Capital Project Management


Capital Project Management

Sustainable Development Goals

Opportunities and Challenges

Opportunities for the civil society’s access to energy, as well as the development and promotion of industrial sectors both help strengthening the national economy. PTT has been commissioned operator of the natural gas pipeline network development project according to the National Master Plan in terms of transmission systems and natural gas infrastructure for energy stability according to cabinet resolution and the National Energy Policy Council (NEPC). Therefore, PTT has supervised the implementation of various projects while creating value for stakeholders, namely the government sector, civil society, and labors, covering environmental, social and governance parties. The key focus is on minimizing environmental impacts from project implementation and promoting knowledge and proper understanding of relevant project development and operational guidelines during the pre-construction, mid-construction and post-construction phases. This attainment will benefit PTT's development and business growth, stakeholder management, environmental protection, and occupational health and safety goals while maintaining efficiency and sustainability. 

Management Approach

Project Management

PTT emphasizes project management with the management of environmental and social impacts which may arise from project implementation with potential for both direct and indirect effects on stakeholders. Therefore, environmental impact assessments and public hearings are completed in line with relevant laws and regulations prior to project initiation. The mentioned crucial processes provide complete and stringent  channels for knowledge and comprehension exchange, stakeholder engagement opportunities, facilitation of public opinions, suggestions or concerns regarding project implementation, supervision of preventative and corrective measures, monitoring environmental impacts and relevant occupational health and safety requirements throughout the project lifespan, pre-, mid- and post-construction.

Environmental Impact Assessment

PTT has conducted studies and prepared Environmental Impact Assessment (EIA) reports for all projects, undertakings, or operations requiring an environmental impact assessment report according to the Ministry of Natural Resources and Environment notification issued under Section 48 of the Enhancement and Conservation of National Environmental Quality Act (No. 2), B.E. 2561.

Continuous operations relating to *largescale projects under PTT's natural gas pipeline master plan have undergone EIA assessment, reporting and approval by the National Environment Board, Expert Committee for Environmental Impact Assessment reporting at the Office of Natural Resources and Environmental Policy and Planning (ONEP) and related licensing agencies. These respective projects consist of The Fifth Transmission Pipeline Project and the onshore natural gas pipeline project from the natural gas control station in Ratchaburi-Wang Noi 6 (RA6) to Ratchaburi. The current project has progressed to the physical structure construction phase with delivery preparations with the natural gas pipeline line phase currently ongoing. Present-day operations require project supervision and monitoring to comply with the conditions set forth in the approved EIA report, which stresses strict environmental protection measures. The compliance results under conditions specified in the EIA report, which will be reported to the Office of Natural Resources and Environmental Policy and Planning, government agencies or related licensing agencies every six months, extends to compliance in supervision and control of relevant occupational health and safety requirements.

Public EngagementGRI413-1

PTT has organized public consultation with the general public and stakeholders in various projects. The company follows the Office of Natural Resources and Environmental Policy and Planning’s announcement concerning Guidelines for People's Participation in the Process of Environmental Impact Assessment Report B.E. 2562 (2019)  to promote and disseminate project related information and to develop better understanding on the project and action plan, project location selection process, expected benefits, impacts, preventative measures, corrective plans and environmental impact monitoring.  Specific emphasis encompasses providing all stakeholders the opportunity to participate in expressing their respective opinions, suggestions or concerns regarding project implementation, which extends to preventative and corrective measures, environmental impact monitoring procedures, determination of appropriate guidelines to reduce project environmental impact, and acceptance by the local community and all stakeholders. 

