Suvarnabhumi Airport Rail Link Not Facing Serious Management Issue

[webfact]

Airport Rail Link Not Facing Serious Management Issue

The State Railway of Thailand has come out to say the Airport Rail Link is not facing serious management and financial issues, and reassures that train services will run as usual.

The State Railway of Thailand Vice President Pakorn Tungjedsakaow, the acting board of director of the Airport Rail Link or ARL claims that the ARL is not facing serious management or financial problems, and will not stop operating.

He said it's normal for a new company to face minor problems, as it was just established in February this year.

Pakorn said all management processes are proceeding according to their business plan, which projects to reach the break-even point within the next five years.

He added that ARL has requested a 2-billion baht budget for its services, of which the State Railway and the Finance Ministry has approved 140 million baht.

Pakorn said the ARL will have to find funds from other sources.

He went on to say the company is borrowing spare train parts from its spare trains, while confirming that the service is safe for all travelers.

Meanwhile, he admitted that the number of commuters using the ARL service is below the targeted level, as they hope to receive 42,000 passengers per day for their City Line, and 2,200 passengers per day for their Express Line.

However, the Express Line has just 300 to 400 passengers per day.

He added that the expansion of the Phaya Thai Station has increased the number of passengers to 2,300 people per day.

-- Tan Network 2011-08-02

[KKvampire]

Bangkok,a city with the most unintegrated Transport System in East Asia (alot of Countries)

[londonthai]

with 1.86 bln hole in the budget, spare parts being taken from the other trains (rather than from the warehouse) and very poor performance on the express, looks like ARL is facing serious problems

[visions]

Oh the answer is easy.

With a budgeted pax per day of 44200 and an actual pax count of 2000 all they need do is normal Thai accounting and increase the ticket price by 2000% to balance the books.

[robertsonmartin]

I have used the ARL in the past and can say it is a great service. It is a cheap, v.clean and quick way to reach the city. I do however think it needs to be advertised a lot more to arriving tourists as currently most tourists head directly to the taxi meter stands oblivious to this service.

Give it a chance, it is still in its infancy.

Edited August 2, 2011 by robertsonmartin

[tartempion]

However, the Express Line has just 300 to 400 passengers per day.

Yep, with both the express lines running every 20 minutes as of 9am, sometimes to Makasan, sometimes to Phaya Thai and the city line running only every 20 minutes also, it should not come as a surprise the service not to be successful with tourists.

I have at least 3 more trips top Bangkok planned for this year and will NOT take the airport link, it's not worth the hassle, a taxi is more convenient, believe me, I tried.

If it would run every 5/7 minutes depending time of day I would ride the thing.

[theoldgit]

Of course there is not a serious management issue, it suits their "Crises Management" business model very well.

It actually suits me, but that's pure coincidence as I live not to far away from one of the stations, but for the people it's supposed to serve it's a waste of space.

[DP25]

Oh the answer is easy.

With a budgeted pax per day of 44200 and an actual pax count of 2000 all they need do is normal Thai accounting and increase the ticket price by 2000% to balance the books.

2000 passengers is just for the express service. The city line gets over 30,000 is absolutely packed during rush hour

[whybother]

Of course there is not a serious management issue, it suits their "Crises Management" business model very well.

It actually suits me, but that's pure coincidence as I live not to far away from one of the stations, but for the people it's supposed to serve it's a waste of space.

Wouldn't you be one of the ones that it is supposed to serve?

[Bkkorupcountry]

Bangkok,a city with the most unintegrated Transport System in East Asia (alot of Countries)

Bangkok AND Kuala Lumpur (LRT)

[Bkkorupcountry]

I have used the ARL in the past and can say it is a great service. It is a cheap, v.clean and quick way to reach the city. I do however think it needs to be advertised a lot more to arriving tourists as currently most tourists head directly to the taxi meter stands oblivious to this service.

Give it a chance, it is still in its infancy.

It's a great service, starting from Makkasan. It's getting there and from there that the problem starts. God forbid the first time tourist who takes this service - their holiday will be ruined from the first day onwards.

[theoldgit]

Wouldn't you be one of the ones that it is supposed to serve?

Fair point, I'm one of the 300 to 400 a day, and I (will) use it two or three times a year, so good for me.

Remind me, how many people use Suvarnabhumi a day, and how many of those would like a decent rail link?

[whybother]

Wouldn't you be one of the ones that it is supposed to serve?

Fair point, I'm one of the 300 to 400 a day, and I (will) use it two or three times a year, so good for me.

Remind me, how many people use Suvarnabhumi a day, and how many of those would like a decent rail link?

If you're one of the 300 to 400 a day, that would mean you live near Makkasan (or maybe Phaya Thai).

IMO, the link itself is fine except for the frequency. But the access to Makkasan is terrible, which is the main reason I rarely use it.

[theoldgit]

that would mean you live near Makkasan (or maybe Phaya Thai).

IMO, the link itself is fine except for the frequency. But the access to Makkasan is terrible, which is the main reason I rarely use it.

Indeed, I can walk to Makkasan.

As you say, access to Makkasan is terrible, apart from the few lucky ones, like me.

I have stopped short of saying it's a "White Elephant" and maybe the location was chosen for all the wrong reasons, I will leave that to others, all my knowledge is based on hearsay evidence.

[Payboy]

Oh the answer is easy.

With a budgeted pax per day of 44200 and an actual pax count of 2000 all they need do is normal Thai accounting and increase the ticket price by 2000% to balance the books.

