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Thailand turns solar power from green option to economic necessity amid ongoing Mideast conflict

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Thailand turns solar power from green option to economic necessity amid ongoing Mideast conflict

2026-05-10 17:06 Last Updated At:05-11 14:50

Thailand's energy crisis, sparked by Middle East tensions, has rapidly turned solar power from a green option into an economic necessity.

As electricity costs surge, homes and businesses are rushing to install rooftop panels, with demand outpacing supply and installers struggling to keep up.

Heavily reliant on imported energy, Thailand is vulnerable to global shocks.

Despite abundant sunshine, renewables still make up only about 10 percent of its power mix.

To accelerate adoption, the Thai government has recently introduced tax incentives for residential solar.

Homeowners can now sell excess power back to the grid, with guaranteed rates.

"Actually, we've been looking into this for a while, and we only just made the decision now because electricity prices keep going up," said Kriangkai Kajondetpisan, a resident whose family is among a growing number of Thai households turning to solar.

Energy experts said the timing is critical.

Thailand relies heavily on imported liquefied natural gas (LNG) to power its electricity grid, making the country highly vulnerable to global energy price volatility.

"Import LNG is especially dense from the area in the Arab Gulf, and that is a straight impact to the electricity vulnerability of Thailand. So the government is really concerned about the shortage of this energy. We have studied that every 2,000 megawatts of installation of solar rooftop, around maybe 300,000 households, we can reduce the LNG import by five to seven percent," said Chalie Charoenlarpnopparut, associate professor at Sirindhorn International Institute of Technology (SIIT) under Thammasat University.

That policy push is now translating into real demand.

Solar companies said business has surged in recent months, as households rush to lock in long-term savings.

"This year, it's clear that the increase has been huge, a percentage increase of over 100 percent. And that's not even counting the projects where we're out of stock and can't install, or have to wait for availability," said Bamrung Thanapornphibalchon, managing director of the V-Techs Advance Solution Co., Ltd.

The rapid expansion has been made possible by the availability of cost-effective equipment. Affordable and widely available Chinese panels are driving much of this boom, helping scale up installations during a time of global supply strain, backed by a supply chain built for speed and scale.

What began as a crisis-driven necessity is now accelerating Thailand's long-awaited energy transition.

Thailand turns solar power from green option to economic necessity amid ongoing Mideast conflict

Thailand turns solar power from green option to economic necessity amid ongoing Mideast conflict

Thai exporters are leveraging this year's China International Import Expo (CIIE) to seek new opportunities in China as innovation and shifting consumer demand reshape how Thailand's traditional agricultural products are grown, produced and brought to market.

For generations, families in Thailand have made a living from coconut palms, harvesting the fruit by hand and shipping it far beyond the orchards where it is grown.

Natthasak Manusrungsri's family has been exporting aromatic coconuts for more than two decades. But growing demand from China has transformed the scale of their business, driving production, expanding exports and inspiring new ways to bring this familiar fruit to consumers.

"Almost every factory that packs fresh coconuts depends on China as its main market, almost entirely. After Thailand received permission to export coconuts to China, volumes kept rising, driven by trends and by customers becoming more knowledgeable and health-conscious," said Natthasak Manusrungsri, managing director of K-Fresh Co.

But as demand grows, so does the pressure to innovate. Generations of agricultural knowledge are meeting a new generation of ideas.

For Thai producers, China offers enormous opportunities, but competition is intensifying. As consumer preferences change, exporters are shifting their focus beyond simply increasing sales to developing innovative products that offer greater convenience and bring more value to an increasingly competitive industry.

That transformation begins long before the coconuts leave the trees. Across a network of plantations, precision agriculture is helping farmers monitor growing conditions, identify problem areas, and improve yields, while maintaining the quality of Thailand's renowned coconuts.

Inside the factory, innovation takes a different form. Even the simple act of opening a coconut has been redesigned. A patented mechanism allows consumers to open it with a push.

"Innovation matters for both the farm and production, so we can deliver the highest quality to our customers. So, we practice precision agriculture. And in the factory, we focus on innovation to make it easier for consumers to open and enjoy, bringing quality products to consumers around the world and in China," said Manusrungsri.

For the farmers who tend these palms, the rhythm of life remains much as it has for generations. But beyond the orchards, almost everything else is changing.

And at CIIE 2026, Thailand's humble coconut is showing how an age-old harvest can find new value in a world of changing tastes and possibilities.

Thai coconut exporter taps CIIE to promote industry innovation

Thai coconut exporter taps CIIE to promote industry innovation

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