Category: The Bangkok Post

Prime Minister Anutin Charnvirakul has expressed concern about the economic impacts of the El Niño phenomenon, especially in the Eastern Economic Corridor (EEC), and called for accelerated efforts to increase water reserves in the eastern region.

According to government spokeswoman Rachada Dhnadirek, water demand in the EEC region – Chon Buri, Rayong and Chachoengsao provinces – is projected to nearly double from current levels next year.

The EEC is already home to a number of data centres, most of them modest in scale, but a handful of major projects are in the pipeline, which is pushing up demand for uninterrupted, industrial-grade water for cooling systems.

Climate variability and recurring weather patterns like El Niño can strain water supplies, with reservoir capacity in the region sometimes falling below 50%.

Ms Rachada said forecasts indicate the El Nino phenomenon will lead to less rainfall than usual, affecting water availability in many areas, especially key economic zones such as the EEC.

‘Mr Anutin emphasised the need for proactive water management, including the use of forecasting data to plan water allocation in advance rather than waiting until shortages occur before taking action,’ she said.

In the EEC, residential communities, agriculture, industry and tourism all rely on shared water resources, not to mention the need to ensure that natural ecosystems are not compromised.

The government has assigned the Office of National Water Resources to coordinate with relevant agencies and develop area-specific water management plans.

Reservoirs only 44% full

According to Ms Rachada, the EEC has 16 large and medium-sized reservoirs holding a combined 534 million cubic metres of water, representing 44% of their total storage capacity of 1.46 billion cu m.

During the 2026 rainy season (May 1 to Oct 31), authorities plan to allocate 1.06 billion cubic metres of water, including 526 million for agriculture, 217 million for industry, 169 million for domestic consumption and tourism, as well as water reserved for ecosystem preservation and system losses.

‘Mr Anutin stressed that water management must prioritise the needs of the public,’ she said. ‘Planning must ensure that agriculture, industry and other key economic sectors can continue operating without conflicts over water use or negative impacts on people’s quality of life.’

The Meteorological Department’s six-month rainfall forecasts are being used to assess water inflows into reservoirs and prepare to utilise the Eastern Water Grid for water pumping and diversion.

These measures are intended to meet water demand in 2027, when water consumption in the EEC is projected to reach 2.9 billion cubic metres.

In addition, the government is accelerating work on 39 water resource development projects in the EEC.

Once completed, these projects are expected to increase water reserves by 909 million cubic metres. Of the 39 projects, 23 have already received budget allocations.

Nineteen projects have been completed, adding 258 million cubic metres of water storage capacity, while four projects under construction are expected to add another 109 million.

The administration is calling on all sectors to use water more efficiently. Industrial operators are encouraged to transition towards smart factories to reduce water consumption, while the agricultural sector is urged to follow planting schedules and water allocation plans to minimise risks to crop yields and farmers’ incomes.

Thon Thamrongnawasawat, a marine and environmental scientist, recently predicted a super El Niño event could occur this year, with the most severe impacts beginning in the fourth quarter and continuing into the first quarter of next year.

The phenomenon is expected to bring drier conditions, reduced rainfall and more intense heat, while also disrupting ecosystems by raising sea temperatures and causing widespread coral bleaching.

The body of a red-haired young woman with extensive tattoos on her back was discovered in a rubbish bin in Klaeng district of Rayong on Thursday morning after a refuse bag burst open inside a garbage truck’s compactor.

Police, forensic officers, a doctor and rescue workers were dispatched to a road at Village Moo 8 in tambon Kasae Bon after being alerted at about 6am, said Pol Capt Chaithawat Rodma, deputy investigation chief at the Klaeng police station.

A garbage truck belonging to the Krasae Bon tambon administration organisation was found parked by the roadside when police arrived at the scene. Boonsueb Kaeokla, the kamnan (subdistrict headman), assisted authorities at the site.

