Thailand approves $29bn data centre investment wave
Author: Joe Peck
Thailand’s Board of Investment (BOI) has approved six major projects worth a combined ฿958 billion ($29 billion; £21 billion), led by a large-scale data infrastructure expansion by TikTok System (Thailand), underscoring the country’s growing role as a regional hub for data centres, cloud services, and AI-driven digital infrastructure.
The approvals were made at a BOI Board meeting chaired by Ekniti Nitithanprapas, Deputy Prime Minister and Minister of Finance.
The Board also approved a second batch of projects under the Thailand FastPass mechanism and discussed with energy agencies steps to strengthen electricity readiness and improve access to clean energy – two increasingly important factors in attracting large-scale digital and high-technology investment.
Narit Therdsteerasukdi, Secretary General of the BOI, says the latest approvals reflect growing investor confidence in Thailand at a time when global companies are racing to expand digital infrastructure across Asia.
He comments, “Amid continuing global volatility, investment in Thailand’s digital and advanced technology sectors continues to grow, reflecting investor confidence in the country’s potential as a regional technology hub.
“For Thailand to capture this new investment cycle, we must be ready not only with investment incentives, but also with sufficient power, clean-energy options, skilled talent, deeper supply chains, and a reliable facilitation system that allows projects to move quickly from approval to operation.”
Project details
Of the six approved projects, three are in data centre and data hosting services, with a combined investment value of ฿913 billion ($28 billion; £20 billion).
The largest project is by TikTok System (Thailand), valued at ฿842 billion ($26 billion; £19 billion). The project will install additional servers and expand data storage and processing infrastructure across Bangkok, Samut Prakan, and Chachoengsao Province, supporting rising demand for digital services and strengthening Thailand’s role in regional digital infrastructure.
Beyond its core infrastructure investment, TikTok has also committed to developing digital literacy and e-commerce curricula to help create new business opportunities for Thai entrepreneurs and strengthen the country’s digital workforce.
Another approved project is a ฿46 billion ($1.4 billion; £1 billion) data centre investment by Skyline Data Center and Cloud Services, part of the UAE-based DAMAC Group. Located in Chachoengsao, the project will support an IT load of 200MW.
A third data centre project, by Bridge Data Centres IIO (Thailand) from Singapore, was approved with an investment value of ฿24.6 billion ($765 million; £561 million). Located in Chonburi, the project will support an IT load of 134MW.
To accelerate project implementation, the BOI Board also selected nine additional projects worth ฿52 billion ($1.6 billion; £1.1 billion) for Thailand FastPass, following the first batch of 16 projects. The latest selection brings the FastPass portfolio to 25 projects.
The FastPass mechanism is designed to streamline approval and permitting procedures, speed up coordination among relevant agencies, and help strategic projects begin operations faster.
Strengthening grid readiness
At the same meeting, the Board outlined steps to strengthen electricity readiness with the Ministry of Energy and the Energy Regulatory Commission, focusing on urgent power supply needs for incoming investment, particularly in the Eastern region.
The Board also directed action on accelerating the issuance of Thailand’s Power Development Plan (PDP) to support future demand, new energy technologies, and long-term power-system planning.
The Board also advanced plans for clean energy mechanisms, including Direct Renewable Power Purchase Agreements (Direct PPA), which would allow private companies to buy and sell renewable electricity directly, with participation criteria and grid-service charges to be announced shortly.
In addition, it acknowledged the launch of Utility Green Tariff 2 (UGT2), a source-specific green tariff designed to give companies more options for procuring clean electricity.
Narit Therdsteerasukdi explains the combination of large-scale digital investment, power readiness, clean energy access, skilled talent, and faster investment facilitation is central to Thailand’s competitiveness in the next phase of global investment.
He continues, “Thailand is entering a new investment cycle in which speed, power readiness, clean energy access, and skilled talent will be decisive.
“The BOI is working with partner agencies to ensure that major projects can move from approval to operation as quickly as possible, while strengthening the infrastructure, workforce, supply chains, and ecosystem needed for long-term growth in the digital economy.”
