Tuesday, September 29, 2009

INJUNCTION HALTS PROJECTS

       Thailand's industrial-investment scene yesterday suffered another blow as the Central Administrative Court issued an injunction against proceeding with 76 projects slated for Map Ta Phut and nearby areas in Rayong with a combined investment of about Bt400 billion.
       The court's ruling in favour of |villagers in and outside the Map Ta Phut Industrial Estate will affect |76 projects that have passed an |environmental-impact assessment (EIA).
       These projects are pending construction licences under the Constitution's Article 67, which requires a health-impact assessment (HIA), public consent and approval from the yet-to-be established in-dependent environment body.
       The court ruled that the minutes of a meeting of government agencies showed pollution problems from existing facilities in the area had intensified. That was enough to justify the injunction, as more industrial activity would increase the damage, it said.
       The injunction will remain in place until there is a judgement in |the environmental case against a number of government agencies.
       The 76 projects to be located in Map Ta Phut, Ban Chang and other areas belong to a number of major companies, including the PTT |Group and the Siam Cement Group (SCG).
       The Abhisit Vejjajiva government had earlier resolved that projects in the area could proceed if they had passed the EIA stage.
       On September 15, SCG-Dow Group - a joint venture between |Dow Chemical, SCG and Solvay Peroxythai - announced it had conducted a foundation-stone laying ceremony for its HPPO (hydrogen peroxide to propylene oxide)-related investments at the Asia Industrial Estate site near Map Ta Phut.
       MUDDLED RULES
       Unclear regulations have become one of the major concerns for foreign investors, as many industrial firms are eyeing investment in Thailand, including in steel-smelting plants.
       Deputy Prime Minister Korbsak Sabhavasu recently said Thailand should not be home to polluting heavy industries.
       In a paper by the Federation of Thai Industries' communications and technical task forces - and released to the press yesterday - for a win-win solution the government is urged to allow responsible companies or projects that comply with rules to proceed, and to punish non-compliant companies. Meanwhile, industrial projects must continue to reduce pollution as in the established plan and escalate community-relations efforts.
       Both the government and the industry concerned should work closely with the local community on development activities to improve people's quality of life and promote the "Eco Town" principle, the paper said.
       It also said the government |should allow the 76 projects to |continue with their construction |and operation, as they have fulfilled the EIA and permit requirements, including HIAs and public participation.
       Villagers in Rayong have, however, strongly opposed further industrial expansion in the area.
       Yesterday's injunction was in response to a petition from the Anti-Global Warming Association and 43 villagers from Map Ta Phut.
       They filed the petition against the National Environment Board and the secretary-general of the Natural Resources and Environment Policy and Planning Office, as well as the ministers for natural resources and environment, industry, energy, transport and public health and the Industrial Estate Authority of Thailand.
       They were alleged to have violated Article 67 of the Constitution in approving the 76 projects to proceed as planned, even though the charter had gone into effect on August 24, 2007.

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