New economic growth sectors need a clean power system

Thailand's economic strategy to become a regional hub for electric vehicles (EVs) and data centres requires a rapid transition to clean energy to attract foreign investment and meet international low-carbon standards. The energy sector, which accounted for 69% of total emissions in 2019, is central to Thailand's goal of reducing greenhouse gas emissions by 30-40% by 2030 and achieving carbon neutrality by 2050. Projections indicate that EVs could account for 20% of total electricity demand by 2037, while data centre demand is expected to grow at an 8% CAGR from 2025 to 2027, potentially adding 10 TWh by 2037. To support this, the Thai government has introduced a direct power purchase agreement (DPPA) pilot project specifically for data centres of at least 50 MW, allowing them to bypass the single-buyer system and purchase renewable energy directly.

• Thailand's climate targets include reducing greenhouse gas emissions by 30% below business-as-usual levels (approximately 388 million tonnes of carbon dioxide) by 2030, with a potential increase to 40% (333 MtCO2) if international support is provided. To reach carbon neutrality by 2050, the country must reduce emissions by 73-83% relative to 2015 levels.
• The energy sector is the primary driver of emissions, representing about 69% of total emissions in 2019, with the power and transport sectors specifically accounting for up to 68% of total emissions in 2022.
• Electric vehicle (EV) adoption is projected to significantly increase electricity demand, with EVs likely representing roughly 20% of total consumption (about 68 TWh) by 2037. Ember's analysis suggests the RPDP baseline may underestimate peak demand; a more realistic scenario could add 3,355 MW of extra peak demand, bringing the total to 57,901 MW by 2037.
• Data centre electricity demand is forecast to grow at an 8% CAGR from 2025 to 2027, reaching 6 TWh by 2030 and potentially adding 10 TWh by 2037. To attract hyperscale investors like Microsoft, Amazon, and Google, Thailand has approved a direct power purchase agreement (DPPA) pilot project for data centres of at least 50 MW, with an expected total procurement capacity of 2,000 MW.

APA

Ember (2025). New economic growth sectors need a clean power system. https://ember-energy.org/chapter/new-economic-growth-sectors-need-a-clean-power-system/

Chicago

Ember. New economic growth sectors need a clean power system. 2025. https://ember-energy.org/chapter/new-economic-growth-sectors-need-a-clean-power-system/.

Wikipedia

{{cite report |author=Ember |title=New economic growth sectors need a clean power system |date=30 September 2025 |url=https://ember-energy.org/chapter/new-economic-growth-sectors-need-a-clean-power-system/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{ember2025new, author = {{Ember}}, title = {{New economic growth sectors need a clean power system}}, institution = {Ember}, year = {2025}, month = sep, url = {https://ember-energy.org/chapter/new-economic-growth-sectors-need-a-clean-power-system/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }