Solar Panel Market in Thailand

Solar Panel in Thailand Trends and Forecast

The future of the solar panel market in Thailand looks promising, with opportunities in the commercial, residential, and industrial applications. The global solar panel market is expected to reach an estimated $248.1 billion by 2031, with a CAGR of 7.6% from 2025 to 2031. The solar panel market in Thailand is also forecasted to witness strong growth over the forecast period. The major drivers for this market are growing awareness of the benefits of solar energy, increasing demand for renewable energy, and the need to reduce carbon emissions.

• Lucintel forecasts that, within the application category, photovoltaic is expected to witness higher growth over the forecast period due to its affordability, easy installation, and efficiency at converting sunlight into electricity.
• Within the end use category, the commercial sector is expected to witness the highest growth over the forecast period due to growing preference for solar energy in this sector to reduce electricity expenses.

Emerging Trends in the Solar Panel Market in Thailand

Thailand solar panel market is currently growing rapidly through government incentives, technological advancements, and a commitment to sustainability. As the country aims to attain its renewable energy targets, several emerging trends are defining the solar industry’s future. With greater investment in solar technology, growing consciousness of energy self-sufficiency, and higher-efficiency solar systems, Thailand is emerging as the forerunner in solar energy adoption in Southeast Asia. These are five primary trends that are shaping the solar panel market’s growth in Thailand.

• Residential Solar Adoption Increased: An increasing number of Thai homeowners are turning to solar panels to save on electricity bills and gain greater energy self-sufficiency. Government subsidies, tax rebates, and incentives help fuel this shift. The high cost of electricity and favorable solar irradiance conditions make household solar systems an increasingly cost-efficient option. This trend should propel sustained residential solar growth, enabling consumers to take advantage of energy-saving opportunities while lowering the country’s overall carbon footprint.
• Growth of Solar Rooftop Installations: Solar rooftop installations are becoming an increasingly sought-after option for corporate and residential use in Thailand. With the increase in awareness regarding climate change and energy sustainability, many buildings are investing in solar rooftop systems. The governments push for energy independence and a drop in installation costs are making rooftop solar a suitable means to lower electricity bills. This growth greatly benefits Thailand renewable energy objectives, providing a clean and dependable source of power for all types of consumers.
• Expansion of Solar Farms: Large-scale solar farms are growing rapidly throughout Thailand, with both local and international investments involved. The geographically favorable position of the country and high levels of solar irradiance make Thailand an excellent choice for large-scale solar power systems. Solar farms assist in addressing the increasing energy demand and supporting Thailand renewable energy goals. By generating green energy on a large scale, solar farms not only enhance sustainability but also provide employment opportunities and drive the economy, further enhancing the solar energy market in Thailand.
• Integration of Energy Storage Systems: Since solar energy is intermittent, energy storage systems are becoming crucial in ensuring a reliable and stable power supply. Thailand is increasingly utilizing sophisticated battery storage systems along with solar panels, which address the variability of energy generation. These systems enable the storage of surplus solar energy during the day and its use during peak hours or on cloudy days. The integration of storage technology boosts the overall effectiveness of solar installations and aids in expanding the solar energy market.
• Public-Private Partnership Collaboration: The partnership between the Thai government and private sector companies is pushing the development of the solar market forward. Public-private partnerships (PPPs) are supporting large-scale solar projects, which are adding to the countries renewable energy capacity. These partnerships have resulted in the adoption of innovative financing mechanisms, including power purchase agreements (PPAs), which have reduced the cost of solar energy. Thailand is set to achieve its renewable energy targets thanks to policy incentives and investment from the private sector, creating a healthy environment for the continued expansion of the solar panel industry.

These new trends—residential solar uptake, rooftop installations, large solar farms, energy storage integration, and public-private sector collaboration—are transforming the solar panel market in Thailand. As Thailand continues to focus on sustainability and renewable energy, these trends will propel the solar industry, making solar power more accessible, reliable, and affordable. Thailand is on its way to becoming a leader in the Southeast Asian solar market, playing a major role in the regions shift toward clean energy.

Recent Developments in the Solar Panel Market in Thailand

The solar panel market in Thailand is experiencing tremendous developments, underpinned by supportive policies, technological progress, and rising demand for renewable power. These developments are not only enhancing the efficiency of solar power generation but also lowering the costs of solar energy for a larger number of consumers. From residential solar adoption to large-scale projects, Thailand is progressing toward its renewable energy goals. The following are five of the most important developments that are transforming the future of the solar panel market in Thailand.

• Government Support and Policy Incentives: The government of Thailand has launched several policies and incentives to encourage solar energy adoption. These include rebates, subsidies, and feed-in tariffs that reduce the price of solar panel installations for both commercial and residential sectors. The government’s commitment to meeting its target of reaching renewable energy goals by 2037 has given the market a strong foundation for expansion. These incentives are likely to fuel solar uptake further, particularly among residential and industrial users, and attract global investors into Thailand’s renewable energy sector.
• Growth in Solar Panel Production: There has been growth in the production of solar panels in Thailand, with international as well as domestic companies opening manufacturing units within the country. Such expansion of production capacity keeps the price of solar panels down, making them affordable for users. Consequently, Thailand is not only a significant consumer of solar power but also a major contributor to the global supply chain of solar panels. The growth of solar panel manufacturing serves both the local market and export purposes and aids in building the renewable energy business.
• Establishment of Floating Solar Farms: Floating solar farms are increasingly becoming a viable solution to land shortages for solar facilities in Thailand. By utilizing the country’s large water bodies, such as reservoirs and lakes, floating solar farms increase efficiency through the maximization of space. This technology can help significantly in achieving Thailand renewable energy goals while minimizing the effects of land-based solar installations on agriculture and urbanization. With pilot projects already underway, floating solar farms are set to become an integral part of Thailand solar energy strategy.
• Community Solar Initiatives: Community solar schemes are becoming popular in Thailand, especially in rural regions where people might not own land to install their solar panels. These schemes enable many households to invest in shared solar installations, which lowers the initial cost of solar power. Through collective investments, community solar projects make it possible for rural communities to enjoy clean, affordable energy. The development of community solar projects is helping to extend solar access to underserved areas, supporting Thailand’s overall renewable energy initiative.
• Increased Solar Technology and Efficiency: The country is benefiting from advancements in solar technology, such as enhanced panel efficiency, improved energy storage systems, and longer-lasting materials. These developments are making solar power generation more affordable while increasing the energy yield of solar panels overall. High-efficiency panels, such as bifacial modules, enable higher power generation using the same surface area. Such technological advancements are making solar energy competitive with traditional sources of energy, thereby encouraging greater adoption across various industries in Thailand.

Recent trends, such as government incentives, local solar panel production, floating solar farms, community solar schemes, and solar technology improvements, are having a substantial influence on the solar panel market in Thailand. These trends are promoting the use of solar energy throughout the nation, making it more accessible and affordable, and supporting Thailand’s renewable energy goals. As these developments continue, Thailand is poised to solidify its position as a top player in Southeast Asia’s solar energy market.

Strategic Growth Opportunities for Solar Panel Market in Thailand

The solar panel market in Thailand is experiencing strong growth due to rising demand for renewable energy, supportive government policies, and advancements in technology. As Thailand aims to achieve its renewable energy goals, numerous strategic growth opportunities are emerging across major applications. The following five are the most important areas where Thailand solar market is likely to see strong growth, increasing the nations energy autonomy, sustainability, and economic growth.

• Residential Solar Installations: Residential solar adoption in Thailand is witnessing growth, fueled by government incentives, increasing electricity prices, and the need for energy independence. Domestic users are opting for solar panels to lower their energy bills and support environmental sustainability. With the low cost of installation and the availability of abundant sunlight, residential solar systems are becoming an economical option. With continued encouragement from government policies in residential solar uptake, this market is poised to expand considerably, lowering Thailand overall energy reliance and carbon footprint while offering long-term economic benefits to domestic households.
• Commercial Solar Solutions: The Thai commercial sector is adopting solar power as a tool for lowering operating costs and increasing sustainability. Companies are investing in rooftop solar systems to reduce electricity costs and support their corporate social responsibility initiatives. The decreasing cost of installing solar panels and the availability of government incentives make solar power a feasible option for firms seeking to enhance energy efficiency. The uptake of solar power in commercial premises is expected to gain momentum, complementing Thailand renewable energy ambitions while benefiting businesses with long-term cost savings and sustainability.
• Utility-Scale Solar Farms: Thailand has a great growth opportunity through large-scale solar farms, considering the countries geographical advantages and high solar irradiance. The establishment of utility-scale solar farms enables the mass production of clean energy, which can be transferred to the national grid to meet increasing energy demands. Supported by investments from Thai and foreign corporations, solar farms are essential to the attainment of Thailand renewable energy goals. The growth of solar farms not only makes Thailand a sustainable nation but also provides jobs and boosts economic growth, establishing the country as a regional model for renewable energy.
• Floating Solar Farms: Floating solar farms present an innovative opportunity for growth in Thailand, addressing land shortages while maximizing the use of the nations vast bodies of water. By placing solar panels on reservoirs, lakes, and other bodies of water, Thailand can achieve its renewable energy targets without competing for scarce land resources. Floating solar systems take advantage of the cooling effect of water, which increases panel efficiency. With pilot projects already in progress, floating solar farms are likely to become an important part of Thailand energy plan, helping the country shift towards a low-carbon economy while maximizing land use.
• Off-Grid Solar Solutions: Rural and remote locations in Thailand frequently have no secure access to the electricity grid. Off-grid solar solutions, such as solar home systems and mini-grids, are becoming an affordable means of supplying electricity to these underserved areas. These solutions help enhance energy access, reduce fossil fuel dependence, and enable rural economic growth. With the decreasing price of solar technology, off-grid solar systems are increasingly becoming feasible, helping the country achieve its mission of universal energy access and strengthening Thailand energy security.

Thailand solar panel market is being transformed by the growth opportunities across residential, commercial, utility-scale solar farms, floating solar farms, and off-grid solar solutions. Through sustained government intervention, technological advances, and rising demand for clean energy, these opportunities will propel Thailand toward the realization of its renewable energy goals, lower energy costs, and create new job opportunities. As the solar market expands, Thailand will become an even greater leader in Southeast Asians transition to renewable energy.

Solar Panel Market in Thailand Driver and Challenges

The solar panel market in Thailand is influenced by a mix of technological, economic, and regulatory drivers and challenges. Technological improvements in solar power systems, favorable government policies, and economic incentives have driven market growth. However, constraints like grid integration, regulatory risks, and competition for land for large projects also affect the industry. Understanding these key drivers and challenges is important in forecasting the future growth and sustainability of Thailand solar market.

The factors responsible for driving the solar panel market in Thailand include:
• Government Policies and Incentives: The Thai government also drives the solar panel market with various policies and incentives, such as subsidies, feed-in tariffs, and tax exemptions. These policies help lower the upfront costs of solar panel installations for residential and commercial sectors, making solar power more affordable. The governments determination to achieve its renewable energy targets by 2037 offers a solid foundation for market development. These policies encourage investment in solar power, driving the shift towards a low-carbon economy and increasing public and private sector engagement in the renewable energy sector.
• Technological Developments in Solar Energy: Technological advancements in solar panels, such as enhanced efficiency, durable materials, and cheaper production processes, have brought down the cost of solar energy considerably. The development of high-efficiency solar panels, energy storage systems, and bifacial solar panels is making solar power more efficient and cost-effective compared to conventional energy sources. These innovations are also leading to increased adoption of solar power by both domestic and commercial consumers. With improving technology, the Thai solar market is expected to expand exponentially, offering a sustainable alternative to fossil fuels.
• Increasing Electricity Prices: Thailand has witnessed increasing electricity prices, which have pushed both household and commercial consumers to seek cheaper energy options. Solar power presents a compelling option by lowering electricity costs and offering long-term value. The governments initiative towards energy independence also makes solar power a strategic investment for homeowners and businesses. With conventional electricity prices continuing to rise, the demand for solar energy will continue to fuel market growth and adoption across industries.
• Public-Private Partnerships (PPP): Public-private partnerships (PPP) have been a significant driver of the solar market in Thailand. Through PPPs, large-scale solar projects are being undertaken with the government and private firms collaborating, offering affordable and sustainable energy solutions. These partnerships facilitate innovative financing mechanisms like power purchase agreements (PPAs) that reduce the overall cost of solar energy. The expansion of PPPs in Thailand will help accelerate the installation of solar energy infrastructure and spur additional investment in the renewable energy market.
• Environmental Sustainability Targets: Thailand efforts to curb carbon emissions and achieve global climate change mitigation goals have strengthened the emphasis on renewable energy, especially solar energy. The shift toward sustainability is pushing both the government and private sectors to invest in clean energy sources, reducing the countries dependence on fossil fuels. By expanding the solar energy market, Thailand will be able to meet its environmental sustainability targets while helping other parts of the world reduce carbon emissions in the fight against climate change. This increasing focus on sustainability is bound to drive further development of solar energy within the nation.

Challenges in the solar panel market in Thailand are:
• Grid Integration and Energy Storage: One of the most serious challenges for Thailand solar panel market is the integration of solar energy into the grid. Solar energy is an intermittent source, meaning it is not always available during peak demand. Effective energy storage systems are essential to maintaining a stable and reliable power supply. Although Thailand is developing grid infrastructure and investing in energy storage, the grid system is not yet fully capable of accommodating the increased capacity from renewable energy sources. Overcoming this challenge will help the nation tap into its full potential for solar power.
• Lack of Regulatory Framework: Even with government support, regulatory ambiguity remains a challenge for the Thai solar market. Policy or tariff changes can create instability, preventing investors from making long-term plans. For example, past policy changes in feed-in tariffs have resulted in market volatility and hesitancy among potential investors. A stable and predictable regulatory framework is necessary to build investor confidence and support the further expansion of the solar market in Thailand.
• Land Availability for Large-Scale Solar Projects: Land availability for large-scale solar farms is an increasing concern in Thailand, especially in high-density or agriculturally productive regions. While the country has vast tracts of land suitable for solar energy generation, competition for land and lengthy permitting processes can hinder project development. The growing demand for land for industrial, agricultural, and urban development further complicates the development of large solar farms. Addressing this issue, for example, through the development of floating solar farms, will be crucial to ensuring that Thailand achieves its renewable energy goals.

