Monitoring the "Solar for the People" Project

Monitoring the “Solar for the People” Project

Monitoring the “Solar for the People” Project

Editorial Team

Thairath

Monitoring the “Solar for the People” Project

Monitoring the “Solar for the People” Project

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“ Summary “

Monitoring the “Solar for the People” Project

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The “Solar for the People” project is one of the nation’s energy transition initiatives, implemented under the Emergency Decree Granting the Ministry of Finance Authority to Borrow Funds to Address the Impact of the Energy Crisis and Facilitate the Country’s Energy Transition, B.E. 2569 (2026), with a total allocation of 400 billion baht, commonly referred to as the Borrowing Emergency Decree. This initiative aligns with the policy direction of Anutin Charnvirakul, Prime Minister and Minister of Interior.

The “Solar for the People” project will utilize 50 billion baht in borrowed funds to provide a 50,000-baht subsidy to one million households for the installation of solar cells to facilitate the transition in energy use. An additional 20 billion baht will be allocated to establish a system for the buyback of electricity and to upgrade household electricity meters to support the sale of surplus power back to the grid by the Metropolitan Electricity Authority (MEA) and the Provincial Electricity Authority (PEA) at a rate of 2.20 baht per unit. In total, the project is expected to require approximately 70 billion baht in borrowed funds.

Citizens interested in participating must register and submit applications to the MEA and PEA to express their intent to join the program and claim the 50,000-baht subsidy. Disbursements will be made in installments upon the completion of contract signing and system installation.

For those seeking additional financing, the Anutin administration has directed three state-owned financial institutions—the Government Savings Bank, the Government Housing Bank (GHB), and the Bank for Agriculture and Agricultural Cooperatives (BAAC)—to provide low-interest loans at 2.5 percent, with repayment terms extending up to seven years.

The estimated cost for installing a 5-kilowatt (kW) residential solar system is capped at 140,000 baht, comprising a 50,000 baht government subsidy and a 90,000 baht loan. Once installed, households can sell electricity to the Metropolitan Electricity Authority (MEA) or the Provincial Electricity Authority (PEA), with the revenue offset against their monthly electricity bills and used to service the solar installation loan. This provides a sustainable supplementary income from electricity sales. The government believes this approach will successfully encourage one million households to install solar panels on rooftops, on the ground, and on water surfaces.

This transition to clean energy is a sound concept that reduces reliance on imported crude oil and natural gas for power generation. Currently, volatile global oil prices drive up electricity production costs, which in turn leads to higher electricity bills for consumers.

Shifting to “solar energy” derived from natural “sunlight,” which carries no fuel cost, offers another viable solution for affordable electricity and cost savings.

However, installing rooftop solar panels is not straightforward. The high installation costs mean that a household must consume at least 5,000 to 10,000 baht in electricity per month and have occupants present during the day to achieve a return on investment. Since the generated electricity must be consumed on-site and cannot be easily sold back, the complex and cumbersome procedures for selling excess power often discourage participation.

The installation of solar panels for electricity generation from sunlight is not “complete” simply because the physical setup is finished. Before installation, the contractor team must survey the household rooftop to assess whether it can support the weight of the solar panels and whether the panels meet safety standards. After installation, fire insurance must be arranged, and annual maintenance and care are required to ensure continuous and efficient power generation.

However, despite the good intentions behind the concept, the project has drawn both support and opposition. Concerns have been raised by the People’s Party, the Democrat Party, and small and medium-sized solar panel installation businesses. These concerns stem from conditions and rules that appear to favor “spec locking,” benefiting affiliated companies, large private enterprises, and government networks, including a subsidiary of the Prime Minister that currently holds contracts with the Provincial Electricity Authority.

For example, BigOneSolutions Co., Ltd. issued a statement declining to participate, citing concerns about transparency, fair competition, and the diversity of options available to the public. The company believes the government should review and clarify the criteria to build confidence and mitigate the risk of conflicts of interest.

The Solar Hub page stated that the benchmark price of 140,000 baht does not reflect reality. Meanwhile, the Chaiwat Solar page expressed concerns about the standards for solar panels, questioning whether they would comply with IEC standards or Thai Industrial Standards Institute (TIS) standards to ensure the safety of residential homes, as well as issues regarding the deposit requirements.

Upon reviewing multiple conditions, particularly the requirement for a security deposit of up to 60,000 baht, it becomes clear that small and medium-sized enterprises (SMEs) are unable to participate in the project as solar cell installation contractors. The government has clarified that this measure is intended to prevent project abandonment. Companies seeking to undertake installation contracts must register with the Metropolitan Electricity Authority (MEA) and the Provincial Electricity Authority (PEA). Firms with prior installation experience will receive special consideration. Ultimately, the public will select the installation contractor. These installation conditions have prompted several businesses to announce their withdrawal from the “Solar for the People” project.

These are just a few examples of the clear opposition to the installation rules of the “Solar for the People” project, as well as concerns regarding conflicts of interest and the disparity between large, well-capitalized companies and smaller operators.

As the project moves forward, society must closely monitor whether the government will succeed in establishing transparency and addressing the public’s lingering concerns before the loan period under the Emergency Loan Decree expires in December 2027.

When the time comes, let’s join forces to scrutinize and publish the financial results of the companies contracted to install the “Solar for the People” project. We’ll then find out who is raking in the big money!!