Thailand's rooftop solar market poised for growth. (Photo: iStock )
Amid falling solar panel costs, recent regulatory easing, and shifting trade flows due to U.S. tariffs, Thailand’s rooftop solar market is drawing heightened expectations. Industry players anticipate a surge in demand, with multinational companies from Germany, China, and beyond gearing up for increased activity, intensifying local competition.
Policy reforms to boost rooftop solar capacity
This year, the Thai government amended the Factory Act to significantly lower the barrier for rooftop solar adoption. Under the revision, businesses installing systems exceeding 1MW in capacity are no longer required to obtain a factory license.
According to London-based law firm Watson Farley & Williams, this policy shift is expected to spur adoption among commercial real estate, food processing, and educational institutions, laying a strong foundation for market expansion.
In addition to regulatory support, declining costs are also expected to stimulate growth. Prapunt Harnchai, Thai market advisor for Chinese solar equipment maker Deye, noted that the cost of solar panels has dropped dramatically—from THB 150 million per MW in 2010 (approx. USD 4.5 million) to around THB 15 million today (approx. USD 450,000), a tenfold decrease.
Battery energy storage systems (BESS), which complement solar PV installations, have also become more affordable. A 5kWh system has seen its price fall from THB 250,000 (approx. USD 7,590) to around THB 200,000 (approx. USD 6,070).
Thailand's rooftop solar market shows great promise, with industry players widely anticipating a surge in installation demand. (Photo: Megabangna)
Industry players eye on residential growth
Analysts generally expect that the U.S. tariffs imposed during the Trump administration on solar cells exported from Southeast Asia will push Chinese manufacturers to shift their focus toward ASEAN and other Asian markets, using competitive pricing to address overcapacity.
Seeing strong potential in Thailand’s rooftop solar segment, German cable manufacturer Lapp Holding and Hong Kong-headquartered Jebsen and Jessen Group have partnered with Deye to roll out new products and services in the country.
Chatchai Wajakiet, General Manager of their joint venture JJ-Lapp, said that low-cost solar panels and batteries are gaining popularity. While commercial buyers such as office landlords and manufacturers currently dominate demand, the residential segment is expected to grow rapidly in the coming years.
Thai residential solar provider Energy LIB is targeting townhouse owners with solutions emphasizing lightweight, easy-to-install panels that address space and budget constraints.
According to the CASE for Southeast Asia project website, Thailand benefits from abundant sunshine and has an estimated rooftop solar capacity potential of 9,000 MW. As of 2022, only 1,800 MW has been installed, leaving a significant portion of the market untapped.
Source: Bangkok Post, The Nation
.jpg)
