Cabinet Approves Break Up Of State Railways Of Thailand

[sriracha john]

Strike Strands Train Passengers Nationwide

Train services for key routes nationwide grind to a halt today after the State Railway of Thailand's labor union goes on strike to protest against a restructuring plan.

In Chiang Mai, many locals and foreigners have been left stranded at the provincial train station. State Railway of Thailand, or SRT, labor union has suspended train services nationwide to protest against the government's plan to restructure the railway agency.

Chiang Mai provincial train station director Veerasak Kwanyean said a total 14 inbound and outbound train trips have been canceled. The station has offered to refund passengers who have already bought tickets.

In Ubon Ratchathani, only one train left the platform this morning as 10 others have halted their services. Passengers have been forced to use other means of transportation.

In Nong Khai, only one train managed to leave the provincial station. The rest of the train services have been stopped, including the maiden trip of the historic Nong Khai-Vientiane train.

In Hat Yai District of Songkhla, local state railway employees have joined the nationwide strike. They said train services in Hat Yai will be suspended tomorrow. The services will resume when they receive the order from the central SRT union.

In Khokpoe District of Pattani, there have been only a few stranded passengers, who were not informed about the strike. The passengers were extremely unhappy with the unexpected strike. Most train passengers failed to reach their destinations on time while many who had bought their tickets in advance were unsure if they can get a refund.

-- Tan Network 2009-06-22

[BigSnake]

Yep, time for fees to go up, not a problem if, and a big if is that this equate to better service, hope so, but it will take three to four years if not longer to see any real improvement in service would be my best guess.

[sriracha john]

Railway union vows to prolong national strike pending cabinet review

BANGKOK, June 22 (TNA) - The State Railway of Thailand (SRT) labour union on Monday vowed to prolong its nationwide strike indefinitely, unless the Cabinet reviewed the SRT rehabilitation plan dividing the state enterprise into corporate units.

Railway commuters were struggling to find alternative routes to their destinations with all trains suspended throughout the country, after SRT labour union members went out on strike on Monday.

The union opposed the Cabinet-approved SRT rehabilitation plan which set up two separate subsidiaries to run the SRT’s airport link project and to manage its assets.

Union chairman Sawit Kaewwan said although the SRT would hold 100 per cent of shares in both subsidiaries, being run by the private sector would lead to fare rises in the future.

"The best solution is the Cabinet should review its resolution on the rehabilitation plan and go back to the negotiating table with the SRT labour union," said Mr. Sawit.

Although the meeting between SRT executives and the union agreed to outline the union’s proposal to Transport Minister Sopon Zaram, who would bring the issue to the Cabinet meeting on Tuesday, the labour union insisted on prolonging its nationwide strike until there was a clear solution from the Cabinet.

Meanwhile, SRT director Yutthana Thapcharoen said 440 employees had taken leave. It was expected another 10-20 percent of employees would take day-off on Tuesday.

It was reported at Bangkok’s Hua Lampong station alone, 172 passenger and goods rail services had been cancelled, costing about 5.4 million baht in lost revenue.

Many tour operators had provided bus services for stranded passengers and tourists.

-- TNA 2009-06-22

[Pierrot]

bwha ha ha ha

It is taken 10 years for these proposals to get here.

Will take another 30 years to implement...

Actually it just depends how long it will take for Thaksin to come back.

Just look at the new airport. How long did we wait for it ? Then one day Thaksin was elected PM, he said we will have a new airport and then we had a new airport !

But just looking at the result of local election a few days ago, it seems people start to realize who really "rak Thais"

[samgrowth]

I hope SRT close down for good. Who needs rail these days? It is a pest of road transportation. It cause accidents at junctions with roads.

[sriracha john]

Rail workers strike over SRT reorganisation

The government's attempt to reorganise the money-losing State Railway of Thailand hit a major obstacle yesterday as hundreds of workers went on strike and disrupted 17 per cent of the national rail service.

