Bangkok: Veerayuth criticized the 400 billion baht loan decree, arguing that it fails to secure the country's future. He claimed the initial tranche of funds was used for political gain rather than assisting those in need, suggesting it was aimed at garnering votes for the Prime Minister and enabling further campaigning. He expressed concerns that the second tranche might serve as a channel for patronage networks to secure government projects.
According to Thai News Agency, Mr. Veerayut Kanchuchat, a party-list MP from the People's Party, spoke in the House of Representatives during the debate on the draft emergency decree authorizing the Ministry of Finance to borrow 400 billion baht to address the energy crisis and facilitate the country's energy transition. He argued that the government's stated objectives, split into two tranches of 200 billion baht each-one for economic recovery and the other for transitioning to clean energy-have not been met. He highlighted that at least four groups, including those severely affected by the oil price crisis, the agricultural sector, SMEs, and the labor force, have been neglected.
Mr. Veerayuth noted that despite the government's claims of targeted assistance, its approach during crises tends to be broad and indiscriminate. He pointed out the lack of substantial support for the manufacturing sector, which represents a significant portion of the Thai economy. This is reflected in a decline in factory production capacity, a contraction in the automotive sector, and a drop in the business confidence index.
In the SME sector, over 7,000 businesses reported closures in the first half of 2026, marking a significant increase from the previous year, amidst heightened competition from foreign products. Meanwhile, the labor market experienced a near 10% rise in unemployment compared to the same period last year.
Mr. Veerayuth explained that while the economy showed a 1.9% growth in Q2 GDP, this was largely due to private sector investment in data centers, heavily reliant on imported equipment. He criticized the government's rush to approve data center projects without proper environmental impact assessments and business licenses, leading to a trade deficit.
The establishment of a Data Center board by the government was seen by Mr. Veerayuth as a potential way to bypass existing issues. He outlined at least five problems, including inadequate oversight of approved projects, legal loopholes, and unmet clean electricity needs.
Furthermore, Mr. Veerayuth discussed the second loan's intention for energy transition, noting that many projects lacked a systematic transition plan. He cited issues with local administrative organizations' solar panel projects and questioned the urgency of certain initiatives.
The government's solar rooftop installation project, aiming for 1 million households, was criticized for its lack of clarity regarding subsidies and system specifications. Mr. Veerayuth emphasized that energy transition requires more than just increasing electric vehicles or solar panels; it involves significantly reducing reliance on fossil fuels.
Mr. Veerayuth warned that if clean electricity cannot be supplied, future investments may shift to neighboring countries like Vietnam or Malaysia. He highlighted the need for industry-specific tools and systems to support the energy transition.
In conclusion, Mr. Veerayuth argued that the second loan lacks a systematic energy transition plan, with many projects lacking urgency and measurable outcomes. He questioned the government's use of two separate sums of money, suggesting they serve political and patronage purposes.