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First Phase of Southern Land Bridge to Begin by 2030


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Transport Minister Suriya Jungrungreangkit stated on Monday, July 1, that the first part of the ambitious Southern Land Bridge project, costing 1 trillion baht, will begin operations by 2030’s end. The project aims to connect the Gulf of Thailand with the Andaman Sea. Plans for this project are currently being revised based on feedback from potential investors and locals, with the process likely to finish by this year's third quarter.

 

Design plans for the ports involved in the project should be completed by the year's end. They intend to finalise designs for railway tracks and inter-city motorway by 2024. The government aims to choose a contractor by the third quarter of 2025 and sign the contract in early 2026.

 

 

The construction will happen in three phases, starting from 2026 and finishing in 2030. The next phases will happen from 2031 to 2034 and then from 2035 to 2036. The project introduces the development of a port in the Ranong province, facing the Andaman Sea, and another in Chumphon which faces the Gulf of Thailand. They will also invest an additional 358.52 billion baht into inter-city motorway and railway infrastructure.

 

Suriya noted the project's positive financial outlook, with an expected internal rate of return of 8.62%. The breakeven point is expected 24 years after operations commence. He also stressed the considerable economic impact of the Land Bridge, forecasting it to create 280,000 jobs in the provinces of Chumphon and Ranong and significantly increase the country's GDP.

 

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-- 2024-07-02

 

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