The Cabinet approved the SRT's reorganisation plan on June 3, allowing the agency to set up a new company to take charge of the Airport Rail Link between Suvarnabhumi Airport and inner Bangkok.

This company, with initial capital of Bt500 million, was scheduled to hold its first meeting today.

Another company, with initial capital of Bt60 million, will be set up to oversee the SRT's vast property interests.

Transport Minister Sophon Saram insisted yesterday that the new companies would be 100 per cent owned by the SRT and there would be no share-sale to the private sector, as feared by the SRT's labour union.

Deputy Finance Minister Pradit Pataraprasit also insisted that the reorganisation plan was not a privatisation of the SRT.

SRT Governor Yuttana Tabcharern said 274 workers, including 130 train drivers, did not report to work yesterday, resulting in the inability to provide services on nearly 50 of the agency's 290 routes across the country.

The strike led to the suspension of 12 outbound services from Bangkok to southern, northern, eastern and northeastern destinations yesterday morning.

Another 35 local train services and 25 cargo-only services were also suspended.

Large numbers of commuters and some cargo were left stranded by the industrial action.

The SRT's revenue losses from this level of action were put at Bt15 million per day, with no indication of how long the strike would last.

In addition to the Airport Rail Link, sources said unionists were afraid that the SRT would assign the new company to hire outsiders to run some of routes in the second stage of the reorganisation.

The reorganisation plan has been touted as a means to reduce the SRT's losses, as the agency needs to boost its overall efficiency and minimise internal corruption, while generating more income from its cargo service to help subsidise the money-losing passenger operations.

The SRT's accumulated losses stand at about Bt72.8 billion, requiring the government to directly subsidise its operation.

The agency also has the obligation to pay for the pensions of its 25,749 workers. Earlier, it was proposed that a pension fund worth Bt58 billion be set up.

Savit Kaew-wan, president of the SRT's labour union, said his members had suspended parts of the national rail service because they were opposed to the reorganisation plan, which would effectively privatise some operations.

He said the reorganisation plan would lead to higher passenger fares, but Yuttana said the union had misunderstood the essential points of the plan.

The SRT's top management also insisted the new company would only be responsible for the Airport Rail Link, while existing train services would not be affected.

According to the reorganisation plan, the SRT's revenues are projected to rise from the earlier estimate of Bt79 billion to Bt109 billion during 2009-2018 as a result of new measures.

-- The Nation 2009-06-23

[parryhandy]

bwha ha ha ha

It is taken 10 years for these proposals to get here.

Will take another 30 years to implement...

Actually it just depends how long it will take for Thaksin to come back.

Just look at the new airport. How long did we wait for it ? Then one day Thaksin was elected PM, he said we will have a new airport and then we had a new airport !

But just looking at the result of local election a few days ago, it seems people start to realize who really "rak Thais"

Never did squat with the railways when he was leader.Maybe because he knew there was no easy money to be made,no easy solution and it was a political hot potato.

[Plus]

Yeah, we had these SRT plans all the time on Thaksin's table, but it's not as easy as spending money on construction.

[sriracha john]

Sanan to head talks with rail union

Deputy Prime Minister Sanan Kachornprasart will head talks with leaders of the State Railway of Thaland labour union, whose members have gone on strike nationwide, Prime Minister Abhisit Vejjajiva said on Tuesday. He hoped Sanan and the other ministers on his team would be able to reach a quick settlement with the strikers today.

The prime minister insisted that the SRT would not be privatised.

However, the government would stick to the Cabinet resolution divide the SRT into three sections, one for rail track maintenance, one for train operations, and the other for assets management. The SRT would still have overall authority over the three subsidiaries, said Mr Abhisit. Mr Abhisit said this was part of the plan to rehabilitate the SRT and cut its huge debt. The SRT labour union was welcome to take part in the talks, he added.

