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National

Energy Ministry Launches Data Center Crackdown Over Illegal Fuel Stockpiles

Thailand's Energy Ministry is cracking down on illegal fuel stockpiles at Bangkok data centers, discovering over 150,000 liters of unauthorized backup power reserves and launching prosecutions with penalties up to two years imprisonment.

Energy Ministry Launches Data Center Crackdown Over Illegal Fuel Stockpiles
3 Sept Khaosod

On September 3, Energy Minister Ekachai Prompan briefed parliament on government efforts to regulate data centers in Bangkok, following the discovery of large-scale unauthorized fuel storage intended for backup power generation. Ekachai revealed that ministry officials have been conducting inspections since the previous week and found fuel tanks with a capacity exceeding 150,000 liters that lacked proper authorization. Legal action has been filed, and a comprehensive audit of all Bangkok data centers is underway. Any operators found running facilities without licenses will face prosecution, with penalties reaching up to two years imprisonment under the law.

The energy minister emphasized that the government views data centers not merely as economic or investment opportunities, but as facilities requiring oversight across safety, environmental impact, energy use, and resource management. He noted that these issues have accumulated over three to four years, with some fuel tanks installed as far back as 2020. Bangkok does not permit backup power generation using diesel fuel in residential areas, so operators must comply with new standards.

Ekachai disclosed that he has consulted with Bangkok Governor Chadchart Sittipan to secure compliance during the inspection process. He acknowledged that a comprehensive data center audit will take months to complete thoroughly and rigorously. On August 5, the cabinet approved a prime ministerial directive and established a Data Center Committee, chaired by Deputy Prime Minister and Finance Minister Akanut Nitithamnudt, to oversee the regulatory overhaul and ensure data center development proceeds efficiently while safeguarding the environment and managing resources appropriately.

Ekachai reiterated that data center regulation is a complex, multi-agency matter spanning construction permits, environmental assessments, energy consumption, and water resources. He stressed that existing laws must be enforced strictly in the interim while new legislation is drafted.

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