Thailand approves $7.2 billion high-speed rail project to link airports

Kitiphong Thaichareon

 

 

BANGKOK (Reuters) - Thailand’s cabinet approved on Tuesday a high-speed railway project expected to cost about 225 billion baht ($7.22 billion), that will link three airports, a government official said.

 

The approval comes at a time when surging tourist arrivals - now equivalent to more than half of the Thai population - have put some strain on Thai infrastructure.

 

The rail link will connect the two airports in the Bangkok area - Don Mueang International and Suvarnabhumi International - with U-Tapao, built during the Vietnam War in the eastern province of Rayong.

 

The government expects to select winners for the public-private partnership project (PPP) in October and expects it to be in service in 2023, Nathporn Chatusripitak, a spokesman for Deputy Prime Minister Somkid Jatusripitak, told reporters.

 

According to a government statement, the cost of the project is about 225 billion baht, slightly higher than 200 billion baht mentioned earlier by officials.

 

“We will wait to see the TOR (terms of reference) of the auction before considering participation because this is a long-term investment,” a spokesperson at CH Karnchang Pcl told Reuters.

 

The firm built a large portion of Bangkok’s metro systems and subsidiary Bangkok Expressway and Metro built and operates expressways and mass transit systems.

 

The high-speed railway is part of the government’s larger transport infrastructure investment action plan worth 2.02 trillion baht, covering rails, roads, airports and seaports.

 

The junta has ramped up infrastructure investment in a bid to boost growth Thailand has lagged regional peers since the army took power in 2014.

 

The finance ministry has forecast economic growth of 4.2 percent this year, after 3.9 percent growth last year, the fastest pace in five years.

 

Infrastructure projects will also help ease pressure from the influx of foreign tourists.

 

Tourist receipts account for about 12 percent of gross domestic product in Southeast Asia’s second-largest economy.

 

The government expects 37.55 million foreign visitors to spend 2.1 trillion baht this year, after a record 35.38 million tourists who spent 1.8 trillion baht last year.

 

(For a graphic of Thailand tourist arrivals click reut.rs/2ERvK77)

 

-- © Copyright Reuters 2018-3-26

"Approved"..."Expects".

 

 

Pfffff

"225 billion" + brown envelopes = "500 billion"

Got to get these big projects up before any election.

I'm sure the predatory cabbies will quickly find another way to milk the tourists.

Best to make a station somewhere in Jomtien.

Will take at least 10 yrs. By that time cost will be at least 3x due to inflation.

 

 

Ital Thai got this.

Ital-Thai sub con to Chinese and Others who agreed in advance to Hand over B.E to mediators.Hope can get a slice of that track for my M E group.BTW 25b Bt=$S1bn?not much???

I thought this project was already underway albeit Rayong to Hua Hin with U Tapao & swampy stops?

Good idea.

15 hours ago, snoop1130 said:

The government expects to select winners for the public-private partnership project (PPP)

As far as I can recall this project would be the first for the junta to successfully joint venture with private enterprises. Its calls previously for PPP have failed, resulting in the junta obtaining 100% financing for its projects. Hopefully for the sake of the Thai taxpayer, Private enterprise will invest at least 50% which will substantially reduce the amount of borrowed funds by the government.

15 hours ago, snoop1130 said:

expects it to be in service in 2023

If the Prayut government was a "caretaker" government like Yingluck's government from September 2013-May 2014, it would be unconstitutional for it to approve funding for any project that extends into the period of the installation of the next elected government. The idea I believe was not to encumber the next elected government with costly projects that would limit the new government's fiscal capability. Obviously, such has not been a concern of the Prayut regime.

2 minutes ago, tomster said:

Just 11 posts in 15 hours since the post went up, obvioulsy good news is not so popular on TV....

 

Good on the Junta for (finally) getting this underway, chances of a "democratically elected government" doing it are somewhere between zero and none.

Whatever you are on stop it, it is addling your brain.

How about adding another train to the BTS airport link first. It's a nasty experience

Another pipe dream of 'Big Face' Thailand.   The private sector will do what they always do...stay out of it leaving the Junta to find the funds yet again.

 

I've now lost count of the new railway schemes dreamed up over the last few years but cannot count a single one that has come to fruition apart from Inner Bangkok lines.

Well we all know the "OBVIOUS"!!!!! Some people are going to be REALLY RICH!!!!

10 minutes ago, pmh2009 said:

Some people are going to be REALLY RICH!!!!

Some people on military salaries are already REALLY RICH!!!!  

54 minutes ago, tomster said:

Just 11 posts in 15 hours since the post went up, obvioulsy good news is not so popular on TV....

Wake us up when its actually been built and is operating...that's when its good news time.

4 hours ago, InMyShadow said:

How about adding another train to the BTS airport link first. It's a nasty experience

how about letting people walk from one end of the bts platform to the other without needing to swipe a card. 

The rail link is really a good thing .Enough talking get the contracts signed before the election and before the new members have a chance to line their pockets .

6 hours ago, tomster said:

Just 11 posts in 15 hours since the post went up, obvioulsy good news is not so popular on TV....

 

 

 

Perhaps because nobody has grasped the absurdity of building a High Speed Rail link between the points of BKK/DMK and UTP (which are airports) when such a "high speed" link already exists........it's called the aeroplane.

 

Point to point.......no stopping.

 

What's that you say?....."they will pick up passsengers on the way"

 

Well in order to make it pay they will have to pick up so many passengers (at so many locations) that it will not be "high speed".

 

The airports will just be stops on an ordinary rail network, which does not require the investment cost of HS (or permit such great concomitant "opportunity").

 

And how is a link between BKK - DMK (which is a good idea) going to be high speed over such a short distance?

 

A simple metro service would be much cheaper and do the job perfectly well.

 

This is just blather to support/justify a "developing world", d*** swinging, fashionable obsession with High Speed Rail (as a HEADLINE project....."Everyones Gotta Have One") and, of course, the opportunity to SKIM at high volume.

 

 

225 Billion Baht for this? And the Thaivisa link I clicked said 300 baht tickets (even though I can't find it in the article). Doesn't seem possible. Even at reasonable interest rates it would take over 50,000 of those 300 Baht tickets to pay for interest alone....

On 28/03/2018 at 11:12 AM, HLover said:

Good idea.

Don Meaung to Swampy sure, but why the <deleted> would you catch a train from either of those to Utapao? Surely you would fly. Thai logic never ceases to amaze. Coming next! high speed train from swampy to every domestic airport in Thailand.

25 minutes ago, starky said:

Don Meaung to Swampy sure, but why the <deleted> would you catch a train from either of those to Utapao? Surely you would fly. Thai logic never ceases to amaze. Coming next! high speed train from swampy to every domestic airport in Thailand.

maybe because there are no flights? by the time you checked in and went through security etc you'd be at U Tapao ...........

27 minutes ago, sandrabbit said:

maybe because there are no flights? by the time you checked in and went through security etc you'd be at U Tapao ...........

My apologies I thought incorrectly there were direct flights DMK to Utapao. I never go to Pattaya.

On 3/28/2018 at 5:49 AM, InMyShadow said:

How about adding another train to the BTS airport link first. It's a nasty experience

"....too many farang....if farang not in Thailand then BTS OK"