Continued here:

http://www.bangkokpost.com/breakingnews/14...-with-srt-union

-- Bangkok Post 2009-06-23

[sriracha john]

Railway Union to End Strike if Demand Met

The rail strike continues to disable rail services nationwide for the second day today as the State Railway of Thailand labor union promises to end the work stoppage as soon as the Cabinet repeals the plan to restructure the railway agency.

State Railway of Thailand, or SRT, Labor Union leader Sawit Kaewwan said the union is awaiting the Cabinet's decision on its demand for the SRT to scrap the restructuring plan before considering the union's next move.

He affirmed that if the demand is met, the union will call off the strike immediately.

However, Sawit added that the union will discuss the next steps with its members if the Cabinet decides to set up a panel to study the impact of the planned restructuring scheme on rail workers.

Federation of State Enterprise Labour Unions leader Amnaj Palamee said the SRT union has continuously opposed the agency's privatization plan. The union itself even proposed a restructuring plan to three different governments but they were all ignored.

Amnaj added that the rail workers' strike is meant to protect the interest of the agency as well as the public.

In the meantime, Transport Minister Sophon Sarum insisted that the government does not intend to privatize the SRT and that the restructuring plan aims to help improve the SRT's financial position.

Sophon noted that his ministry has coordinated with the Bangkok Mass Transit Authority to arrange for additional bus services for those who cannot travel by train.

-- Tan Network 2009-06-23

=======================================================================

People Switch to Bus Service Following Railway Union Strike

People in many provinces switch to the services of inter-provincial buses after the State Railway of Thailand and labor union suspended train service nationwide in protest against the government's plan to restructure the railway agency.

In Pattani Province, the atmosphere at the provincial train station was quiet, while the provincial bus terminal was crowded with passengers. The public is demanding that the trains resume services as soon as possible.

In Yala province at the passenger van parking lot, there were crowds all morning on the second-day of train services being halted. Passengers are extremely unhappy with the unexpected strike.

Most passengers were unable to reach their destinations on time while many who had bought the train tickets in advance were unsure if they will be able to get a refund.

Officials at the Yala Train Station revealed that they could not answer questions about when train operations would resume, and said that they are waiting for an order from the State Railway Union.

Meanwhile, passengers who had reserved tickets in advance in Songkhla's Hat Yai district have travelled to the provincial train station to return the tickets and ask for a refund.

The suspension of the southern line is expected to cause revenue losses of 400,000-500,000 baht per day.

-- Tan Network 2009-06-23

[sriracha john]

Train services return to normal

Goverment agrees to union input on SRT's future

Rail services will return to normal today after the government agreed to delay a restructuring plan for the debt-ridden State Railway of Thailand to allow unions to have input into its reorganisation. Services on some lines reopened yesterday after the State Railway of Thailand Workers Union called off the strike it declared on Monday morning.

The strike left more than 200,000 passengers stranded and caused 16 million baht in damage to the SRT. SRT union leaders and a team of government negotiators led by Deputy Prime Minister Sanan Kachornprasart yesterday met for an hour at the Transport Ministry. SRT Governor Yutthana Thapcharoen and other executives were excluded from the meeting.

An agreement was signed after the meeting suspending the government's plan to split SRT into two subsidiaries pending discussions between rail workers and management on the role of union members in the new structure.

Continued here:

http://www.bangkokpost.com/news/local/1900...eturn-to-normal

-- Bangkok Post 2009-06-24

[sriracha john]

China may aid Thai rail development

Beijing - The government will soon explore in greater detail ways to work with its Chinese counterpart in developing Thailand's rail network and connecting it to neighbouring countries.

"The Chinese government is willing to give its support for infrastructure development in Southeast Asia, but that also depends on whether they can find any opportunities.

"Now we have such an opportunity at hand, so we don't hesitate to offer it," Prime Minister Abhisit Vejjajiva said on Wednesday.

After his formal meeting with Chinese Premier Wen Jiabao in the Chinese capital, Abhisit told the press that both countries had agreed to boost their cooperation to develop rail transport nationwide and also connect the system with ASEAN members.

