Bangkok: Sirikanya and Veerayuth have cautioned the government that it must assume responsibility if the Constitutional Court annuls the 400 billion baht loan decree, accusing it of exploiting the crisis as a pretext.
According to Thai News Agency, Ms. Sirikanya Tansakul, Deputy Leader of the People's Party, announced during a shadow cabinet meeting that the Constitutional Court is set to deliver its verdict on the 400 billion baht loan decree on July 9, 2026. Opposition parties have contested the allocation of 200 billion baht for energy sector restructuring, urging the court to assess its constitutional compliance.
The potential outcomes are categorized into two primary scenarios and two minor ones. The decree could be fully approved, or it may be rejected either entirely or partially. A complete rejection would pose challenges since 200 billion baht has already been distributed to the "Thai Helps Thai+" project and the Pracharath Fund, necessitating the government to find alternative funding sources. Partial rejection of the latter 200 billion baht portion might be less complicated; however, the government would still need to issue a new decree and be accountable for any issues deemed unconstitutional.
Mr. Veerayut Kanchuchat, also a Deputy Leader of the People's Party, emphasized concerns uncovered through his role in the Special Committee for Monitoring and Auditing the Use of Loan Funds. He noted the absence of conditions or a roadmap for the energy transition funded by the 200 billion baht, lacking specifications for reducing fossil fuel use, timeframes, or requirements for large projects, which could result in disorganized projects without clear direction for Thailand.
The urgency implied by the emergency borrowing, with the condition that funds be utilized by December 2027 for energy transition, raises questions about competition for resources, the transition's effectiveness, and the risk of financial depletion hindering Thailand's energy goals.