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Business models and financing options for a rapid scale-up of rooftop solar power systems in Thailand

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  • Tongsopit, Sopitsuda
  • Moungchareon, Sunee
  • Aksornkij, Apinya
  • Potisat, Tanai

Abstract

Diverse solar PV business models and financing options exist in the international landscape, helping expand and accelerate the adoption of rooftop solar PV systems. The conditions for their emergence are context specific, depending on the policies, regulations, incentives, and market conditions of each country. After a review of the international landscape, this paper compiles and analyzes business models and financing options for rooftop solar PV investment in Thailand that have emerged during the period between 2013 and 2015. Despite policy discontinuity for the support of rooftop solar systems, diverse business models and financing options are driving market expansion and expanding solar access to more Thai consumers. Drawing on our policy and regulatory analyses and in-depth interviews with business representatives, we identify four types of business models and one financing option. The business models include Roof Rental, Solar PPA, Solar Leasing, and Community Solar, and the financing option is the solar loan. We analyze the drivers for their emergence, barriers to their success, and the risks from the business owners' and consumers' viewpoints. Our policy recommendation is focused on crafting a net-metering regulation with evidence-based studies on the potential costs and benefits to different stakeholders.

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  • Tongsopit, Sopitsuda & Moungchareon, Sunee & Aksornkij, Apinya & Potisat, Tanai, 2016. "Business models and financing options for a rapid scale-up of rooftop solar power systems in Thailand," Energy Policy, Elsevier, vol. 95(C), pages 447-457.
    • Handle: RePEc:eee:enepol:v:95:y:2016:i:c:p:447-457
    DOI: 10.1016/j.enpol.2016.01.023
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    Cited by:

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    5. Wichsinee Wibulpolprasert & Umnouy Ponsukcharoen & Siripha Junlakarn & Sopitsuda Tongsopit, 2021. "Preliminarily Screening Geographical Hotspots for New Rooftop PV Installation: A Case Study in Thailand," Energies, MDPI, vol. 14(11), pages 1-30, June.
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    10. Horváth, Dóra & Szabó, Roland Zs., 2018. "Evolution of photovoltaic business models: Overcoming the main barriers of distributed energy deployment," Renewable and Sustainable Energy Reviews, Elsevier, vol. 90(C), pages 623-635.
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    13. Tahir, Muhammad Usman & Siraj, Kiran & Ali Shah, Syed Faizan & Arshad, Naveed, 2023. "Evaluation of single-phase net metering to meet renewable energy targets: A case study from Pakistan," Energy Policy, Elsevier, vol. 172(C).
    14. Methee Srikranjanapert & Siripha Junlakarn & Naebboon Hoonchareon, 2021. "How an Integration of Home Energy Management and Battery System Affects the Economic Benefits of Residential PV System Owners in Thailand," Sustainability, MDPI, vol. 13(5), pages 1-20, March.
    15. Schleich, Joachim & Tu, Gengyang & Faure, Corinne & Guetlein, Marie-Charlotte, 2021. "Would you prefer to rent rather than own your new heating system? Insights from a discrete choice experiment among owner-occupiers in the UK," Energy Policy, Elsevier, vol. 158(C).
    16. Koerner, Sonja Angelika & Siew, Wei Sian & Salema, Arshad Adam & Balan, Poovarasi & Mekhilef, Saad & Thavamoney, Nisha, 2022. "Energy policies shaping the solar photovoltaics business models in Malaysia with some insights on Covid-19 pandemic effect," Energy Policy, Elsevier, vol. 164(C).
    17. Suntiti Yoomak & Theerasak Patcharoen & Atthapol Ngaopitakkul, 2019. "Performance and Economic Evaluation of Solar Rooftop Systems in Different Regions of Thailand," Sustainability, MDPI, vol. 11(23), pages 1-20, November.
    18. M. M. Hasan & Shakhawat Hossain & M. Mofijur & Zobaidul Kabir & Irfan Anjum Badruddin & T. M. Yunus Khan & Esam Jassim, 2023. "Harnessing Solar Power: A Review of Photovoltaic Innovations, Solar Thermal Systems, and the Dawn of Energy Storage Solutions," Energies, MDPI, vol. 16(18), pages 1-30, September.
    19. Li, Na & Okur, Özge, 2023. "Economic analysis of energy communities: Investment options and cost allocation," Applied Energy, Elsevier, vol. 336(C).

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