Thailand Launches THB 50 Billion “People’s Solar” Programme Targeting 1 Million Households

Thailand — On October 27, 2026, Thai Prime Minister and Interior Minister Anutin Charnvirakul presided over the launch of the “People’s Solar” programme at Government House, officially introducing a nationwide initiative aimed at accelerating the country’s energy transition while reducing household electricity costs.

With a total budget of THB 50 billion (approximately RMB 9.87 billion or USD 1.5 billion), the programme aims to support the installation of rooftop solar systems in 1 million households nationwide, making it one of the largest residential solar support initiatives in Southeast Asia in recent years.

Under the programme, each eligible household will receive a subsidy of THB 50,000. Rather than being distributed as direct cash payments, the subsidy will be used to offset the costs of purchasing and installing solar equipment, with the government making payments directly to contractors or certified installers.

The programme covers newly installed solar systems ranging from 5 kWp to 10 kWp, calculated on a per-meter basis. Existing solar installations are not eligible for the subsidy.

Reducing Household Electricity Costs

Beyond accelerating solar adoption, the initiative is also designed to ease the financial burden on households. According to government estimates, once fully implemented, the programme could collectively reduce household electricity expenses by more than THB 24.5 billion annually.

For residential consumers, rooftop solar systems are expected to help offset daily electricity consumption costs, while surplus power fed back into the grid could provide an additional source of income.

The programme is also expected to support Thailand’s broader power grid modernization efforts. To accommodate the large-scale integration of distributed solar generation, the country's electricity authorities will simultaneously promote smart meter deployment and smart grid upgrades, laying the groundwork for future energy storage integration and virtual power plant (VPP) development.

Southeast Asia’s Solar Market Set for Additional Growth

The programme’s target of 1 million households represents a potential residential solar installation opportunity of approximately 5–10 GW, equivalent to several times Thailand’s cumulative residential solar capacity in recent years. This could significantly accelerate demand across Southeast Asia’s distributed solar market.

Thailand has long been a key export market for Chinese solar manufacturers, with core equipment such as solar modules and inverters relying heavily on imports. The rollout of the People’s Solar programme is therefore expected to create additional market opportunities for Chinese manufacturers with competitive cost structures and technological capabilities.

Residential solar modules, small-scale grid-connected inverters and smart meters are among the product categories likely to benefit first from the initiative.

However, implementation challenges remain. The rapid increase in installation demand will place pressure on local installers’ construction and service capacity, as well as the grid’s ability to accommodate distributed generation. Differences in rooftop conditions and household electricity consumption across regions may also affect the pace of deployment.

Previous experience with solar policy implementation in Thailand suggests that actual installation volumes may fluctuate depending on execution efficiency and local implementation conditions.

With registration channels opening, the next three months are expected to be a critical period for the programme’s rollout. Application demand and implementation efficiency will serve as important indicators of the potential for distributed solar development in Thailand and the wider Southeast Asian market.