In the pile of refuse, officers discovered the body of a woman believed to be about 20 years old. She had long red hair, fair skin and a slim build, with extensive tattoos covering her back, said police.

Forensic officers who examined the tattoos said they had not yet been fully coloured, and it was still unclear what the design depicted.

The body was in an advanced state of decomposition, with maggots and flies covering the remains and a strong foul odour. Authorities estimated that she had been dead for at least four to five days.

Sanya Ruamket, 52, a sanitation worker, told police that he and driver Phuwanat Phongsai had begun their routine collection round at about 5am.

While collecting waste, they came across a rubbish bin emitting an unusually putrid smell. The bin was surrounded by flies and contained large numbers of maggots. The workers emptied its contents into the truck for compaction.

As the compactor was operating, one of the refuse bags burst open, revealing what appeared to be a human body. Upon closer inspection, the workers realised it was the corpse of a woman and immediately alerted police.

Initial examinations found no identification documents or evidence revealing the victim’s identity. Due to the advanced decomposition, identification has proved difficult, and authorities have yet to determine whether the deceased was Thai or a foreign migrant worker.

Police have not ruled out any possibilities, including natural causes, an accident or homicide followed by the disposal of the body to conceal a crime.

A team of investigators has been ordered to review CCTV footage from routes leading into and out of the area and check missing persons reports and records of migrant workers in the vicinity.

The body has been sent for a post-mortem examination to determine the cause of death and confirm the victim’s identity as investigators continue efforts to unravel the mystery.

Eight people were arrested Thursday in Chiang Rai on suspicion of running a scheme that illegally issued Thai identity cards to foreigners, including Chinese and Myanmar nationals, allegedly enabling scammers, drug traffickers and money-launderers, police said.

Deputy national police chief Pol Gen Samran Nuanma said police, administrative officials and representatives from the Department of Special Investigation (DSI) and the Office of the Public Sector Anti-Corruption Commission (PACC) made the arrests during raids at six locations in Wiang Chiang Rung, Mueang, Doi Luang and Wiang Kaen districts.

Three of the arrested suspects were Thai government officials, including former Wiang Kaen assistant chief Achira Jaisuya and territorial defence volunteers Siwarak Chailangkan and Pumin Kanthawee.

The other five are foreigners who illegally held ID cards. One is a Chinese woman identified as Kalaya Sae Fung, who holds shares in a technology company with a 1-billion-baht registered capital. Another is a Myanmar man who holds shares in four companies, including oil companies in Myanmar and Singapore. Three of the five foreigners were identified only as Bualai, Tawanchai and Chan.

According to Pol Gen Samran, corrupt officials in Wiang Kaen issued homeless student ID cards to Chinese, Myanmar, Lao and Vietnamese nationals in 2024 and 2025. The gang charged each alien about 100,000 baht. Police suspect some card holders included scammers and drug traffickers.

Aliens holding ID cards registered to people without home registration could travel, open bank accounts, conduct transactions and later apply for Thai citizenship. Such ID cards could also be used to launder money.

Police suspected the ID-card gang issued documents for about 200 aliens. Fourteen other suspects remained at large.

Prime Minister Anutin Charnvirakul has assumed direct oversight of the Eastern Economic Corridor (EEC), replacing his deputy Phiphat Ratchakitprakarn.

The move follows cabinet acknowledgement of two orders removing Mr Phiphat, who also serves as the transport minister, from supervision of the Eastern Economic Corridor Office (EECO) and from the chairmanship of the EEC Policy Committee. Media reports say the decision stemmed from discussions between Mr Anutin and Mr Phiphat last week.

Under the new arrangement, the prime minister will personally oversee all EEC-related matters and position himself as the lead promoter of Thailand’s investment opportunities, using the EEC as a pilot project to attract foreign investors through a new strategic vision. Mr Anutin aims to develop the EEC into both a global food security hub and a regional data centre investment hub, the reports said.

