BTSC demands 40 billion baht Green Line overdue debt payment

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The Bangkok Mass Transit System (BTSC) declared itself ready to negotiate with the Bangkok Metropolitan Administration (BMA) and Krungthep Thanakom (KT) over the staggering debt tied to the BTS Green Line extensions.

 

This comes hot on the heels of a Supreme Administrative Court ruling on July 26, giving both parties a 180-day deadline to cough up nearly 12 billion baht for the operational and maintenance (O&M) costs of the Saphan Taksin-Bang Wa and On Nut-Kheha extensions.

 

BTSC’s chairman, Keeree Kanjanapas, revealed that the total debt had ballooned to 39 billion baht as of July 25, potentially soaring to 40 billion baht with delayed payments.

 

“We won’t sign any contract unless it’s legally sound.”

 

Keeree emphasised the company’s responsibility to shareholders and passengers. He urged the BMA and KT to settle the 11.75 billion baht debt immediately to bolster BTSC’s liquidity and enhance service quality. Keeree also highlighted the pressing issue of a near-28 billion baht remaining debt, accruing a hefty 7 million baht in interest daily.

 

While reaffirming BTSC’s readiness for negotiation, Keeree expressed hope for a swift resolution, ensuring seamless transport services. He noted the BMA’s ongoing review of the current Green Line concession, set to expire in 2029, and clarified that discussions about future extensions have yet to commence.

 

Bangkok Governor Chadchart Sittipunt acknowledged the debt’s impact on BMA’s finances, potentially pushing spending beyond the 2025 budget of 90 billion baht. However, the 58 year old Bangkok chief assured that the BMA would avoid borrowing, opting instead to adjust spending according to revenue estimates, reported The Nation.

 

By Puntid Tantivangphaisal

Photo courtesy of The Nation

 

Full story: The Thaiger 2024-07-31

 

 

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[retarius]

Will be interesting to see who has the power in this negotiation....the person who has a responsibility to hi9s shareholders or the BMA.