Economic Growth and Energy Consumption in Thailand: Evidence from the Energy Kuznets Curve Using Provincial-Level Data

This study investigates the relationship between economic growth and energy consumption using the Energy Kuznets Curve (EKC) framework. Spatial econometric models, including the Spatial Panel Lag Model and the Spatial Dynamic Panel Lag IV Model, are employed to capture both spatial and dynamic effects. The results indicate that energy consumption in Thailand is spatially clustered, with energy use tending to spill over into neighboring provinces and concentrating in specific regions. Key factors that positively influence energy consumption include gross provincial product (GPP) per capita, population density, and road density. Regions characterized by favorable climates, sufficient infrastructure, and high levels of economic activity exhibit higher per capita energy consumption. The EKC analysis reveals a U-shape relationship between GPP per capita and energy consumption in the BKK&VIC, CE, EA, WE, and NE regions. As many regions continue to experience rising energy consumption, the findings underscore the importance of Thailand adopting more efficient energy usage strategies in tandem with its economic development.