Thailand Halts More Data Centres Than It Has Running
Thailand has 35 data centres running, 49 suspended, and 117 awaiting approval. This pause came after a complaint about a data centre built next to a hospital, revealing that data centres can seek planning permission as warehouses.
The Pause and Its Causes
On September 6, 2026, Thailand’s new supervision commission chaired by finance minister Ekniti Nitithanprapas met for the first time, leading to this suspension. Public concern about these buildings’ impact on their surroundings prompted the meeting.
Specifically, Bangkok authorities paused approvals on three more projects after complaints about a data centre near a hospital. Governor Chadchart Sittipunt highlighted a regulatory gap: data centres can apply for permits as warehouses, avoiding environmental impact reviews that would typically be required.
The Regulatory Loophole and its Impact
The loophole allows facilities drawing significant power and water to slip through under the same category as a simple storage shed. This lack of regulation means no central authority tracks these projects, leading to approval of dozens without proper oversight.
Thailand approved $27 billion worth of AI and data centre projects in the first half of 2026, with tech investment surpassing last year’s total within six months. Companies like Google, Amazon, and Microsoft have been expanding their regional capacity in Thailand due to lower costs and an existing electronics manufacturing base.
The Government’s Response
Ekniti framed the decision as a pursuit of clear and consistent standards for the industry’s sustainable growth. Two specific measures under consideration include:
- Higher electricity rates for large data centre operators
- Closer scrutiny of projects in densely populated areas
These proposals are not bans but aim to increase costs relative to neighbouring countries, potentially influencing future investments.