China's support could be in the form of technology or capital. "It's possible to make a joint venture together. The format of public-private partnership [PPP] can be one of our choices," he said.

The National Economic and Social Development Board will be responsible for revising the regulations that are obstacles to implementing the PPP scheme. He declined to disclose the time frame for the NESDB, but expressed confidence that the changes would not hamper negotiations with China.

Deputy Premier Suthep Thaugsuban and Transport Minister Sophon Saram are expected to go to China and follow up on the details in one or two months, he said.

Wen accepted Abhisit's invitation to join the ASEAN meeting in October. Wen's official visit could be scheduled before or after the ASEAN meeting, Abhisit said.

Shi Dahua, Chairman of China Railway Group (CRG), the largest integrated construction group in China and Asia, met Abhisit yesterday to inquire about the policy on railway construction.

"I focused on two things - the rail routes and types of investment. It's good that this company showed interest in our rail-transport development projects and it's ready for any form of investment," Abhisit said.

The company showed flexibility in meeting the government's requirements, including the ratio of local employment and the transfer of railway know-how to local staff.

Abhisit also invited the company to visit Thailand to see what it can do and continue its dialogue with the government in one or two months. CRG has built railroads in China, Vietnam and Africa.

As this firm mainly employs technology from Japan and Germany, it could develop the railway system in Thailand efficiently, he said.

Sorayut Phettakul, vice industry minister, said the Board of Investment (BoI) had released the new types of projects, including infrastructure development, that can apply for tax incentives at the year's start. The BOI plans to liaise with the Transport Ministry to hold the bidding for investors keen on the government's mega-projects.

"We might not choose the cheapest project any more. We plan to consult with Prime Minister Abhisit to give more weight to those projects using local content and creating jobs for our people, even though their projects will be more costly," he said.

This policy has already been tabled with the National Logistics Committee and the Office of Transport and Traffic Policy and Planning. The proposal will be submitted again at the next National Logistics Committee meeting, chaired by the premier.

-- The Nation 2009-06-26

[henryalleman]

One thing the Thai's would benefit from doing would be to build a new high speed train network connecting all major provinces and province capitals.

Transport is one major issue I have with Thailand, how I would love to have a fully integrated undergorund network in the city and the above. High speed trains would be such an asset to this country, who the fu7ck wants to take a plane journey of 4hrs when you only spend 30mins of that actually on the plane above the clouds. A speedy, comfortable and affordable high speed train whizzing though the Thai countryside up north and down by the coast when going to the south.

Forget it, this isn't Europe or Japan. To implement a high speed train network it needs a bit more than buying some trains and building the tracks. There are serious maintenance issues which are really pricey and can't compete with the low airfares we finde these days.

I like it a lot to travel by train but as long as Thailand is in the developing state it is highspeed is not really a good option.

Go with normal gauge tracks first. These would allow you to travel with 120-160 km/h (which triples the speed we experience nowadays) with "ordinary material" which needs a lot less maintenance, tracks could be used better for heavy cargo as any road. Then, if the tracks are built, settled, maintained and optimized, then in 10-20 years it makes sense to go with higher speed. Remember, other countries didn't go from steam heads to bullet trains.

100% agree. And than, they can take also the cargo of the road, much cheaper and better for the environment.

[henryalleman]

...the SRT will set up two companies - one to be responsible for train operations and the other for assets management.

If implemented properly, this has the potential to be the best thing that could possibly happen for the rail system in Thailand: i.e. an SRT that actually focuses on rail operations rather than mainly as a landlord collecting the monthly rent on their vast real estate holdings. Presumably, the proposed assets management company would perform the "landlord" function.

Oh really?

Like in the UK?

Like in Europe?

Railway operation is not a real profit generating enterprise.

Maybe it can break even, but that is very iffy.

Market thinking with railways never made it better for the passengers, including safety!

Operating railways should be seen a a community serving enterprise, passenger oriented.

