Thai Cabinet approves household solar rooftop tax break
Deduction of up to B200,000 from taxable income expected to promote clean energy
The cabinet on Tuesday approved a personal income tax incentive to encourage households to install solar rooftops.
Energy Minister Auttapol Rerkpiboon said individuals who invest in household solar rooftops will have the right to deduct up to 200,000 baht from their annual taxable personal income.
The incentive will take effect when it is published in the Royal Gazette and will last until December 2028.
“I would like to invite the people who are interested in installing household solar rooftops as this promotes clean energy in our country,” the minister said.
Lower prices, greater supply of panels and related equipment and the government’s promotion of renewable energy have all contributed to wider adoption of solar power in Thailand.
As well, Thai households can sell surplus solar power generated from rooftops back to the grid under a government-backed “net billing” scheme.
The excess electricity is purchased by the state-owned Metropolitan and Provincial electricity authorities, but the rate of 2.20 baht per unit (kilowatt-hour) is considerably less than the going retail rate of around 4 baht a unit.
The scheme applies to residential solar panel systems with a capacity of up to 10 kilowatts (kW), and power purchase agreements can be for up to 10 years.
A full net metering scheme, which would allow households to offset their electricity use with solar generation at the full retail rate, is still under consideration.
Source: https://www.bangkokpost.com/thailand/general/3144149/cabinet-approves-household-solar-rooftop-tax-break
