Thailand should proceed cautiously with opportunities in the global emission reduction market, as market prices and technology are both controlled by developed nations, business leaders said. Though sales of carbon credits could generate additional revenue for companies, Pornsil Patcharintanakul, deputy secretary-general of the Board of Trade, said the country should think twice about ways for Thai businesses to actually benefit from such sales.

''I disagree with commercialising carbon reduction activities even though the original principle of cutting emissions is the right thing to do,'' he said.

So far, developed nations have not seriously cut emissions themselves but instead encouraged developing countries to do so.

''In doing so, they can sell technology to us at a high price,'' said Mr Pornsil, also an executive of Charoen Pokphand Foods Plc (CPF).

Carbon credits are tradeable instruments in the international market. Under the Clean Development Mechanism concept, firms in developing nations could sell credits generated from carbon emission reduction projects to clients in the developed world.

Those clients are obliged to reduce their emissions under the Kyoto Protocol by 2012.

But Mr Pornsil said international carbon markets are dominated by buyers in developed countries, as are the prices.

Under the current situation, Thailand would end up with deficits for selling credits because the cost of technology is high while carbon prices are controlled by developed countries, he said.

''I think we should send a clear message to the developed world that they should cut emissions to increase the economy of scale. Then the cost of technology will be more affordable,'' he said.

Carbon credit prices have fallen significantly since the global financial meltdown softened demand late last year.

Masahiro Kawai, dean of the Tokyo-based Asian Development Bank, believes most developed nations are headed toward a low-carbon economy with concerted global efforts.

Even though the US has not made a clear carbon reduction commitment, Mr Kawai said that from a global perspective, it is clear that countries are paying more attention to seriously reducing emissions.

Japan, for example, committed to a medium-term reduction target.

''In the developed world, emissions per capita are very low and when compared to those of developing countries, it is a huge difference,'' said Mr Kawai.

Developed countries are heading toward a carbon reduction cap and want developing peers to do the same.

To promote greenhouse gas reduction activities here, he recommended the Thai government lift subsidies for fuel and electricity so that prices would rise. When gasoline prices go up, consumers tend to consume less fuel.

The developed world should offer more technical collaboration and funding to developing countries if they want the latter to help them meet their international commitments.