NationThailand-July 27
Thailand is tightening its screening of data centre investments, shifting its focus from the number and value of projects to their quality as the expansion of artificial intelligence drives demand for electricity, water and large-scale computing infrastructure. The Board of Investment (BOI) approved 26 data center projects worth 498.716 billion baht in 2025 and a further eight projects valued at 162.044 billion baht in 2026. Authorities have slowed consideration of new projects while drawing up additional investment criteria based on project readiness, resource availability and the overall benefits to the country. Deputy Prime Minister and Finance Minister Ekniti Nitithanprapas said 16 projects had already received confirmation that electricity could be supplied. The government is now preparing a new strategy for promoting the industry. The BOI has expanded an existing energy-management panel into the Subcommittee on Energy Management for Data Centre Investment and Project Screening. The panel, chaired by Energy Minister Akanat Promphan, brings together the BOI, the Energy Policy and Planning Office and other relevant agencies. The global investment surge has prompted resistance in several markets because data centers require large quantities of electricity and water. Policy responses include higher power charges in parts of the United States, requirements for investors in Ireland to support additional energy supplies and strict project selection and energy-efficiency tests in Singapore. Thailand’s revised policy will assess data center projects across four dimensions: Electricity supply and energy readiness, including the transition towards greater use of clean energy. Water-resource management to ensure that projects can operate without competing with surrounding communities for water. Environmental protection and pollution controls, including measures to limit noise. Tangible benefits for Thailand and efficient use of national resources while supporting digital and advanced-technology investment. Narit Therdsteerasukdi, secretary-general of the BOI, told Krungthep Turakij that the government had instructed the agency to move away from pursuing investment volume and towards promoting higher-quality projects. Every new data center seeking BOI incentives would have to meet all four requirements, he said. The BOI believes the criteria will help Thailand develop into a well-prepared and sustainable regional center for the digital economy. Large data center investors will be required to provide a bank guarantee of 4.5 million baht for every megawatt of electricity capacity they reserve. Read more at:
