards for the aviation fueling depot, LPG cylinder refurbishing plants , Lifestyle Business Center (OASYS), and the Lubricant Distribution Center in Bang Pakong, to prepare for the ISO 14001 certification.