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Thailand to pilot 2 GW direct PPA for data centers in 2026

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Thailand has approved a direct power purchase agreement scheme for data centers with a power generation capacity of 2 GW, set to take effect in January 2026. (Photo: iStock)

As Thailand races to become the next data center hub, the National Energy Policy Council has approved a direct power purchase agreement (DPPA) scheme with a power generation capacity of 2 gigawatts. The program, part of the government’s “Quick Big Win” policy, will take effect in January 2026.

As interest in data center investments heats up, Thailand’s government on Nov. 10 approved four new projects, with a total value of USD 3.1 billion (100 billion baht).

Who qualifies for Thailand’s DPPA scheme

Taking effect in January 2026, the upcoming 2 GW DPPA scheme is aimed at data center investors, a sector the Thai government views as central to expanding digital infrastructure and cloud services. 

Foreign operators have long sought better access to clean energy, but Thailand’s ban on peer-to-peer renewable trading means purchases must still run through state utilities such as the Electricity Generating Authority of Thailand and the Provincial Electricity Authority. The new scheme is designed to streamline this process and address data center investors’ growing demand for renewable power.

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