Given the need for coordination across multiple agencies, the prime minister considered it necessary to bring the project under his direct supervision. The government sees potential in promoting the EEC as a centre for food security, citing the region’s strengths in livestock, fisheries, agriculture, fruit production and horticulture. These sectors, the reports said, could become key attractions for international investment.

At the same time, the government believes the EEC can no longer rely primarily on traditional heavy industries because of constraints relating to electricity and water supplies, both of which entail high development costs. While data centres consume substantial amounts of electricity, the government has introduced a revised electricity tariff for Category 9 users, with rates higher than those applied to other categories.

The reports said Mr Phiphat himself had raised concerns about longstanding friction between the EECO and the Board of Investment (BOI), adding he preferred not to work amid such disputes and so proposed the prime minister assume direct responsibility. The reports also denied any link between the decision and Mr Phiphat’s reported opposition to amendments to the contract for the high-speed rail project linking three airports — Don Mueang, Suvarnabhumi and U-Tapao.

Mr Anutin, who is in Russia for the Asean-Russia summit running from June 16-19, confirmed on Wednesday he will personally oversee the EEC, saying the move does not reflect conflict or a reduction in Mr Phiphat’s role. He said the EEC’s transport and infrastructure systems are already well-prepared. The next stage, he said, is to market the project internationally to attract foreign investment in industrial estates, universities, and new business cities. He was better positioned to lead this phase due to his experience meeting world leaders, private sector executives, and global investors.

“This is about creating opportunities for business partnerships and using my international missions to present Thailand and the EEC as much as possible,” he said. He said that the reassignment is not intended to diminish Mr Phiphat’s responsibilities.

Speaking to reporters at Government House, Mr Phiphat said he had not been informed in advance of the orders and learned of them when they were read out during the cabinet meeting. Asked whether he had been unable to manage the EEC portfolio, he replied such questions should be directed to the prime minister.

Mr Phiphat also rejected speculation the decision reflected internal divisions in the ruling Bhumjaithai Party or was linked to disagreements over the three-airport rail project. “There are no cracks within Bhumjaithai,” he said. “We can work together on all matters. Everyone has their own role, and I can perform any duty assigned to me.”

Authorities have expanded a major suppression campaign against proxy businesses run by foreigners from southern tourist islands to the northern destination of Chiang Mai, where police say they have identified many suspected illicit operations.

A team of 188 police officers and administrative officials launched the anti-nominee business operation on Wednesday, said Pol Maj Gen Yutthana Kaenchan, the Chiang Mai provincial police commander.

He said authorities were following the government’s policy to tackle foreigners who illegally operate businesses through Thai proxies, causing negative impacts on the local economy and business competition.

‘Chiang Mai province has been identified as one area where the ‘Koh Phangan Model’ will be expanding,’ he said, referring to the active suppression of illegal foreign business activities on the tourist island in Surat Thani province.

Pol Maj Gen Yutthana said that authorities in Chiang Mai had already identified two hotels that violated the Hotel Act, three parties that breached the Immigration Act, a group of companies in which Thai proxies held assets illegally on behalf of foreigners, and 11 companies that did not have brick-and-mortar offices as claimed in their registration.

Prime Minister Anutin Charnvirakul has expressed concern about the economic impacts of the El Niño phenomenon, especially in the Eastern Economic Corridor (EEC), and called for accelerated efforts to increase water reserves in the eastern region.

According to government spokeswoman Rachada Dhnadirek, water demand in the EEC region – Chon Buri, Rayong and Chachoengsao provinces – is projected to nearly double from current levels next year.

The EEC is already home to a number of data centres, most of them modest in scale, but a handful of major projects are in the pipeline, which is pushing up demand for uninterrupted, industrial-grade water for cooling systems.

Climate variability and recurring weather patterns like El Niño can strain water supplies, with reservoir capacity in the region sometimes falling below 50%.

