Big companies to go green this year

NEW YEAR SPECIAL

Big companies to go green this year

Going green and making social contributions will be the main themes of major companies operating in Thailand when they launch corporate social responsibility (CSR) programmes this year.

Published on January 2, 2008

The CSR programme of the Siam Cement Group (SCG) has been shaped around a sustainable-development philosophy that the company has implemented in all business units. One company executive said business, environment and community issues could never be separated. As such, SCG's expertise is passed on to communities, in order to raise awareness about environmental impacts. Last year, its CSR programme focused on water conservation, based on the "3Rs": reduce, recycle and replenish. Most projects are for the long term, not one-off contributions.

"We have positive feedback," the executive said. "Now villagers know forests will return if there is water. In 2008, we'll embark on an employee-volunteer programme, in order to have them participate in programmes we're implementing at community levels."

It is difficult to estimate total expenses right now, because each unit is conducting its own project. SCG has more than 100 subsidiaries and more than 20,000 employees.

The Siam Motors Group will also revive its Think Earth project. Project secretary Boonphee Banvorn said about Bt10 million had been allocated for operations this year that would focus on raising awareness about global warming among children nationwide.

"They will be taught environmental issues, such as how to handle waste and recycle water. When the weather is cold, there's no need to turn on air-conditioners, and when it rains, we don't need to water plants. This is something we must start with the children," said Boonphee, adding that the project would make future adults more aware of their behaviour.

Environmental impact is also a major focus at PTT, the biggest spender in terms of CSR. Data from Brand Age magazine show that each year, the oil and gas firm spends about Bt250 million on CSR.

PTT public-relations director Songkiat Thansamrit said CSR at PTT covered a variety of issues, with top priority on sustainable development and community and social involvement. CSR became concrete in 1994 with the launch of a reforestation programme, followed by social programmes for communities along natural-gas pipelines, including a community fund, a school and job creation. Late last year, PTT kicked off the "Rak Pa Sang Khon 84 Tambon" (love forest and develop people's power in 84 tambons) campaign, implementing eight goals towards sustainable development.

Bank of Ayudhya (BAY) will also focus on the environment, one of three main areas of its CSR programme, said Yaowalak Poolthong, head of corporate communications and investor relations.

"Global warming is a crucial issue and involves all of society," Yaowalak said. "Even though banks are not polluters, we are part of society." Yaowalak said.

The bank will not venture alone in this effort, because teaming up with partners with a similar goal will create a stronger effect. BAY joined the Nation Multimedia Group's "One Degree Joining Hands to Make a Difference" campaign, which will continue until May and was initiated to raise awareness among Thais of global warming.

The other two areas are based on providing opportunities to youth and the underprivileged; and an employee-volunteer programme. Last year, BAY donated Bt2.5 million to create a centre for disabled students at Thammasat University. It also sponsored travelling expenses for young musicians going abroad.

This year, the bank will continue with the employee-volunteer programme started last year with participation in a house-building project with Habitat for Humanity Thailand.

"We plan to do it on a quarterly basis. All employees are proud to have helped society. Joining the activities, they are proud to be part of the bank," Yaowalak said.

Last year, the bank spent about Bt30 million on CSR, and this year's budget should be close to that amount.

Advanced Info Service (AIS) also joined the global-warming campaign, but it focuses mainly on donations for various social projects, including its ongoing campaign to promote family relations, which started in 1999.

AIS earmarked about Bt260 million for CSR activities last year, accounting for 10-13 per cent of its marketing budget, up from Bt200 million in 2006. Another CSR project is the distribution of water tanks to remote villages nationwide, in order to help them cope with severe drought.

Somprasong Boonyachai, executive chairman of AIS parent Shin Corp, said the company's CSR policy would make its customers feel proud they had used the company's services.

Total Access Communication (DTAC) has set a budget of around Bt100 million per year on CSR programmes, of which the best known is "Samneuk Rak Ban Kerd" (love your home town).

Initiated by Boonchai Bencharongkul, founder of DTAC parent United Communication Industry, the project has focused on providing scholarships to rural students, so they can further their studies and contribute to the improved economy of their villages after their graduation.

Philip Morris (Thailand) last year spent more than Bt5 million on CSR schemes. Its concrete water tanks were distributed to drought areas in the Northeast, and this will continue this year. Also, its art contest, originally for young students in the North, will also be continued, only covering a wider area.

"The Thai unit is allocated a special budget for this, but most of it is for emergency aid in the event of natural disaster," said corporate-affairs director Charonchai Salyapong. "Long-term projects win financial backing from our parent company, which has a CSR Department. Units all over the world submit proposals, and good projects win financial support. We're ready to support any projects that are rolling over and creating long-term value to community."

Some companies design CSR schemes to match the resources they have.

True recently launched the "Plook Panya" (planting wisdom) project, involving the donation of television sets, satellite dishes and educational television programmes to schools countrywide.

CEO Supachai Chearavanont believes television is an effective medium that can, with good programmes, bring knowledge to children and broaden their world view.

True has set an annual budget of Bt50 million to promote CSR activities, mostly for the "Plook Panya" project. It intends to increase its CSR budget after profits increase. The company also plans to introduce the "Plook Panya" programme to 800 elementary schools this year and 10,000 in three or four years.

Business Desk

The Nation