Thailand’s decision to maximize its use of coal power as a temporary solution to the energy crisis is expected to result in significantly higher financial costs and environmental damage, according to the authors of the newly released report. This strategy is described as unsustainable because it forces the country to rely on more expensive fuel while threatening its long-term climate commitments.
The report states that “increasing the coal capacity factor in Thailand to 70% will be equal to an additional generation cost of US$263 million” and points out that, by comparison, “solar generation will cost about 35% less.”
For a general reader, this means that turning back to coal is a poor economic choice. Not only does it cost much more than using solar power, but it also forces Thailand to release millions of extra tonnes of carbon dioxide into the air, making it harder to meet future environmental goals. Instead of providing a cheap safety net during a crisis, this approach creates a heavier financial burden and risks leaving the country with outdated, polluting power plants that no longer make sense to operate.
The report “Overcoming fossil lock-in is pivotal for Asia to buffer against energy shocks” was published by the UK-based energy think tank Ember on March 23, 2026. Authored by senior energy analysts Dinita Setyawati and Muyi Yang, the briefing explores how recent geopolitical conflicts are exposing the vulnerability of Asian economies to fossil fuel price volatility and supply disruptions.
