Bangkok: The Cabinet has given the green light to an initiative supporting renewable energy through tax incentives, encouraging both entrepreneurs and households to invest in solar rooftops to lower their electricity bills. The recently approved measure allows for a tax deduction of up to 200,000 baht for those installing solar rooftops.
According to Thai News Agency, Deputy Prime Minister and Minister of Energy, Mr. Pirapan Salirathavibhaga, announced that the Cabinet’s approval aims to promote energy conservation and renewable energy usage through tax measures. This includes promoting investment in high-efficiency machinery and materials for energy conservation, and specifically, the installation of solar rooftops in residential homes. The Ministry of Energy plans to submit a draft bill to further promote solar energy usage to the Cabinet within the next one to two weeks.
Mr. Phiraphan noted that electricity rates have been on the rise since 2023 due to various factors. The Ministry of Energy has been working to manage and stabilize electricity prices to prevent them from becoming burdensome for consumers. Urgent measures are necessary to alleviate energy costs and reduce energy imports for electricity production in Thailand. Through studies and data collection, it was determined that tax incentives could effectively encourage consumers to adopt wiser and more sustainable energy usage. This initiative is expected to increase the use of renewable energy, lower the country’s electricity consumption, reduce liquefied natural gas imports, and support Thailand’s carbon neutrality goals.
Mr. Phiraphan emphasized that the tax incentive measure is designed to reduce energy expenses for both the people and the nation, enhance energy security, and promote efficient and environmentally friendly energy usage. These efforts contribute to sustainable economic development and bolster Thailand’s greenhouse gas reduction action plan to achieve carbon neutrality more swiftly.
Furthermore, the Ministry of Energy is supporting the development of affordable solar products for Thai consumers, including inverter machines essential for solar power systems. These products have passed standard inspections from the National Science and Technology Development Agency (NSTDA) and are moving towards production for public distribution at a low cost soon.