Government Orders Data Centre Framework Revamp As Power Demand Surges To 20gw

BANGKOK, Thailand – Prime Minister Anutin Charnvirakul has ordered an immediate regulatory overhaul and the creation of a clear legal definition for data centres, after power requests from the sector surged to nearly 20,000 megawatts, prompting growing public anxiety over unchecked development and environmental impacts. Presiding over the inaugural meeting of the Data Centre Policy Committee at Government House, Anutin emphasised the need to organise the sector systematically, with high-ranking officials including Finance Minister Ekniti Nitithanprapas, Deputy Interior Minister Polapee Suwunchwee, and Bangkok Governor Chadchart Sittipunt in attendance.

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Anutin noted that while data centres are vital infrastructure for Thailand’s digital economy and have drawn strong interest from domestic and foreign investors, their growth is posing severe challenges regarding electricity, water, and land usage, environmental degradation, and cybersecurity. Public concern has escalated over facility construction in urban areas, where regulations have failed to keep pace with rapid digital advancement, and the prime minister stated that the government aims not merely to provide land for facilities but to drive long-term competitiveness through technology transfer, workforce development, and a robust cloud and AI ecosystem, citing models in Singapore and Hong Kong.

Addressing illegal practices, Anutin praised City Hall’s proactive stance in inspecting Bangkok developments and condemned operators exploiting legal loopholes, misusing permits, and operating covertly to lower costs, warning that such practices must be eradicated in the public interest. He also raised the alarm over speculative power requests submitted to the Provincial Electricity Authority, which totalled almost 20,000 megawatts, representing a significant percentage of the country’s current electricity generation capacity, and said the government will tighten rules to end the practice of securing power allotments for commercial resale or letting them expire unused.

In line with Thailand’s Net Zero targets and OECD standards, Anutin instructed Finance Minister Ekniti to ensure that the industry prioritises green energy, such as solar and wind power, to support the growing resource demand sustainably. The government stands ready to amend regulations or enact a dedicated law based on the committee’s findings to establish clear legal frameworks, promote renewable energy, and enforce strict oversight. The move reflects a growing recognition of the need to balance the economic benefits of digital infrastructure with environmental protection and sustainable resource use, as Thailand positions itself as a regional digital hub while addressing the concerns of communities affected by rapid development.

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The committee’s findings will be critical in shaping the future of the data centre industry in Thailand, ensuring that growth is managed responsibly and that the benefits of digitalisation are shared widely. The public can expect further developments as the regulatory framework is refined and implemented. The government has made it clear that it is committed to ensuring the sustainable growth of the digital economy while protecting the environment and the interests of local communities. The data centre sector will be subject to stricter oversight and more transparent regulations going forward.

-Thailand News (TN)

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