PM2.5 smog choking Thailand’s economy, says World Bank

MONDAY, DECEMBER 18, 2023

PM2.5 air pollution is costing Thailand a staggering 6% in lost GDP per year, according to the World Bank.

The economic losses come from the huge medical bill for treating patients with PM2.5-related health conditions, says the “Thailand Economic Monitor” (December 2023) report.

While Thailand has set ambitious environmental targets – carbon neutrality by 2050 and net zero greenhouse gas by 2065 – progress lags behind regional peers like Cambodia and Vietnam.

The World Bank advises the country to impose higher costs on carbon emissions to discourage companies and households from using fossil fuels.

“The two main forms of carbon pricing, carbon taxes and Emission Trading Schemes (ETS), together with other complimentary policies and the withdrawal of fossil fuel subsidies, can be used to lower greenhouse gas emissions,” it adds.

Cost of dirty air

PM2.5 pollution inflicts both direct and indirect costs. Healthcare expenses soar due to increased respiratory illnesses, while tourism and productivity suffer from a smog-shrouded cityscape. The World Bank report estimates this translates to a staggering 6% GDP loss, highlighting the urgency of action.

Beyond carbon pricing

While carbon pricing and carbon-neutral initiatives are crucial, Chawalit Chantararat, president of the Consulting Engineers Association of Thailand, proposes a three-pronged approach:

1. Choking off vehicle emissions: Reduced car usage and a shift towards electric vehicles (EVs) are vital. Public awareness campaigns and infrastructure development for EVs can incentivise cleaner transportation.

2. Conserving water & energy: Fossil fuels used for electricity and water supply contribute significantly to PM2.5. By conserving water, we reduce energy consumption and subsequently, fossil fuel use.

3. Stop the burning: Open burning, especially during the sugarcane harvest, is a major culprit. Strict enforcement of existing laws and effective communication with the public are key.

Enforcing the law is key

Existing regulations can be powerful tools if effectively enforced. "Allocate budget resources appropriately and enforce the laws rigorously," emphasises Chawalit. The Pollution Control Department already possesses the legal framework; robust enforcement is the missing piece.

Thailand's air quality crisis demands immediate action, according to both environmental groups and authorities. By prioritising stricter enforcement, promoting cleaner transportation, and embracing resource conservation, Thailand can protect its citizens' health and safeguard its economic future from the choking grip of PM2.5.

Chawalit Chantararat, president of the Consulting Engineers Association of Thailand