As of 2023, Thailand’s total installed solar photovoltaic (PV) capacity is approximately 4.96 gigawatts (GW). This capacity is expected to continue growing, with projections indicating it could reach around 5.52 GW by 2029 due to strong government support and ongoing investments in renewable energy​.⁵

By 2037, Thailand aims to achieve a solar PV capacity of 15.6 GW.⁶

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Natural Gas: This is Thailand’s dominant electricity source, contributing to over 50% of the total energy mix. The cost for natural gas-fired power generation is estimated to be around $0.05 to $0.08 per kilowatt-hour (kWh), though fluctuations in LNG import prices can lead to variations.

Coal: Coal-fired power is less expensive, typically costing $0.04 to $0.06 per kWh. However, environmental concerns and commitments to reduce greenhouse gas emissions are driving a shift away from coal.

Renewables:

Solar: Solar power is becoming increasingly cost-competitive, with costs averaging $0.03 to $0.05 per kWh due to falling technology prices and government incentives.

Wind: Wind energy is slightly more expensive, around $0.04 to $0.06 per kWh, depending on location and scale.

Hydropower: Imported electricity from Laos‘ hydropower plants costs around $0.03 per kWh, making it one of the cheapest renewable options.

Biomass and Waste-to-Energy: These sources are used regionally and typically cost between $0.05 and $0.07 per kWh.

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Natural Gas: Natural gas is the dominant source of electricity, accounting for about 64% of the total generation.

Coal: Coal contributes to approximately 20% of electricity generation.

Renewable (Solar, Wind, Hydro): Renewable make up around 14% of the total electricity generation.

Other Sources: The remaining 2% includes oil and other minor sources.

The average daily availability of electricity from the national grid in Thailand is generally 24 hours a day.⁹

As of 2024, Thailand has seen significant growth in residential solar panel installations, driven by rising electricity costs and government incentives. Approximately 100,000 residential solar panel installations have been recorded across the country.¹⁰

Installed : There are at least 36 solar farms managed by SPCG, one of the leading developers in Thailand, with a combined capacity of 260 MW.​¹¹

Projected : Thailand’s commitment to solar energy is further demonstrated by its ambitious plans to develop 16 floating solar projects across nine dams, with a total projected capacity of 2,725 MW by 2037.¹²

Installed: As of the latest data available, Thailand has 6.1 MWp of off-grid PV systems installed.¹³

Projected: The off-grid solar PV panels market globally is projected to grow at a compound annual growth rate (CAGR) of 9.5% from 2023 to 2029.¹⁴

As of 2023, Thailand’s total installed solar photovoltaic (PV) capacity is approximately 4,096 gigawatts MW, and the government has set an ambitious target for renewable energy to account for 30% of the power mix by 2037. This includes plans for an additional 8,740 MW of new PV installations and 550 MW of PV hybrid systems.¹⁵

The average pay for a Solar Energy System Installer in Thailand is $17,077.17 a year and $8.22 an hour. This salary range typically falls between $12,230.21 and $20,583.25.¹⁶

As of 2024, the population of Thailand is approximately 71.89 million people.¹⁷

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Labor Costs: Skilled labor, such as engineers and technicians, may cost between $10,000 and $20,000 annually, while unskilled labor, including factory workers, can range between $4,000 and $8,000 per worker.

Rent: Costs for factory space can vary, with rent typically ranging from $5 to $15 per square meter per month in industrial zones like the Eastern Economic Corridor (EEC).

Energy Costs:  In Thailand, energy costs for industrial use range between $0.10 and $0.15 per kWh, lower than many other countries, making Thailand an attractive location for production.

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Electricity Generation and Distribution:

• Fossil Fuels: Natural gas is the primary source of electricity, accounting for over 60% of the total generation capacity. Coal and lignite contribute around 20%.
• Renewable Energy: Solar, wind, biomass, and hydropower are significant contributors. The country has set ambitious targets for increasing the share of renewables in its energy mix, aiming for 30% by 2037

Major Energy Players:

• Electricity Generating Authority of Thailand (EGAT): The main producer and transmitter of electricity.
• Provincial Electricity Authority (PEA) and Metropolitan Electricity Authority (MEA): Responsible for distribution in provincial areas and Bangkok, respectively.

Renewable Energy Initiatives:

• Solar Power: Significant growth in both rooftop and floating solar projects. The government supports the development of solar farms and has set targets to increase solar capacity.
• Wind and Biomass: Wind farms are primarily located in coastal and mountainous areas, while biomass energy is harnessed from agricultural residues and waste

Energy Policies and Goals:

• Power Development Plan (PDP): Outlines the country’s energy strategy, including increasing renewable energy capacity and reducing reliance on fossil fuels.
• Alternative Energy Development Plan (AEDP): Focuses on promoting renewable         energy projects and improving energy efficiency.

Infrastructure Projects:

• Hydropower: Several large dams generate hydroelectric power, with ongoing projects to integrate solar and hydropower.
• Grid Modernization: Investments in smart grid technology and infrastructure      upgrades to improve efficiency and integrate renewable energy sources.

Challenges and Opportunities:

• Energy Security: Balancing energy imports with domestic production
• Environmental Impact: Managing the environmental effects of energy projects
• Technological Advancements: Adopting new technologies to enhance energy production and distribution.