Ms Rachada said forecasts indicate the El Nino phenomenon will lead to less rainfall than usual, affecting water availability in many areas, especially key economic zones such as the EEC.

‘Mr Anutin emphasised the need for proactive water management, including the use of forecasting data to plan water allocation in advance rather than waiting until shortages occur before taking action,’ she said.

In the EEC, residential communities, agriculture, industry and tourism all rely on shared water resources, not to mention the need to ensure that natural ecosystems are not compromised.

The government has assigned the Office of National Water Resources to coordinate with relevant agencies and develop area-specific water management plans.

Reservoirs only 44% full

According to Ms Rachada, the EEC has 16 large and medium-sized reservoirs holding a combined 534 million cubic metres of water, representing 44% of their total storage capacity of 1.46 billion cu m.

During the 2026 rainy season (May 1 to Oct 31), authorities plan to allocate 1.06 billion cubic metres of water, including 526 million for agriculture, 217 million for industry, 169 million for domestic consumption and tourism, as well as water reserved for ecosystem preservation and system losses.

‘Mr Anutin stressed that water management must prioritise the needs of the public,’ she said. ‘Planning must ensure that agriculture, industry and other key economic sectors can continue operating without conflicts over water use or negative impacts on people’s quality of life.’

The Meteorological Department’s six-month rainfall forecasts are being used to assess water inflows into reservoirs and prepare to utilise the Eastern Water Grid for water pumping and diversion.

These measures are intended to meet water demand in 2027, when water consumption in the EEC is projected to reach 2.9 billion cubic metres.

In addition, the government is accelerating work on 39 water resource development projects in the EEC.

Once completed, these projects are expected to increase water reserves by 909 million cubic metres. Of the 39 projects, 23 have already received budget allocations.

Nineteen projects have been completed, adding 258 million cubic metres of water storage capacity, while four projects under construction are expected to add another 109 million.

The administration is calling on all sectors to use water more efficiently. Industrial operators are encouraged to transition towards smart factories to reduce water consumption, while the agricultural sector is urged to follow planting schedules and water allocation plans to minimise risks to crop yields and farmers’ incomes.

Thon Thamrongnawasawat, a marine and environmental scientist, recently predicted a super El Niño event could occur this year, with the most severe impacts beginning in the fourth quarter and continuing into the first quarter of next year.

The phenomenon is expected to bring drier conditions, reduced rainfall and more intense heat, while also disrupting ecosystems by raising sea temperatures and causing widespread coral bleaching.

Thailand’s bid to join the Organisation for Economic Co-operation and Development (OECD) is a crucial opportunity to address deep-rooted structural weaknesses, particularly rule-of-law shortcomings that undermine investor confidence and competitiveness, a forum was told.

Speaking at the Thailand Rule of Law Leadership Forum 2026: Competitiveness and OECD Readiness recently, Kittipong Kittayarak, chairman of the Thailand Institute of Justice and a member of Thailand’s OECD accession oversight committee, said the country’s slow economic growth reflected declining confidence among both domestic and foreign investors.

He argued Thailand’s excessive and outdated regulations, combined with broad discretionary powers granted to state officials, had contributed to perceptions of corruption and weakened the country’s competitive position.

“Visible infrastructure such as roads, bridges and technology can be repaired when problems arise,” Mr Kittipong said.

“The more difficult challenge is our invisible infrastructure — the rule of law. If laws are enforced inconsistently and outcomes are unpredictable, investors become reluctant to commit to long-term investments and innovation suffers.”

He said Thailand should use the OECD assessment process as an opportunity to undertake structural reforms and improve systemic efficiency.

He noted that international measures such as the World Justice Project’s Rule of Law Index demonstrate that the rule of law can be assessed through factors including government accountability, law enforcement effectiveness and corruption risks.

He added that strengthening the rule of law was no longer solely a legal issue but required cooperation across government, business and civil society.

