The OECD, the Government of Thailand and the National Economic and Social Development Council (NESDC) are collaborating on an industry decarbonisation project focusing on the petrochemicals and the plastics value chain. The project builds on the implementation of the OECD’s Framework for Industry’s Net-Zero Transition, which is a step-by-step approach to assist EMDEs in designing solutions for financing and for improving the enabling conditions for industry’s net-zero transition.
Launched in February 2024, the project has carried out a technical analysis on 10 low-carbon routes to inform and prepare for ‘Step 3’ of the Framework on ‘Business cases and pipeline of projects’. This step of the Framework consists in conducting economic assessments for a selection of low-carbon options, and how these compare to conventional production routes (i.e., fossil-fuel based production routes).
A virtual workshop was held in April 2024 to gather feedback from stakeholders across the petrochemicals and plastics value chain. Conclusions and stakeholders’ feedback resulted in the selection of 3 options for the next step of the Framework implementation:
- Biomass to bio-ethanol to bio-olefins
- Biomass to bio-based and biodegradable plastics (e.g., PLA, PBS, TPS)
- Carbon capture and storage (CCS)
The objective of the second workshoo was to present and discuss the results of ‘Step 3’ of the Framework on ‘Business cases and pipeline of projects’. The meeting also gave the opportunity to exchange on financing solutions and enabling conditions which could support the deployment of these low-carbon options, in preparation for ‘Step 4’ of the Framework on ‘Market and financing solutions’ needed for implementing the selected low-carbon options.