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• Power Purchase Agreements (PPAs): These are standard form agreements with a term of 20-25 years, depending on the technology and scheme. The Electricity Generating Authority of Thailand (EGAT), Provincial Electricity Authority (PEA), or Metropolitan Electricity Authority (MEA) agrees to purchase all electricity generated by the project. There are specific requirements for interconnection to the grid and technical readiness criteria that projects must meet to qualify for PPAs.
• Investment Incentives: Renewable energy projects can apply for incentives under the investment promotion law, which allows for up to 100% foreign ownership and enables the project company to own the land required for the project. This is an exception to the general restriction on foreign ownership of land in Thailand.
• Technical Readiness and Project Development: Projects must demonstrate technical readiness, including securing land rights, complying with building control and town planning rules, and having detailed plans for land use. Technical expertise, energy potential, financial backing, and a comprehensive action plan for environmental reports, stakeholder input, and necessary licenses are also required.
• Support for Solar Projects: The Ministry of Energy plans to tender more rooftop solar projects, promoting both self-consumption and the sale of excess energy to the grid. Additionally, the government supports the development of floating solar farms as part of its green energy initiatives

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Photovoltaic Support Programme: This program increases Thailand’s target installed photovoltaic (PV) capacity by 1,000 MW, reaching a total of 3,000 MW. The scheme encourages private and community investments in rooftop solar systems, aiming to        minimize peak load and enhance energy security

Subsidies and Feed-in Tariffs: The government offers attractive feed-in tariffs for solar power. For instance, households and factories installing solar panels can sell electricity to the grid at nearly seven baht per kilowatt-hour, significantly higher than the rate for   gas-fired power stations.

Community-Based Solar Projects: The Ministry of Energy supports community-based   solar installations, aiming to generate local value and create job opportunities. This     initiative includes special feed-in tariffs for community-based ground-mounted solar systems with a target of 800 MW.

Investment Incentives: Thai energy companies plan to invest up to $2 billion in the solar energy sector over the next five years, driven by government incentives. These investments aim to expand solar capacity and integrate more renewable energy into the national grid.

INSTALLED SOLAR PROJECT ²³

One of the most prominent is the Sirindhorn Dam Hydro-floating Solar Hybrid Project, which became operational in 2021. This innovative project combines solar power with hydropower and has an installed capacity of 58.5 MW, helping Thailand reduce its reliance on fossil fuels while optimizing existing infrastructure. Thailand aims to expand hybrid hydro-solar power to produce 2.7 GW by 2037

Another important development is the world’s largest floating solar power plant, which came online at the Sirindhorn Dam. This installation includes 145,000 solar panels with a capacity of 45 MW. Floating solar projects in Thailand are especially attractive because they save land for other economic uses and benefit from water’s cooling effect, enhancing efficiency

On the rooftop solar front, the KEPCO project in Thailand is another significant initiative, currently the world’s largest rooftop solar installation, which demonstrates the country’s growing capability in diversified solar energy projects ²⁸

Additionally, TotalEnergies Eneos partnered with PTT Global Chemical to complete a 6.7 MW solar rooftop project on five production facilities in Thailand. This system generates approximately 9,500 MWh of renewable energy annually, reducing carbon emissions by 4,300 tons per year.²⁷

PROJECTED SOLAR PROJECT ²⁴

Thailand has several notable projected solar projects, reflecting its commitment to increasing its renewable energy capacity. One significant project is the collaboration between Sungrow and Gulf Energy, which aims to develop a massive 3.5 GWp solar project. This project underscores the potential for large-scale renewable energy developments in Thailand.

Another notable initiative is the development of floating solar farms on Thailand’s reservoirs. The state-run Electricity Generation Authority of Thailand (EGAT) is leading this effort with plans to install solar panels on eight dams over the next 16 years, potentially generating up to 2,725 MW of electricity. This includes the world’s largest floating hydro-solar hybrid project on the Sirindhorn Dam, expected to generate 45 MW of power.

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Bangkok Solar Power Co., Ltd. (BSP):

• Founded: 2007
• Services: Engineering, Procurement, and Construction (EPC) solutions for Photovoltaic (PV) Power Systems.
• Specialization: Serves both domestic and international markets, with a strong presence in Europe and Japan.
• Types of Services: Residential, Commercial, Industrial​

Blue Solar:

• Founded: 2006
• Services: Development of residential solar rooftops, solar farms, and energy storage
• Notable Projects: Two 5MW solar farms and a 50MW solar PV project with a 54MWh energy storage system.
• Types of Services: Residential, Commercial​

CleanMax:

• Founded: 2011
• Services: Provides turnkey solar solutions, specializing in the private PPA sector.
• Achievements: Executed over 1000 MW of renewable energy projects in South Asia and the Middle East
• Notable Clients: Heineken, Carlsberg, Toshiba-Mitsubishi.
• Types of Services: Commercial and Industrial​

Finix Solar Energy:

• Founded: 2014
• Services: Solar cells design and installation, solar power plant structure, and power- saving light installation.
• Special Features: Offers 25 years of after-installation consulting and maintenance
• Types of Services: Industrial​

Hua Hin Solar Shop:

• Location: Hua Hin
• Services: Affordable solar systems with high yields and quick payback periods.
• Specialization: Focuses on PEA approved solar systems for residential and commercial uses.
• Types of Services: Residential, Commercial​

Kunini Electrical Service:

• Founded: 2010
• Services: Installation of solar rooftops for SME, Commercial, and Industrial
• Types of Systems: On-grid, solar hybrid, and off-grid.
• Types of Services: Commercial, Industrial​

MonoSun Technology:

• Founded: 2006
• Location: Phuket
• Services: Provides solar energy solutions across Phuket and mainland Thailand.
• Types of Services: Residential, Commercial​

Stark Energy Company Limited:

• Achievements: Installed 3MW of solar panels, significantly reducing electricity bills and carbon emissions.
• Types of Services: Residential, Commercial, Industrial​ ​

Solaris Green Energy Co., Ltd.:

• Founded: 2013
• Services: Distributor of solar panels, inverters, batteries, and complete solar systems.
• Special Features: Offers wholesale, retail, supply services, and free professional project analysis.
• Types of Services: Residential, Commercial, Off-Grid​