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Democrat Party Criticizes Solar Power Program’s Favoritism Toward Large Corporations

Bangkok:The Democrat Party (DP) has expressed strong criticism of the criteria set for the public solar power program, alleging that it unfairly benefits large corporations and may result in kickbacks.

According to Thai News Agency, the DP has raised numerous concerns regarding the criteria for rooftop solar power projects. They argue that these criteria favor large corporations, potentially leading to kickbacks, and they are urging the government to reconsider the conditions. The party claims that the high bank guarantees required are excluding small and medium-sized enterprises (SMEs) from the market, and the ambitious target of installing 1 million rooftop solar units in 10 months is unattainable without resorting to selling quotas.

Mr. Korn Chatikavanij, deputy leader of the Democrat Party, outlined a policy aimed at promoting public access to solar rooftop installations, funded by loans under the Emergency Decree on Borrowing. While supporting the shift from fossil fuels to solar energy, he highlighted concerns over project details and called for a review of conditions, especially those impacting contractors installing solar panels nationwide.

The DP identified four key issues needing review the impact on SMEs due to high bank guarantees and cash payment requirements; the 7-year warranty, which is longer than the industry standard; the cost burden of providing 7-year insurance for homeowners; and the unrealistic target of reaching 1 million households due to limitations in demand and resources.

Mr. Korn emphasized the risk of budget diversions and urged the government to ensure that benefits are distributed more widely to small-scale contractors. He warned that if the Metropolitan Electricity Authority (MEA) and the Provincial Electricity Authority (PEA) are required to subcontract through kickbacks, the system would ultimately benefit only large companies.

Mr. Pornchai Maranetr, from the DP's policy team, noted that the high costs of complying with the conditions might deter contractors from selecting quality equipment. He highlighted contradictions such as the Cabinet's approval of funds for technician training, which still exclude small businesses from the project. He also pointed out delays in electrical wiring connections and the burden of tied-up security deposits.

Mr. Trirat Sirichantaropas expressed concern over favoritism toward large corporations, noting that only a limited number of vendors meet the stringent requirements. He questioned the feasibility of installing electricity in 1 million homes within 10 months and urged a review of MEA and PEA roles to provide smaller entities with direct access to the service.