Thailand is shaping up to be a critical hub for artificial intelligence (AI) with the construction of around 20 data centers underway and 10 more lined up for development, raising concerns over the future of the country’s natural resources and prompting a member of parliament to call for a regulatory assessment.
Tech giants including Microsoft (NASDAQ: MSFT) and Google (NASDAQ: GOOGL) have poured billions into establishing AI data centers in Thailand from 2026, contributing to the government’s vision to build the country as Southeast Asia’s AI powerhouse.
Currently, Thailand has an estimated 40 operational AI data centers, with most of these projects built within the special economic zone—the Eastern Economic Corridor (EEC)—which encompasses several provinces near the capital, Bangkok.
The construction of these AI data centers attracted the largest share of proposed investments to the digital sector in the first half of 2026 at THB1.12 trillion ($33.1 billion) compared with other industries, and has opened numerous job opportunities for Thais.
However, Thai People’s Party member Sahassawat Kumkong said that Thailand may run into trouble in the future if the government fails to balance innovation and sustainability, noting a need to assess the approval and regulation of AI data centers.
“I believe Thailand needs to rethink its overall approach to data center development,” Kumkong told independent media organization Mongabay. “The objective should not simply be to attract investment as quickly as possible.”
He pointed out that people’s lives and livelihoods will be at stake if the government continues to view AI data centers as a mere business opportunity.
“We also need to ensure that development is environmentally sustainable, the local communities are protected, and that the economic benefits are shared more fairly,” Kumkong noted.
AI data centers have become a pressing issue globally in recent months due to their adverse effects on the environment, which include consuming massive amounts of energy that contributes to rising carbon dioxide levels, high water demand for cooling, and taking up enormous lands, often targeting agricultural soils. These alone present a challenge to the country’s sustainability goals.
To avoid future catastrophic events tied to AI data center expansion, Kumkong emphasized the need for a broader and more coordinated approach to planning the development of these large infrastructure projects.
He recently shared with Mongabay his plans to set up a committee that will reassess existing policies on AI data centers, enact tighter environmental protections, and bring transparency to the people by promoting the disclosure of information on proposed AI-related or similar projects and their impacts.
Together with a proper regulatory oversight, EEC Watch research director at civil society organization Somnuck Jongmeewasin also advised the government to conduct a sustainability assessment of AI data centers on the EEC and whether the country’s allocated resources are sufficient to maintain their operations in the years to come.
“We have a lot of problems with water stress, including water-grabbing, and electricity blackouts [in the EEC], so there is no way that all new data centers that have been approved in the EEC area are going to be sustainable when they become fully operational,” he said. “Even if they buy their own water and power, these water and power supplies are from our shared supplies, from the same water reserves and power grids we rely on.”
Shortly after, the Board of Investment (BOI) announced tighter data center investment screening, publishing additional investment criteria for companies looking to set up an AI data center in the country.
According to a separate report from The Nation, all AI data center projects will now be scrutinized for their energy supply and energy readiness, water resource management, environmental protection and pollution controls, and tangible benefits for Thailand before they are given a green light to operate in the EEC.
BOI Secretary-General Narit Therdsteerasukdi said the BOI is acting on the order of the national administration to prioritize investments that deliver greater long-term value to the country and its people.
“Investors must create concrete benefits for Thailand, whether by developing digital and AI personnel, helping Thai SMEs enter technology supply chains, establishing centres of excellence or sharing computing capacity to strengthen the country’s AI capabilities,” said Narit.
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