PTT defines the process of public engagement as follows:

  • Review the fundamental information of communities within the project location in coordination with relevant government agencies to further utilize data to define stakeholder analysis, determine the model and method of implementing engagement activities, and listen to opinions appropriate to each of stakeholder engagement groups about the implementation of the project.
  • Conduct site visits to plan and organize stakeholder’s feedback activity by implementing community preparation processes, which will provide public information regarding project details and potential impacts to obtain complete and sufficient information for stakeholders The emphasis is on a form of communicating that is easy for the public to understand, inclusive of pamphlets and publicity banners, etc. in order to convey complete and sufficient information for the purpose of expressing opinions. 
  • For projects requiring EIA reports, at least two public hearings are organized with the first hearing to receive input on outlined project details including scope of study, assessment of alternative or location of the project, and the second hearing to receive input on report drafting, preventative measures, correct action plan and environmental impact monitoring. Furthermore, public relations announcements are disseminated prior to each hearing to inform the public of the channels, time, place and details to convey their respective opinions. Upon completion of each hearing, the discussed results will be summarized and disclosed to the public. 


Large-scale projects refer to state enterprise-owned projects with a proposed investment framework of one billion baht or more (based on the Notification of the State Enterprise Policy Committee on the Criteria of Large-scale Enterprise Projects 2014).

Community Resettlement

PTT strictly avoids operating projects that cause permanent community resettlement by designing construction sites and routes along with construction works that have no impact on land and property use, ensuring that projects are well-accepted by the community. Meanwhile, PTT will conduct related processes including the environmental impact assessment and public engagement. In case of necessity or no suitable alternative to PTT, PTT will provide information, consultation and build understanding with the affected persons to gain their acceptance. In some cases, PTT will compensate for damage or effects caused by the demolition of buildings and spaces sustenance. If PTT’s construction causes damage or influences, PTT shall be responsible for repairing and restoring the site to its original state as closely as possible. 

Performance Monitoring

PTT has established preventive, corrective and environmental impact monitoring measures according to the EIA report, which covers the management of project stakeholders before, during and after the construction of the project (implementation phase). The essential data is gathered into an EIA compliance report, which must be submitted every six months to the relevant government or licensing authority. In addition, a report on the implementation of the measures is also prepared and submit to the Office of the Energy Regulatory Commission (ERC), which is the licensing agency, every six months.

During the construction phase, PTT will closely control and monitor the contractors' operations on a weekly basis. It consists of a meetings to monitor the progress of the work plans, problems, obstacles, complaints, and visit the site to inspect the operations at the construction site as well as arrange for public relations officers to continually visit the area to engage and to collect suggestions or complaints that may occur in the area.

Community Relations

Stakeholder engagement is a process that PTT has carried out to get information for the understanding of public opinions, requirements and concerns about probable impacts or modification that may occur because of project development. PTT has deliberately fostered engagement with local communities in order to demonstrate its respect for their rights and to build positive relationship with them. The community's primary information, suggestions and concerns will be collected during the process of developing appropriate mitigation measures for environmental, social and health impacts in all of PTT’s activities. The outcome would then be shared with stakeholders.

Community Engagement and Development Standards

PTT initiated a relationship operational guideline that outlines the Community Development and Community Relations Guidebook (CD-CR) which will be employed in the process of planning and conducting community engagement to ensure that all departments in all business units follow the same procedure and standard when managing community relations with stakeholders during the project development period.  The Corporate Social Responsibility (CSR) Department is responsible for implementing and collecting information obtained from stakeholder engagement activities as well as communicating between departments.

PTT utilizes stakeholder mapping to identify target groups of stakeholders to assess the importance of each community. In order to create a community database, stakeholder importance will be prioritized based on their demands and influence on PTT business operations. As a result, PTT is able to respond effectively to each stakeholder group based on their priority.

Performance Measurement

PTT has defined the Community Engagement Score (CES) as an indicator of management performance for all major capital projects. This indicator demonstrates the effectiveness of the stakeholder engagement process. Performance indicators vary depending on the significant factors of each project. A survey of stakeholders' opinions in the communities surrounding the operational area is another important indicator. The results, suggestions and expectations obtained from the survey are considered when developing operational strategies in order to create long-term benefits. Examples include performance improvement following opinion surveys, public hearing of stakeholders form all sectors in areas with natural gas pipelines. There has been engagement as CSR activities in the project areas, as well as caring and maintenance of communities and society, alongside the project performance, continuously.