The newly established Thailand Rule of Law Leadership Programme, a 14-week initiative bringing together leaders from multiple sectors, was designed to support reforms aligned with OECD standards.

Tatyana Teplova, senior adviser on justice at the OECD’s Public Governance Directorate, said the rule of law is a cornerstone of public trust, economic resilience and institutional effectiveness.

She said clear and consistently enforced rules enable businesses and citizens to access justice, make decisions with confidence and operate within a transparent system that serves the public interest.

“There is no magic formula for successful reform,” Ms Teplova said. “The most important factor is ensuring that all sectors of society move forward together.”

Payong Srivanich, chairman of the Thai Bankers’ Association and president of Krungthai Bank, said investors needed confidence that they could compete fairly in Thailand.

Thuttai Keeratipongpaiboon, director of the National Economic and Social Development Council’s international strategy and coordination division, said structural and institutional weaknesses, including outdated regulations, corruption and governance deficiencies, had slowed growth and trapped the country in a cycle of low credibility and weak growth.

Thailand has reached the technical review stage of the OECD accession process, which he said is regarded as the most demanding phase.

Thailand’s investments in data centres are projected to reach US$4.31 billion by 2030, representing average annual growth of 18% from 2024 and achieving total capacity of 2.93 gigawatts, helped by strong government support and solid demand, says CGS International Securities.

Thailand is undergoing a fundamental transformation in its digital infrastructure, driven by artificial intelligence (AI), cloud adoption, data sovereignty regulations and spillover demand from capacity-constrained neighbouring countries, especially Singapore, said Kasem Prunratanamala, head of research at CGS.

Investments in digital infrastructure in Thailand totalled $1.48 billion in 2024 and are projected by Mordor Intelligence to expand by an average 18% per year until 2030. Power capacity is expected to surge 30% annually from 0.77GW to 2.93GW.

“Investment momentum has accelerated sharply into 2026,” said Mr Kasem, adding Board of Investment (BoI) investment applications in the digital sector reached 874 billion baht for 48 projects in the first quarter of this year, skyrocketing 823% year-on-year.

Among the approved applications are investment of 842 billion baht by TikTok System, along with applications from Global Switch, Skyline Data Center and Evolution Data Center, according to CGS.

Thailand FastPass, the BoI’s economic mechanism designed to cut approval times by 20-50% for major strategic investments, is also driving significant growth in data centre investments, he noted.

Electricity demand forecasts explicitly incorporate the rise of data centres, which are projected to require 100% clean energy, with total demand estimated at 6.2-8.6GW by 2050, according to the National Energy Policy Council.

JLL’s 2026 Global Data Centre Outlook projects global capacity to nearly double from 103GW in 2025 to 200GW by 2030, an annual growth rate of 14% that requires up to $1.2 trillion in real estate investment and $1-2 trillion in IT equipment spending.

CGS acknowledged that Tier 3 data centres are by far the most popular in Thailand, accounting for 85% of the market because they offer high reliability with less than two hours of downtime per year, which is more than sufficient for most businesses such as banks, factories, retailers and government agencies.

Tier 3 offers a much lower cost than Tier 4, which can cost roughly twice as much to build due to its fully redundant power and cooling systems.

Risks to data centre investments are power grid bottlenecks, substation saturation in the Eastern Economic Corridor (EEC) delaying project delivery, a slowdown in global hyperscaler capital expenditure or AI investment cycles, and delays in direct power purchase agreements, said Mr Kasem.

CGS said SET-listed Gulf Development is well-positioned to capture a disproportionate share of Thailand’s long-duration data centre growth, particularly in the power-constrained EEC.

GSA, which is Gulf’s data centre and digital infrastructure platform, is a structural extension of its integrated energy and infrastructure franchise, leveraging the group’s strengths in power procurement, liquefied natural gas and utility access to develop hyperscale, AI-ready capacity, he said.

