Cabinet Approves Data Center Policy Board to Monitor Energy Impact

The cabinet has green-lighted the establishment of a "Data Center Business Policy Committee" to manage energy and environmental impacts while welcoming investment in this emerging industry, emphasizing that business operations must deliver genuine benefits to the country. Government spokesperson Ratchada Thanadirek explained that Thailand's policy aims to elevate economic and social potential through the digital economy, requiring updated investment promotion systems to support target industries—particularly data centers, a future-focused sector attracting substantial foreign investor attention.

However, to ensure such operations truly benefit economic development without compromising energy security, resource management (water, electricity, land, environment), or national data security, clear policies and guidelines are necessary. The cabinet therefore approved the draft regulation establishing a "Data Center Business Policy Committee," as submitted by Deputy Prime Minister Pakaorn Nilpraphan.

The committee will comprise a deputy PM as chair; three cabinet ministers (Digital Economy and Society, Interior, and Energy) as vice chairs; twelve government officials including permanent secretaries from Finance, Agriculture, Natural Resources and Environment, Energy, and Interior ministries, plus heads of the National Water Resources Office and Energy Policy Office; and up to three expert advisors appointed by the PM.

The committee will propose policies, standards, and frameworks for state agencies to approve, permit, or provide services to data center operators, while studying and monitoring the business's environmental and resource impacts. Its focus areas include clean energy use, energy security, fair energy pricing, equitable water allocation, efficient electricity and water usage, urban planning, public safety (especially fire prevention), data security, environmental and community impact mitigation, and carbon neutrality frameworks.