For community relations, PTT has created the Community Satisfaction Index (CSI) as a performance indicator. The CSI index consists of an assessment on the development of economic and living conditions, safety and environmental operation performance, community relations and communication of the organization's activities.

Community Grievance Mechanism

PTT has set up the approaches and communication channels for gathering opinions and grievances of stakeholders, allowing PTT to systematically and efficiently respond to complaints at all stages of project operation - before, during and after project development. For large-scale capital projects, the grievances are addressed through the tripartite committee consisting of PTT, representatives of relevant stakeholders and government agencies.

Key Performances

Information acknowledgement and project acceptanceGRI413-1, GRI413-2

The prime goal of project management is to carry out the project within the designated timeframe while obtaining public acceptance. In the case of any issue occurring from project construction or any complaint received, a monitoring process will promptly be put into action within 24 hours to mitigate such impact to manageable levels. During the process, all relevant departments will be immediately contacted and collaborated in order to resolve the problem as soon as possible.

Projects undergoing development 
Community Impact Management Projects in 2021
Total number of projects 8
Number of projects with community consultation        8
Percentage of development projects with community consultation to total number of projects 100

Current Operation Sites
Community Impact Management Number of operation sites in 2021
Total number of operation sites 8
Number of operation sites with community consultation          8
Percentage of operation sites with public consultation to total number of operation sites 100

Information acknowledgement and project acceptance (percentage)

Information acknowledgement results 84.14 92.28 92.90 75
Project acceptance results 80.94 68.38 70.30 80

During the previous year, PTT has completed one large-scale natural gas transmission pipeline project, namely the Onshore Gas Transmission Pipeline Gas Pressure Controlling Station from Wang Noi 6 (RA6) to Ratchaburi Province project. The current project status includes processes relating natural gas pipeline postconstruction impact monitoring. Currently in 2021, PTT has undertaken a large-scale natural gas pipeline projects and other large projects, including the Onshore Natural Gas Pipeline Project Line No. 5, the Onshore Natural Gas Pipeline Project from Bang Pakong to the South Bangkok Power Plant and the Natural Gas Separation Plant Unit 7 (GSP 7) with details of operations as follows: 

Project DetailsOnshore Gas Transmission Pipeline No.5  ProjectOnshore Natural Gas Pipeline from Bang Pakong to South Bangkok Power Plant ProjectGas Separation Plant No.7  ProjectOnshore Gas Transmission from RatchaburiWang Noi Gas Pressure Controlling Station No. 6 (RA6) to Ratchaburi Province Project
Pipeline Distance (km)/Project Area (rai) 415 kilometers 57 kilometers 140 rai 119 kilometers
Coverage Area 104 sub-districts in 29 districts across 8 provinces (Rayong, Chonburi, Chachoengsao, Prachinburi, Bangkok, Pathum Thani, Ayutthaya and Nonthaburi)

24 sub-districts in 6 districts across 2 provinces (Chachoengsao and Samut Prakan)

Located on PTT’s own land, nearby PTT's LNG terminal in Map Ta Phut Industrial Estate, Rayong Province 38 sub-districts in 8 districts across 4 provinces (Nonthaburi, Nakhon Pathom, Kanchanaburi and Ratchaburi)
Target Year of Completion 2022 2025 2023 for Plant Construction Phase 2021
Current Progress Construction Phase Public hearing regarding guidelines for natural gas pipeline (PP1) route and gas pipeline (PP2) route selection The Environmental Impact Assessment Report has been approved and construction preparation has proceeded Processing Phase
(Project delivery to the Natural Gas Pipeline Systems Team since 18 Aug. 2021)
Community Engagement Score
(Target score: 3.5)
3.97 - - 4.0

Remark: Number of operation sites with public consultation refers to number of areas with community engagement at a certain level according to PTT’s assessment

Projects Performance
Environmental, Social and Health Impact Management  

PTT has determined indicators for environmental, social and health impact management consistent with the operation status of The Fifth Transmission Pipeline Project and RA6 – Ratchaburi Pipeline Project as detailed in the table below.

