By The Nation
The government will be open to private firms from all countries vying to take part in the Bangkok-Rayong and Bangkok-Chiang Mai high-speed-rail projects on an international bidding basis, Deputy Prime Minister
He made the remark after a meeting of the committee tasked to promote the private sector’s investment role on a private-public participation (PPP) basis. The committee chaired by Trairong convened to acknowledge the interest of the private sector in the two projects, which are worth more than Bt300 billion in total.
He said Japanese investors had asked whether the Bangkok-Rayong high-speed-rail project was open for investment on a PPP basis.
He said he would propose to the National Logistics Committee chaired by Prime Minister Abhisit Vejjajiva to consider whether a new company will be set up to run the two projects or if the government will assign the State Railway of Thailand to oversee them.
According to a Transport Ministry study, the Bangkok-Chiang Mai project is expected to cost Bt232.409 billion, with an economic-return rate of 13.58 per cent. If the government invests in the civil work and the private sector in the train system, the financial return will be 35.65 per cent. If both sectors invest on the even basis, the rate will be 2.30 per cent. If the state and the private sector jointly invest on a 70:30 basis, the rate will be 4.68 per cent.
The Bangkok-Rayong high-speed-rail project is expected to cost Bt74.865 billion with an economic-return rate of 13.5 per cent. If the government invests in the civil work and the private sector in the train system, the financial return will be 34.58 per cent. If both sectors invest on an even basis, the rate will be 2.90 per cent. If the state and the private sector jointly invest on a 70:30 basis, the rate will be 5.19 per cent.
