Reducing forestry carbon credit assessment costs with space tech

GISTDA revolutionises carbon credit assessment in forestry by leveraging space technology and geospatial data, reducing costs and enhancing efficiency in the process.

The carbon market is a key mechanism used by countries worldwide to promote the reduction of greenhouse gas (GHG) emissions, which are the primary cause of global warming. 

In Thailand, the Thailand Greenhouse Gas Management Organisation (Public Organisation), or TGO, serves as the agency responsible for promoting the management of GHG emissions in the country. TGO developed the "Thailand Voluntary Emission Reduction Program" or "T-VER" project as a mechanism to encourage voluntary reductions in GHG emissions. 

Participants in the T-VER project can generate carbon credits from the reductions and removals of GHGs, which can then be sold in the domestic voluntary carbon market.

According to data from TGO, as of February 17, 2025, the cumulative total of carbon credits traded under the T-VER project amounted to 3,598,457 tons of CO2 equivalent, valued at 322,614,985 baht. 

Meanwhile, carbon credits from forestry projects are gaining popularity, with 315,553 tons of CO2 equivalent traded at an average price of 305.14 baht per ton.

Currently, in Thailand's voluntary carbon market, project developers are required to assess and certify carbon credits according to the methodologies established by TGO. These methodologies cover a range of project types, including energy, transportation systems, waste management, industrial factories, greenhouse gas capture or utilisation, as well as forestry and agricultural sectors.

The biomass sector accounted for the largest share of carbon credit transactions, with 1,578,308 tons of CO2 equivalent traded at an average price of 36.82 baht per ton. The cost of carbon credit assessment, which is relatively high, is a significant expense in project development, particularly for small-scale projects. Despite having potential and readiness, these projects may find the returns "not worthwhile," leading to underdevelopment in Thailand’s carbon credit market, especially in the forestry and agriculture sectors. 

Various organisations with the necessary technology and tools have proposed new methodologies to reduce the costs of carbon sequestration assessments, allowing for faster and more accurate evaluations. 

For instance, the Geo-Informatics and Space Technology Development Agency (GISTDA) has applied space technology and geospatial data to assess carbon credits in the forestry and agriculture sectors.

Recently, TGO announced the certification of a new methodology for "assessing accumulated biomass (carbon) sequestration in forest areas using a Machine Learning model for greenhouse gas management in Thailand" and "biomass assessment in forestry using unmanned aerial vehicles (UAVs) at the plot level."

This approach supports assessments in four forest types and one agricultural crop: Mountain rain forest, mixed deciduous forests, dry dipterocarp forests, mangrove forests, and rubber plantations. 

Previously, TGO’s methodologies included four options for assessment: 1) counting the number of trees, 2) measuring tree sizes, 3) using remote sensing technologies with artificial intelligence, and 4) other methods approved by TGO.For methods 1 and 2, which are suitable for smaller areas, counting trees or measuring tree height can be quite challenging for larger areas, ranging from hundreds to thousands of rai. 

Therefore, method 3 is used, which involves two steps: first, satellite imagery is used to identify the boundaries of the planted areas. Once the boundaries are established, random plots are selected to measure tree growth and height, as outlined by TGO. For areas larger than 300 rai, at least 1% of the area must be surveyed. These measurements are then used in a formula, alongside the satellite images, to calculate the carbon sequestration for that base year.

In addition, the TGO's carbon sequestration assessment methodology specifies that project developers must use baseline carbon sequestration data for carbon credit trading. 

The assessment process involves external verifiers who ensure the accuracy and scientific validity of the measurements. When carbon credits are to be sold, the carbon sequestration amount must be reassessed to calculate the additional carbon credits available for sale. 

This process requires two separate assessments for each project, resulting in relatively high costs. 

For small projects with low returns, this makes development “not worthwhile.” The “not worthwhile” aspect has led various organisations, equipped with satellite imagery, models, and artificial intelligence (AI) technologies, to see an opportunity. 

One such organisation, GISTDA, specialising in space and geospatial technology, has proposed new methodologies to TGO. These methods combine satellite imagery, AI, and LiDAR technology to assess carbon sequestration more accurately, efficiently, and cost-effectively.

Siam Lawawirojwong, Director of the Applied Geospatial Information Department at GISTDA, explained that GISTDA has developed a method using satellite data for carbon sequestration assessments, which has been certified by TGO. This approach allows for faster work and the ability to cover larger areas, while also improving accuracy compared to traditional methods that required people to physically count and measure trees in the field.

“The use of remote sensing technology and AI to analyse data is an efficient method that can be applied across all areas. Anyone or any organisation interested in participating can now use this technology. GISTDA has also developed a digital platform called ‘Carbon Atlas’ to facilitate the new carbon sequestration assessment method,” Siam said. 

Those interested in selling carbon credits can use the “Carbon Map” provided by GISTDA to plot their area and assess its carbon sequestration potential before registering with TGO. 

This method reduces the cost of carbon assessments, making them more accessible, faster, and more reliable.

GISTDA expects to make this service available through the “Carbon Atlas” platform by the end of 2025. The organisation hopes that this new technology for assessing carbon sequestration will help support the country's policy of increasing green spaces and making carbon credit projects more tangible.

(2025/06/10-00:00)