As soon as passengers are called customers, the rot will set in

In the EU all railway's will be privatised and open for competition in a few years.

BTW when it was the last time you took train in the EU? The trains are clean, comfortable and reliable. And expensive?????? I took the train from Antwerp to Dusseldorf airport (distance about 300K), I paid 53 EURO include the HST between Brussels and Cologne. Whit the car it would be much more expensive.

[henryalleman]

Let's hope it's nothing like Railtrack in the UK (responsible for track, signalling, tunnels, bridges, level crossings ) which was founded under legislation that privatised the railways in 1994. However it was essentially taken away from them and renationalised in 2002 due to their safety record. There were bad crashes at Southall, Ladbroke Grove, Hatfield and Potter's Bar where many died.

I think they have the EU system in mind, It seems that they are following that plan of privatising, what BTW seems top be working very well.

[samran]

bwha ha ha ha

It is taken 10 years for these proposals to get here.

Will take another 30 years to implement...

Actually it just depends how long it will take for Thaksin to come back.

Just look at the new airport. How long did we wait for it ? Then one day Thaksin was elected PM, he said we will have a new airport and then we had a new airport !

But just looking at the result of local election a few days ago, it seems people start to realize who really "rak Thais"

my friend, I worked on rail reform under thaksin - or the charade of rail reform. This one sat firmly in the bottom draw as a priority for his government.

The only Dr T cared about was if he could get the concession, construction contract, or the lions share of the 'privatised' stock before any privatisation could go ahead. I could tell you some stories about the PTT privatisation you would not beleive, a free for all on the shares by insiders before the shares were made available to the public (at which point there were none left). And yes, I had access to those PTT shares, which I bought.

Airline de-regulation to introduce competition? A big no from Dr T until he figured out Air Asia was a good idea, and then all of a sudden it was worth letting competition -which he owned - into the market.

You can say what every you want about him throwing money at poor people and giving them a sense of enfranchisement for the first time ever. Cause it is probably true.

But Thaksin the economic reformer and miracle worker? A big fat myth. He was the biggest disaster for the Thai economy in a long time.

[sriracha john]

Cooperation with China on railway development to be solidified

TIANJIN - The Thai Prime Minister said the nation's rail system must be developed and a Thai-Chinese railway construction project will be more concrete within the next 2 months.

For his second day of visit to the People's Republic of China yesterday, Prime Minister Abhisit Vejjajiva traveled to the nation's third newest economic development district in Tianjin via high speed train.

The train ride was part of the PM's agenda to experience the work of a rail expert -- China Real Way Engineering Corporation -- which has shown interest in heading rail development in Thailand.

The PM has made plans to task the Deputy Prime Minister of Internal Security and the Transport Minister to conduct negotiations on that matter within the next 2 months.

Mr. Abhisit also commented that Tianjin is considered one of China’s most important gateway for the distribution of Thailand’s longans next month when the longan season begins. He said he had instructed Prime Minister's Office Minister Virachai Virameteekul to travel to the district to establish groundwork for possible trade.

-- NNT 2009-06-26

Edited June 26, 2009 by sriracha john

[Thai at Heart]

Irony of ironies, now China is the fountain of knowledge with trains.

Strewth.

The train system there is only 30% better than Thailand. They have some fancy "bullet" trains that actually only go as fast as the old 125's in the UK and regular accidents. It is nice that Thailand make regional relations but why would you ask a country that employs a system that has almost no relationship to the problems in Thailand's rail system to implement an improvement?

China can blast railways out of mountains that are crap and run moderately high speed trains on the flat. In no way is it the market leader in trying to deliver a modern efficient system to Thailand.

Edit:

After reading the article to the end, is this Abhisit's chickens for fighters moment?

Edited June 26, 2009 by Thai at Heart

[sriracha john]

SRT union to ask Governor to resign

The labour union of the State Railway of Thailand resolved on Monday to submit a letter to Governor Yutthana Thapcharoen to tell him to consider himself since the Office of the Auditor-General has found he may have been involved in a corruption case in connection with the lease of the Sunday Market.

