Bangkok, Thailand, April 27, 2022—Bangkok is about to get brand new electric boats, with IFC and Chao Phraya Express Boat Co., Ltd. (CPX) joining hands to expand e-mobility on one of the city's main waterways. This will also allow the city to lessen road congestion and air pollution while reducing greenhouse-gas (GHG) emissions and supporting the country's climate goals.
According to recent estimates, in 2021, commuters lost 114 hours while being stuck in traffic. This negatively impacted business operations and the air quality of the city, home to 10 million people. With IFC's support, CPX— the lead provider of water transportation services in Bangkok—plans to green its operations by purchasing 30 electric boats to ferry people on Chao Phraya River, seating 250 passengers each, while gradually phasing out its fleet of diesel boats.
Over the next 12 months, IFC will work with CPX to develop bankable and sustainable investment projects, especially on procuring and operating electric boats, helping the company develop robust environmental, safety, and social standards in line with international guidelines and best practices.
"It has always been our mission to minimize the impact on the environment. In order to achieve our goal and to support government initiatives, we have been working with the leading companies in the industry to research on the viability of e-boats for mass transit and are now ready to make our transition forward." said Supapan Pichaironarongsongkram, Chairperson of CPX & Supatra Group "Working with IFC— the global development institution that has had many success in helping to establish market opportunities in many developing nations like Thailand — marks a significant step for us in achieving a sustainable transportation infrastructure for the marine industry and reaching international standards for Thailand."
CPX's express boats operations are connected to the Bangkok Mass Transit System (BTS) and the Metropolitan Rapid Transit (MRT) stations, making it an integral part of Bangkok's public transport system. CPX has over 50 years of experience in operating boats on the Chao Phraya River, carrying an average of 10 million passengers annually.
IFC's support in developing the country's first e-boat deployments is in line with the government's initiative to boost the country's electric vehicle industry and reach its net-zero carbon emissions target by 2050.
"A collaborative effort across public and private sectors is key to tackling climate change. By supporting a locally established market player, IFC hopes to increase market competitiveness and encourage more companies in Thailand to make sustainable investments and create green jobs," said Jane Yuan Xu, Country Manager for Thailand and Myanmar, IFC. "Supporting women entrepreneurs is one of IFC's priorities in Thailand as well as globally. In alignment, we are proud to support a family-run business led by four generations of Thai women leaders."
IFC combines investment and advisory to foster sustainable economic growth in Thailand's private sector. As of June 2021, IFC's committed portfolio in Thailand is $875 million.
About IFC
IFC—a member of the World Bank Group—is the largest global development institution focused on the private sector in emerging markets. We work in more than 100 countries, using our capital, expertise, and influence to create markets and opportunities in developing countries. In fiscal year 2021, IFC committed a record $31.5 billion to private companies and financial institutions in developing countries, leveraging the power of the private sector to end extreme poverty and boost shared prosperity as economies grapple with the impacts of the COVID-19 pandemic. For more information, visit www.ifc.org.
About CPX
Chao Phraya Express Boat Co, Ltd. – the leading river transportation service provider of Bangkok, Thailand -- has been established in 1971 by Khunying Supatra Singholaka following its original ferry crossing boat business. Over the past 50 years, Chao Phraya Express Boat has played an important role in waterway transportation in Bangkok and the surrounding areas. Operating cover 32 kilometers from Pak Kred (Nonthaburi) to Wat Ratsingkorn, the south of Bangkok with 4 fleet lines: Orange Line, Yellow Line, Green Line, and the Riva Express Red Line, CPX had been carried 11 million passengers a year. For more information, visit www.chaophrayaexpressboat.com.
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