Either that, or charge foreigners Baht 69500 per one-way trip.

[Galong]

I have used the ARL in the past and can say it is a great service. It is a cheap, v.clean and quick way to reach the city. I do however think it needs to be advertised a lot more to arriving tourists as currently most tourists head directly to the taxi meter stands oblivious to this service.

Give it a chance, it is still in its infancy.

The first time I used it I actually had to ask where it was. I knew it existed, but didn't notice the signs.

Yes, I think better signage and more information for tourists is needed.

I love the BTS and subway in BKK. Before these, BKK was a nightmare to get around. Now, thanks to so many take these forms of public transportation, a taxi is a viable option.

[webfact]

Shortfall in revenue 'won't kill Airport Link'

By The Nation

The Airport Rail Link has no problem with cash flow, according to the chairman of the board of State Railways of Thailand (SRT), Supoth Sublom.

He denied a report that SRT would discontinue the Airport Rail Link in the next few months because the service was generating insufficient revenue.

He added that the service had witnessed high daily ridership of 36,000-38,000, with a peak of 40,000 per day. Therefore, it is impossible that the service would be discontinued.

The SRT is constructing links between the airport train with the Skytrain and MRT subway to provide more convenience to commuters.

SRT governor Yuthana Thapchareon said it was normal that the Airport Rail Link would lose money initially, as it had just commenced service.

The Airport Rail Link, which connects Suvarnabhumi Airport and downtown Bangkok, costs Bt70 million per month to operate versus monthly ticket revenue of Bt35 million. It is expected to become profitable in the sixth year of operation.

-- The Nation 2011-08-03

[tartempion]

However, the Express Line has just 300 to 400 passengers per day.

Exactly, that why the brilliant/clever management should dump the Express line and increase frequency to say every 7 minutes on the City line.

[webfact]

SRT Chairman: Authorities Working to Optimize Airport Rail Link

The permanent secretary for transport admits there are still flaws in the Airport Rail Link system, but that the authorities are working to optimize the system for passenger convenience.

He has dismissed speculation of a private takeover of the rail system.

Permanent-Secretary for transport and the chairman of the State Railway of Thailand or SRT board, Supoj Suplom said the Airport Rail Link is still operating normally and is not facing liquidity problems, since its funds are drawn from the SRT budget.

The SRT has vowed to continue to improve the Airport Rail Link and will not allow private companies to manage the operation, since public transportation takes some time to settle.

Nonetheless, Supoj admitted there are still certain weaknesses in the Airport Link system, which caused some inconveniences for passengers, and the SRT and related agencies are looking to improve the flawed areas to facilitate and attract more passengers.

The SRT plans to build a sky bridge, and expand its transportation system and parking lots, and it is discussing the possibly of slashing fares during rush hour.

The permanent secretary noted that Airport Link fares have been cut by 20 to 30 percent, attracting more passengers to use its services.

There are currently 40,000 passengers using the City Line and 2,000 using the Express Line per day.

The SRT aims to bring in 44 to 45 million baht per month from fares this year, or 500 million baht per year, while the current cost of operations is 800 million baht per year.

With passenger volume expected to increase by 2012, revenue will also grow from using free space to set up shops and stands, as well as an additional 150 million baht from advertising, so the Airport Link is likely to enjoy solid profit growth over the next five years.

Related agencies are currently talking with tour companies to lure more passengers to check in at Makasan police station.

Surapoj recently presided over the 7th International Road Technology Meeting in light of the 100th anniversary of the Transport Ministry, aiming to improve road technologies.

More than 450 engineering representatives from 24 countries attended the meeting until August 5.

The meeting was a coordinated effort between Chulalongkorn University's Engineer Faculty, The Highway Department, and the Transport Ministry.

-- Tan Network 2011-08-04

[theoldgit]

Related agencies are currently talking with tour companies to lure more passengers to check in at Makasan police station.

Checking in at a police station, now that's an interesting idea

[Soutpeel]

Related agencies are currently talking with tour companies to lure more passengers to check in at Makasan police station.

Checking in at a police station, now that's an interesting idea

I can picture now.....senior BiB working out what scams they can pull to increase their revenue stream from unsuspecting tourists..... ......sorry sir its illegal in Thailand to wear a loud shirt between the hours of 14:00 and 19:00 in an urban area, except during the Songkran Festival...THB 500 fine...

[smileydude]

I think Thailand should take a look at Hong Kong's Airport Railway link.

Build a bus terminal at Makassan station which provides free tranport service to most of the centrally located hotels

(or almost practically all the hotels like in HK would be even better).

I'm not into conspiracy theories but not sure if the taxi mafia's would lobby against that though.

[hughben]

It's very handy for me as when I visit Bangkok I stay near a station and can be in the center of town in ten mins as opposed to 40 mins in rush hour if I was in a taxi.

The SRT plans to build a sky bridge, and expand its transportation system and parking lots, and it is discussing the possibly of slashing fares during rush hour.

revenue will also grow from using free space to set up shops and stands

It is already packed during rush hour, so it'd be pointless slashing fares then. How are they going to get more people in an already packed carriage?

And why would a small business want to set up a stand at a station that has 2 trains every 20 minutes?

They need to get shut of the express and increase train frequency to that of the Sky train.

[AngelofDeath]

They can also start with improving the traffic condition on the road to improve the situation.

[RubbaJohnny]

I'll wager it'll go to an agency run by pals of the big snouts who'll turn it ino a big earner with concessions

Real error was makkasan terminal IMHO