Sawit Kaewwan, Chairman of the union, said Mr Yutthana should consider suspending from duty as SRT Governor to prove himself. He can return to work if he is not found guilty, he added.

Also on Monday, Mr Sawit attended a meeting with the SRT Boad to discuss reforms of the rail agency. He said the union was persistent in its opposition to the plan to restructure the SRT, which seeks to set up two subsidiaries for train operations and assets management as well as against the planned management of the Airport Link.

Continued here:

http://www.bangkokpost.com/breakingnews/14...ernor-to-resign

-- Bangkok Post 2009-06-29

[samran]

SRT union to ask Governor to resign

The labour union of the State Railway of Thailand resolved on Monday to submit a letter to Governor Yutthana Thapcharoen to tell him to consider himself since the Office of the Auditor-General has found he may have been involved in a corruption case in connection with the lease of the Sunday Market.

Sawit Kaewwan, Chairman of the union, said Mr Yutthana should consider suspending from duty as SRT Governor to prove himself. He can return to work if he is not found guilty, he added.

Also on Monday, Mr Sawit attended a meeting with the SRT Boad to discuss reforms of the rail agency. He said the union was persistent in its opposition to the plan to restructure the SRT, which seeks to set up two subsidiaries for train operations and assets management as well as against the planned management of the Airport Link.

Continued here:

http://www.bangkokpost.com/breakingnews/14...ernor-to-resign

-- Bangkok Post 2009-06-29

a week ago the union were pretending to be helpful and only wanted to delay the process 6 months so they could have input.

Then they hit the governor with this, just goes to show that they want to sink the process totally.

[stumonster]

a rail and pipeline corridor from a port on the Indian Ocean to China would be of immense benefit to Thailand.

[sriracha john]

Talks on SRT revamp end in stalemate

Talks on a rehabilitation plan between state railway management and union officials have ended in a stalemate. The State Railway of Thailand Workers Union has refused to accept a rehabilitation plan proposed for the SRT.

Deputy Permanent Secretary for Transport Thawal Onsira, who is also Chairman of the SRT, said union representatives refused to hear out the management. Under the plan aimed at solving the SRT's debt of 70 billion baht, which was approved by the Cabinet on June 3, two subsidiaries would be set up - one to operate its rail services, the other to manage its property.

"The Board has said repeatedly that the plan is not about privatisation, but the union won't accept it," Mr Thawal said. "At first, private companies would be allowed to hold shares," he said. "But now the SRT will hold 100% shares. This is certainly not a privatisation."

Upset by the plan, rail workers staged a work stoppage early last week, leaving more than 200,000 passengers stranded and causing 16 million baht in damage. As the talks proceeded, about 100 unionists gathered at the SRT headquarters to attack the rehabilitation plan. They came close to clashing with about 50 train passengers who showed up to give moral support to SRT Governor Yuthana Thapcharoen.

Continued here:

http://www.bangkokpost.com/news/local/1935...nd-in-stalemate

-- Bangkok Post 2009-06-30

[HagenvonTronje]

SRT Labor Union disapproves rehabilitation plan

BANGKOK, 29 June 2009 (NNT) – The State Railway of Thailand (SRT) Labor Union President, Sawit Kaewwan, expressed disagreement with the SRT rehabilitation plan which set up two sub-companies, reasoning that such action was worse than privatization.

Mr. Sawit said the Union disapproved the cabinet’s resolution to allow private companies to be involved with the SRT. He cited that the plan was not open for participation of either the Union or the public, adding that if the Government had allowed it, there would not be strikes by railway staff.

Instead, the Union President suggested that the SRT should readjust revenue collection in the 36,302 rai of land under ownership of the SRT leased in commercial purpose, which was at one billion per annum only. He said the increased revenue could help the SRT operate more efficiently.