The solar panel market in Thailand is influenced by both positive drivers and major challenges. While government policies, technological advancements, and rising electricity prices are fueling growth, issues like grid integration, regulatory uncertainty, and land availability continue to present obstacles. Overcoming these challenges will be important to sustaining the momentum of Thailand solar market. With continued efforts to address these issues, Thailand can grow to be a regional leader in renewable energy, successfully achieving sustainability and providing a stable and secure energy future.

List of Solar Panel Market in Thailand Companies

Companies in the market compete based on the product quality offered. Major players in this market focus on expanding their manufacturing facilities, R&D investments, infrastructural development, and leveraging integration opportunities across the value chain. Through these strategies, solar panel companies cater to increasing demand, ensure competitive effectiveness, develop innovative products & technologies, reduce production costs, and expand their customer base. Some of the solar panel companies profiled in this report include:
• Company 1
• Company 2
• Company 3
• Company 4
• Company 5
• Company 6
• Company 7
• Company 8
• Company 9
• Company 10

Solar Panel Market in Thailand by Segment

The study includes a forecast for the solar panel market in Thailand by type, application, and end use.

Solar Panel Market in Thailand by Type [Analysis by Value from 2019 to 2031]:

• Crystal Silicon
• Monocrystalline Silicon
• Polycrystalline Silicon
• Others

Solar Panel Market in Thailand by Application [Analysis by Value from 2019 to 2031]:

• Photovoltaic
• Concentrated Solar Power

Solar Panel Market in Thailand by End Use [Analysis by Value from 2019 to 2031]:

• Commercial
• Residential
• Industrial

Features of the Solar Panel Market in Thailand

Market Size Estimates: Solar panel in Thailand market size estimation in terms of value ($B).
Trend and Forecast Analysis: Market trends and forecasts by various segments.
Segmentation Analysis: Solar panel in Thailand market size by type, application, and end use in terms of value ($B).
Growth Opportunities: Analysis of growth opportunities in different types, applications, and end uses for the solar panel in Thailand.
Strategic Analysis: This includes M&A, new product development, and competitive landscape of the solar panel in Thailand.
Analysis of competitive intensity of the industry based on Porter’s Five Forces model.

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FAQ

Q.1 What are the major drivers influencing the growth of the solar panel market in Thailand?
Answer: The major drivers for this market are rising concern towards environmental pollution, significant demand for renewable energy, and escalating demand for solar panels from residential and commercial projects.
Q2. What are the major segments for solar panel market in Thailand?
Answer: The future of the solar panel market in Thailand looks promising with opportunities in the commercial, residential, and industrial applications.
Q3. Which solar panel market segment in Thailand will be the largest in future?
Answer: Lucintel forecasts that photovoltaic is expected to witness higher growth over the forecast period due to its affordability, easy installation, and efficient at converting sunlight into electricity.
Q4. Do we receive customization in this report?
Answer: Yes, Lucintel provides 10% customization without any additional cost.

This report answers following 10 key questions:

Q.1. What are some of the most promising, high-growth opportunities for the solar panel market in Thailand by type (crystal silicon, monocrystalline silicon, polycrystalline silicon, and others), application (photovoltaic and concentrated solar power), and end use (commercial, residential, and industrial)?
Q.2. Which segments will grow at a faster pace and why?
Q.3. What are the key factors affecting market dynamics? What are the key challenges and business risks in this market?
Q.4. What are the business risks and competitive threats in this market?
Q.5. What are the emerging trends in this market and the reasons behind them?
Q.6. What are some of the changing demands of customers in the market?
Q.7. What are the new developments in the market? Which companies are leading these developments?
Q.8. Who are the major players in this market? What strategic initiatives are key players pursuing for business growth?
Q.9. What are some of the competing products in this market and how big of a threat do they pose for loss of market share by material or product substitution?
Q.10. What M&A activity has occurred in the last 5 years and what has its impact been on the industry?
For any questions related to Solar Panel Market in Thailand, Solar Panel Market in Thailand Size, Solar Panel Market in Thailand Growth, Solar Panel Market in Thailand Analysis, Solar Panel Market in Thailand Report, Solar Panel Market in Thailand Share, Solar Panel Market in Thailand Trends, Solar Panel Market in Thailand Forecast, Solar Panel Companies, write Lucintel analyst at email: helpdesk@lucintel.com. We will be glad to get back to you soon.