Thailand faces a 96-98% probability of entering an El Niño phase between June and July, with conditions potentially persisting into early 2027, warned Natural Resources and Environment Minister Suchart Chomklin.

This has prompted the government to accelerate climate adaptation measures and the development of high-resolution climate risk mapping, the minister said.

Citing the latest forecasts from leading global climate agencies, including the National Oceanic and Atmospheric Administration (NOAA), the International Research Institute for Climate and Society (IRI), and the European Centre for Medium-Range Weather Forecasts (ECMWF), Mr Suchart said all projections point to a strong likelihood of El Niño developing in the coming months.

The phenomenon is expected to intensify between this November and January next year and could significantly affect Thailand’s economy, society and productive sectors if adequate preparations are not made.

Mr Suchart said the government has placed disaster management and climate change adaptation among its top priorities. These include enhancing water resource management, improving disaster prevention systems, developing a national disaster insurance framework, advancing Thailand’s goal of achieving net-zero greenhouse gas emissions by 2050, and promoting sustainable natural resource management.

The Department of Climate Change and Environment (DCCE) will accelerate the development of high-resolution climate databases to improve planning for droughts, floods and other extreme weather events, while also expanding public awareness and adaptation programmes.

DCCE director-general Pirun Saiyasitpanich said Thailand must closely monitor potential impacts from El Niño, particularly changes in rainfall and temperature patterns.

Between this month and January, many areas of the country are expected to receive less rainfall than normal. Thailand’s primary rainy season runs from June to August.

The cabinet has approved the draft Defective Products Liability Act, which would provide consumers with statutory protection against product defects.

Under the draft, general consumer goods are covered for six months, while motor vehicles are covered for one year from the date of delivery.

According to deputy government spokeswoman Lalida Persvivatana, the legislation also introduces additional protections for cars and motorcycles. If a safety-related defect is discovered and cannot be repaired to restore the vehicle to its normal operating condition, the buyer has the right to request a replacement vehicle or terminate the contract. Sellers would be required to cover expenses or provide substitute benefits while repairs are being carried out.

Ms Lalida said the cabinet approved the draft, as proposed by the Office of the Consumer Protection Board and reviewed by a Council of State committee.

The bill aims to establish clear rules governing liability for product defects, aligning the law with current commercial practices, strengthening protections for both buyers and sellers, and reducing disputes arising from the sale of goods, she noted.

Current liability provisions for defective products under the Civil and Commercial Code are considered insufficient to address the increasingly complex issues of modern commerce, particularly in cases where defects cannot reasonably be detected at the time of purchase or delivery.

Key provisions of the draft include extending its application to transactions involving general goods in both business-to-consumer and business-to-business relationships. The law would also cover hire-purchase agreements, financing arrangements and barter transactions.

However, the draft would not apply to second-hand goods, live animals or certain categories of products specified in ministerial regulations.

The legislation also introduces a presumption of defect to enhance consumer protection. Under this provision, if a defect becomes apparent within a specified period, the product will be presumed to have been defective at the time of delivery unless proven otherwise. The periods are six months for general goods, one year for motor vehicles, and six months for motorcycles, measured from the date of delivery.

The draft clearly defines buyers’ rights to seek remedies from sellers. For general goods with a material defect, buyers may request a replacement product. If the seller is unable to provide a replacement, the buyer may terminate the contract. For non-material defects, buyers may request repairs, a price reduction or contract termination, subject to conditions set out in the law.

For electrical appliances, electronic devices and engine-powered equipment, if a material defect is discovered within 14 days of delivery, buyers may immediately request a replacement. If a replacement cannot be provided, the buyer may terminate the contract and claim damages.

The bill would also allow buyers to seek compensation for additional necessary and reasonable expenses, while setting limitation periods for bringing claims of one year for general goods and two years for motor vehicles, motorcycles, electrical appliances and electronic devices, calculated from the date the buyer discovers the defect or the date the seller agrees to undertake corrective action.