BANGKOK — Finance Minister revealed three main requirements from foreign investors – land availability, green electricity, and skilled labor – that help attract investment to Thailand. He emphasized that businesses must prioritize reducing greenhouse gas emissions to advance the country towards a green economy.
Deputy Prime Minister and Finance Minister Pichai Chunhavajira delivered a special address at the seminar “2025 Net Zero and the Challenges of The New Global Economy” on November 26. He discussed the urgent need to slow global temperature rise, starting with greenhouse gas emission reduction.
The government must accelerate action on this issue with clear targets, particularly regarding carbon credits. Thailand has committed to reducing greenhouse gas emissions by at least 30%.
Initial assessments suggest Thailand may not yet fully recognize this data’s importance, necessitating rapid legal compliance measures. Non-compliance may become illegal as the world increasingly emphasizes green economy and energy.
European countries have begun implementing the Carbon Border Adjustment Mechanism (CBAM), which adjusts carbon pricing for cross-border trade into the EU to prevent carbon leakage. This factor requires Thai businesses to adapt quickly. Industrial estates producing goods for Europe must transition to green operations, with government support for investments aligned with global green economic policies.
Foreign Direct Investment (FDI) applications through Thailand’s Board of Investment (BOI) in the first nine months of 2024 broke a 10-year record, reaching over 700 billion baht or more than US$20 billion.
Three key requirements from foreign investors for investing in Thailand include:
- Access to developed land at reasonable prices
- Green electricity supply
- Skilled labor force for modern industries
The Finance Minister confirmed the government’s full commitment to meeting these requirements: “We will complete these components, focusing on speed and clear energy policies, with our full cooperation and urgency.”
Meanwhile, Prime Minister Paetongtarn Shinawatra stated during the National Energy Policy Committee meeting that all countries she met during international conferences showed strong interest in clean energy. She urged relevant agencies to focus more on this area to facilitate investment.
Regarding clean energy expansion, she emphasized following plans without delays and called for expedited improvements to clean energy selection and purchasing criteria, particularly for Direct Power Purchase Agreements (Direct PPA), to maintain competitiveness with neighboring countries like Malaysia.
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