-- NNT 29 June 2009

article here

[HagenvonTronje]

SRT Labor Union calls on SRT Governor to step down

BANGKOK, 30 June 2009 (NNT) - The labor union of the State Railway Authority of Thailand (SRT) reiterates its stance to protest the organization’s privatization and urges the SRT governor to resign.

Chairman of the SRT labor union Sawit Kaewwahn stated yesterday after meeting with the SRT board that the union had also asked that it be allowed to operate the airport rail link project. Mr Sawit handed the SRT governor a letter drafted by the union calling for his resignation due to the Sunday Market rent scandal. The rent hike was recently found to have unlawful components.

The SRT labor union has asked that the SRT Governor show responsibility over the matter by stepping down, adding that he may return if later absolved of any guilt. The union has also assured that it will not strike again if it is allowed discussion and negotiation on all issues.

-- NNT 30 June 2009

article here

[sriracha john]

Forum fails to sway rail staff

A forum on State Railway of Thailand restructuring plans has failed to win over staff. The SRT union and most railway staff yesterday stood by their objection to the changes, saying they could leave members without work and were designed to further a secret privatisation agenda.

The SRT yesterday held a forum to allow staff to air their views on the restructuring plans, approved in principle by the government last month. The changes will split the railway agency into two subsidiaries, in charge of operations and assets management.

SRT union leader Sawit Kaewwan said the plan to split the SRT into two subsidiaries was really designed to prepare SRT for sale. SRT Governor Yutthana Thapcharoen said staff from all departments and the labour union had been invited to join another forum on SRT reform. The SRT will gather all suggestions before proposing a revised reform plan to the government for approval.

Continued here:

http://www.bangkokpost.com/news/local/1995...sway-rail-staff

-- Bangkok Post 2009-07-10

[sriracha john]

SRT employees voice fears over revamp plan

Many State Railway of Thailand employees yesterday voiced opposition to the agency's restructuring plan, making it likely the upcoming opening of the Airport Rail Link will be further delayed.

At a conference in Bangkok's Sofitel Centara Grand Hotel, 1,500 SRT workers endorsed their labour union's stance against the much-needed restructuring that earlier led to a strike.

The Cabinet-approved restructuring plan sets up two companies: one to operate train services and one to manage the SRT's real-estate interests.

One of the firms will be responsible for running the Bt35-billion Airport Rail Link between central Bangkok and Suvarnabhumi Airport, which is due to start operations in December.

However, the SRT's union opposes the plan, arguing it will lead to the privatisation of rail service, with private firms invited to run some routes.

Union president Sawit Kaewwan said the union would submit a counterproposal to the government in which the SRT would run the Airport Rail Link itself.

"We still have time to prepare for the actual opening of this service in February 2010, because a batch of 172 students will shortly graduate from their railway-engineering course. They'll be trained for this purpose," he said.

Sawit also asked for a better explanation as to why the SRT had accumulated as much as Bt72 billion in losses.

"These losses came from our investment in railroad infrastructure (Bt14.3 billion), locomotives (12.3 billion) and the Airport Rail Link. It's unfair to place this burden on the SRT," Sawit said.

"We're not resisting change for increased efficiency, but this restructuring plan is more like a transfer of state assets to the private sector," he said.

-- The Nation 2009-07-10

[sriracha john]

Stalemate derails SRT plans

Committee to decide railway restructuring

The future of the State Railway of Thailand rests with Deputy Prime Minister Sanan Kachornprasart after the final round of negotiations with its powerful union failed to make any headway. The main stumbling block between SRT executives and union leaders is the management model for the Airport Rail Link project connecting the city to Suvarnabhumi airport.

The link, due to start on Dec 5, is seen as the most promising aspect of the SRT's future. The cabinet last month agreed to the restructuring of the SRT but only if the plan was backed by the union.

It would see the SRT separated into two subsidiary firms handling asset management and services. The airport link would be under the service firm.

Continued here:

http://www.bangkokpost.com/news/local/2103...rails-srt-plans

-- Bangkok Post 2009-07-28