BANGKOK — Thailand has launched a nationwide household solar program offering subsidies of up to THB50,000 ($1,480) per home, with the government targeting 1 million households as part of efforts to cut electricity bills and reduce dependence on imported energy.
Prime Minister and Interior Minister Anutin Charnvirakul officially launched the People's Solar program last month, describing it as part of the government's push to strengthen energy security by allowing households to produce their own clean electricity.
The scheme will cover households in all 76 provinces and Bangkok, with a total subsidy budget of THB50 billion.
Anutin said the program was intended to turn sunlight into an economic opportunity for households by turning homes into small-scale power producers.
READ MORE: Thailand maps plan to source 89% of power from clean energy
The government wants households to use the electricity they generate first, cutting their monthly bills, while allowing surplus power to be sold back to the grid under the program's rules.
Provincial Electricity Authority, or PEA, confirmed ahead of the launch that participating households can receive support of up to THB50,000 toward solar equipment and installation, with registration opening on Oct 27.
The government has previously said installations would not be limited to rooftops. Ground-mounted and floating solar systems can also be covered where homes are unsuitable for rooftop panels.
The government estimates that the program could reduce participating households' combined electricity costs by more than THB24.5 billion a year.
Total economic benefits over the life of the project are projected to exceed THB473 billion, according to figures presented at the launch.
The government also expects the scheme to support local economies by generating work for solar installers, suppliers and related businesses while giving households an additional source of income through surplus electricity sales.
Anutin said the policy was designed to "turn electricity bills into savings" while broadening public participation in Thailand's clean-energy transition.
The program involves cooperation among the Interior, Finance, Energy and Labour ministries, together with the Metropolitan Electricity Authority, or MEA, PEA and other relevant agencies.
Anutin instructed agencies to put households at the center of implementation, remove unnecessary administrative procedures and provide services quickly and transparently while maintaining electricity-system safety standards.
The program is also designed to support households that may not have sufficient upfront capital. The government has been coordinating with state-owned financial institutions on low-interest financing, while participating electricity authorities are preparing smart-meter upgrades needed to measure electricity supplied back to the grid.
Energy security
At a broader level, the government expects increased household solar generation to reduce demand for imported fossil fuels, particularly fuels used in electricity generation.
Anutin said keeping more energy spending within Thailand would strengthen long-term energy security while reducing exposure to volatile international fuel prices.
The government also expects the program to reduce carbon emissions and generate more carbon credits, while helping Thai businesses adjust to increasingly stringent environmental requirements in international markets.
Officials have linked the clean-energy transition with Thailand's wider effort to strengthen environmental and governance standards as it pursues accession to the Organisation for Economic Co-operation and Development.
The government had spent nearly a year studying feasibility, installation costs and necessary improvements to electricity distribution systems before moving ahead with the first phase, Anutin said.
He added that the government intends eventually to expand access further, with the longer-term goal of making clean energy available to more households at affordable prices while strengthening Thailand's energy independence.