Project Management Results 

The Fifth Transmission Pipeline Project

RA6 – Ratchaburi Pipeline Project

Control, monitor and environmental measures implementation verification
(% EIA Compliance)



Lost Time Accident (LTA)



Total Recordable Injuries Rate (TRIR)



The two mentioned projects have successfully completed relevant EIA studies and report preparation. The current project status includes processes related to monitoring and reporting preventive measures implementation, corrections and environmental impact measures monitoring, and supervision and control of contracted workers in performing their respective work operations in strict and complete accordance to occupational health and safety requirements. Interested parties can review the EIA report and PTT's compliance with EIA measures report related to the aforementioned project at the website of the Office of Natural Resources and Environmental Policy and Planning (ONEP), 

Projects Performanc
Plan 2020 Performance (%)2020 Target (%)2021 Performance (%)2021 Target (%)
Control, monitor and environmental measures implementation verification (EIA Compliance) 100 100 100 100

Information dissemination to enable public confidence in all projects

Project information acknowledgement 92.90 70.00 75.00 70.00
Project acceptance 70.30 60.00 80.00 60.00
Fostering stakeholder engagement in all projects 80 60 73 60
Number of community grievance and resettlement 0 0 0 0


The Environmental Impact Assessment (EIA) and Environmental Health Impact Assessment (EHIA) reports are presented to the Office of Natural Resources and Environmental Policy and Planning (ONEP) for consideration, while the Environment Report (ER) is presented to the Department of Energy Business (DOEB) for consideration.

Key projects or activitiesSDGs 9.1

The Fifth Transmission Pipeline Project and The RA6 – Ratchaburi Pipeline Project and Onshore Natural Gas Pipeline from Bang Pakong to South Bangkok Power Plant Project increases the natural gas delivery capacity of the onshore natural gas pipeline network in support of increasing natural gas demand from power plants within the metropolitan area according to the power development plan of Thailand from 2018-1937 Revision No. 1 and increases natural gas delivery stability to the South Bangkok Power Plant, North Bangkok Power Plant and the industrial sector. The project doubles as a replacement for the first onshore natural gas pipeline, which commenced operations since 1981. All three projects are keystone developments in the planned delivery system and natural gas infrastructure stability in accordance with the Long-term Energy Integration Plan 2015 – 2036 which includes support for natural gas demands in various sectors. This initiative supports Goal 9 of the Sustainable Development Goals (SDGs): Industrial innovation and infrastructure.

The project has conducted studies and developed an environmental impact assessment report, and collecting relevant stakeholder opinions and giving opportunities for stakeholders from all sectors to express their opinions, suggestions and concerns. In this regard, PTT has taken the recommendations received into consideration to determine/ improve measures to prevent, correct and monitor environmental impacts appropriately. In addition, approaches to supervise and control of stakeholders in the construction labor sector relating to the project have been further implemented to ensure strict and complete operational compliance with occupational health and safety requirements as shown from the project management results above. Measures have been implemented to reduce impact on the environment, community, society, and all stakeholders, resulting in a sustainable project operation. 

Future Plans 

PTT has a proposed developments for Gas Separation Plant Unit 7 in Map Ta Phut Subdistrict, Mueang Rayong District, Rayong Province, to increase natural gas separation efficiency and strengthen the overall national energy security for maximum benefits. The project requires environmental impact assessment studies, report preparation, stakeholders’ opinion hearings, and opportunities for stakeholders from all sectors to express their opinions, suggestions and concerns for project implementation. Upon report approval and during the preconstruction phase, PTT will continue to collect and present project management results alongside stakeholder management activities in 2022.

PTT aims to initiate future natural gas pipeline installation projects, namely the Nakhon Ratchasima Gas Pipeline Project - Nam Phong Power Plant, Natural Gas Pipeline Project - Surat Thani Power Plant, Southern LNG Terminal Project, etc. This approach ensures national energy security and supports the capacity of the onshore natural gas pipeline network in meeting rising natural gas demands in the industrial, business and residential sectors across the country.