With regard to policy measures, the board approved measures to expedite the investment process and address obstacles related to electricity supply, visa and work permit procedures, and land availability as well as additional requirements for investments in data centers.
FastPass System to Expedite Major Projects
The board agreed to expedite approval processes under seven key authorities through the first phase of the FastPass system. The BOI, in collaboration with six other key authorities namely Department of Industrial Works, Industrial Estate Authority of Thailand, Office of Natural Resources and Environmental Policy and Planning, Immigration Bureau, Department of Employment, and Eastern Economic Corridor Office of Thailand, expects to reduce approval times by 20-50 percent.
In addition, the board approved measures to expedite investment process and resolve related obstacles. These actions follow the approval of the "FastPass" process in the previous board meeting, which aims to help 70 previously approved projects, with a combined value of around 300 billion baht, move forward with their investments. This initiative forms part of the Government's series of "Quick Big Win" measures designed to spur economic growth over the next four months.
The BOI has launched the scheme by appointing three subcommittees to monitor and resolve common issues related to electricity supply, visa and work permit procedures, and land availability. At this stage, the board has approved an increase in the daily service capacity for visa and work permit applications from 200 to 500 queues per day to improve services for high-potential foreign investors. Regarding the issue of land availability, the board has agreed to expedite the environmental impact assessment (EIA) approval process for industrial area development projects.
"This will strengthen investor confidence in Thailand's investment framework and contribute to increased employment and broader economic development," Mr. Narit Therdsteerasukdi, Secretary General of the BOI, said after the meeting, chaired by Mr. Ekniti Nitithanprapas, Deputy Prime Minister and Minister of Finance.
Updated Requirements for Data Center Projects
The Board approved adjustments to the promotion conditions for data center investments to ensure efficient resource utilization and to encourage the transfer of technology and expertise to Thai personnel. Under the revised requirements, investments in data centers outside the EEC area will be eligible for more incentives to encourage investment in those regions.
Other conditions for data center promotion include requirements related to data center construction and service standards, the Power Usage Effectiveness (PUE), and efficient water management measures. Projects are also required to submit a plan that creates tangible benefits to Thailand, such as providing training, developing joint curriculum with educational institutions, conducting research and development, enhancing the skills of Thai SMEs, or supporting the domestic supply chain. The proposed plan must be fully implemented before the project can exercise its corporate income tax (CIT) exemption benefits.
Project Approvals
The board approved investment privileges for projects worth a combined 100 billion baht (ca. US$3.1 billion) in value, including data center projects by several international investors.
- Telehouse (Thailand) Co., Ltd., a subsidiary of Japan's KDDI Corporation, received approval for a 7.55 billion baht investment in a data center project with an IT load of 12MW, to be located in the Huai Khwang District of Bangkok. KDDI operates some 45 data centers under the Telehouse brand in more than 10 countries worldwide. The new project will be located next to an existing data center of the same company.
- Vistas Technology Co., Ltd., a subsidiary of China's ZDATA Technologies Co., Ltd. and its Singapore-based unit ZDATA Cloud Technology Pte. Ltd., received approval for a 9.09 billion baht investment in a data center project with an IT load of 80MW to be located in the Amata City Chonburi Industrial Estate, Chonburi Province. ZDATA is a leading provider of integrated data center and cloud computing services currently operating more than 30 data centers in China, Hong Kong, and Malaysia. This is the company's second project application to be approved by the BOI.
- NextGen Data Center and Cloud Services Co., Ltd., a subsidiary of Dubai-based DAMAC Digital, which is a major data center service provider in the Middle East, received approval for a 26.7 billion baht investment in a data center project with an IT load of 84 MW, to be located in the Navanakorn Industrial Estate, Pathum Thani Province. The hyperscale-class data center, with a maximum power capacity of 140 kW per server cabinet, will support the development and application of artificial intelligence (AI).
- Zenith Data Center and Cloud Services Co., Ltd., a related company, received approval for a 54.9 billion baht investment in a hyperscale data center project with an IT load of 200MW, which will also be established in the Navanakorn Industrial Estate, Pathum Thani Province.
