Thailand’s Department of Alternative Energy Development and Efficiency (DEDE) has announced a public hearing on the Draft Act on Promotion of Solar Power Usage, aimed at simplifying regulatory procedures and accelerating solar PV adoption across the country.

The proposed legislation seeks to eliminate bureaucratic bottlenecks and reduce costs associated with installing solar photovoltaic systems, particularly for commercial and industrial consumers. If enacted, the law is expected to benefit building owners opting for solar installations for self-consumption, as well as developers operating under build-transfer-operate models, such as EPC and O&M arrangements.

In a significant regulatory shift, the Draft Act builds on recent reforms introduced through a Ministerial Regulation that removed the requirement to obtain a Ror. Ngor. 4 factory license for solar rooftop installations outside industrial estates—regardless of capacity. The new legislation expands this approach beyond rooftop systems, offering a broader regulatory overhaul for solar projects.

Authorities highlight the Draft Act’s role in supporting national priorities, including reducing electricity costs, lowering fossil fuel dependency, cutting carbon emissions, and ensuring wider access to clean energy. These objectives align with Thailand’s commitment to becoming carbon neutral by 2050.

Currently, renewable energy accounts for just 15% of Thailand’s total energy mix. However, under the upcoming Power Development Plan (PDP) 2024–2037, the government targets a significant rise, projecting renewables to make up 51% of total electricity generation, with solar energy contributing 16%. This marks a notable increase from the 36% share outlined in the previous PDP 2018 (Revision 1).

Analysts say the Draft Act will further strengthen Thailand’s attractiveness to foreign direct investment, particularly in the renewable energy sector, by streamlining approval processes and creating greater regulatory clarity for solar project developers.

The DEDE is expected to finalize the Draft Act following public consultation and stakeholder feedback in the coming months.