Will Bangkok mass transit projects get off the ground
if the PPP is dissolved?
By Jon Fernquest |
Almost every article in the Bangkok Post today seems to mention the ominous prospect that the current political party in power, the PPP, might be dissolved.
If the PPP is dissolved, then the current government will also be dissolved, leading to yet another round of elections.
Assuming that the PPP is able to regroup (into effectively TRT III) and win the elections once again, this could be the beginning of an endless merry-go-round for Thai politics with no end in sight for the negative effect of political uncertainty on business.
Today's front page article in the business section discusses the impact such a decision might have on mass transportation projects in Bangkok.
Check out maps of the proposed Bangkok mass transit system.
Here is the article in full:
INFRASTRUCTURE
Politics threatens to derail transit
Party dissolution case hangs heavy on plansKANANA KATHARANGSIPORN
Tuesday March 25, 2008
After a few months' respite, politics has returned to haunt the planned megaprojects, on which bids will be called this year for completion in 2012.
Transport Minister Santi Prompat said the hot issue of whether the People Power Party would be dissolved for election fraud had worried both the government and civil servants responsible for getting the big-ticket projects off the ground.
|
"The megaprojects need to move on after years of delay. Barring political change, they will be completed as scheduled," he said yesterday at a seminar on the economy, held by Nation Multimedia Group.
Prapat Chongsanguan, the governor of the Mass Rapid Transit Authority (MRTA), said politics was the key to make or break the megaprojects.
In any case, the MRTA's plan to sign a contract with the Japan Bank for International Co-operation (JBIC) next Monday will mark the first concrete step toward starting to build the projects.
The contract will be for a soft loan worth 140 billion baht at an annual interest rate of 1.4% for 25 years. The loan will be used to finance the first phase of the megaprojects worth about 260 billion baht for six routes:
- the Purple Line (Bang Sue-Bang Yai), for which bidding documents will be sold in April;
- Blue Line (Hua Lamphong-Bang Khae);
- Light Green Line (Mor Chit-Klong 4);
- Light Green Line (Bearing-Bang Pu);
- Red Line (Bang Sue-Taling Chan); and
- Red Line (Bang Sue-Rangsit) in June-August.
Mr Santi said another source of funds would be from government bonds worth 95 billion baht with 30-year terms and guaranteed by the government, and more than 10 billion baht from the government's budget.
The megaprojects aim to reduce car use by 60% and save up to 100 billion baht in the first phase and 200 billion in the second phase, or the extension of the first phase, which will start next year with a budget of 510 billion baht.
"After signing contracts with contractors, they [new mass-transit routes] will take three years to complete construction," said the minister.
He added that each station would have a feeder system where a bus terminal would be located. Designed by the MRTA, the feeder system would provide parking lots for 10 buses at small stations and 20 for larger ones. If the nine routes are completed, there will be a total of 276 stations.
Atip Bijanonda, president of the Thai Condominium Association, said the government should complete the first three potential routes - Purple, Blue and Red Lines. "If we attempt to build all nine routes [at the same time], completion may be only 2% for each line," he said. "The timeframe should also be clear as other investment and development plans will not get stuck.
"We developers invested in advance in property projects near new mass-transit routes as land prices will soar when they are completed," he said, adding that land prices in Nonthaburi along the Purple Line had already doubled.
He said the development plans for the megaprojects should be integrated. For example, there should be incentives or bonuses for any condominium located within 500 metres from mass transit.
The building control law should also be amended to cut down on the parking space at buildings near mass transit in order to limit car use, he said. But the current regulations call for too much parking space for buildings in the city, which just encourage the use of cars.
(Source: Bangkok Post, business section, page B1, 25-03-09, temp-link)
Vocabulary:
ominous - creates a worried feeling that something unpleasant is about to happen
the prospect that Y - the possibility that Y might happen (See glossary)
a round - a series of related events (for example, a round of talks or a round of golf)
another round of elections - yet another series of main election followed by local by-elections if there are problems (and I suppose yet another senate election)
effectively - a reasonable general description of a situation, not accurate in every detail
a merry-go-round - an amusement park ride with a platform that goes around and around with passengers sitting on wooden horses or animals that move mechanically up and down to simulate galloping (See Wikipedia on carousel)
no end in sight - cannot see the end of something (you'd like to see end)
mass transit - public transportation such as subway, bus, elevated train, train, light rail, etc.
derail - prevent from continuing as planned
respite - something unpleasant halts for a short period of time (for example, we were so happy to get a few days respite from the constant jackhammering of the concrete in front of our apartment)
after a few months' respite - something unpleasant stopped for a few months
returned to haunt Y - some negative factor of the past has returned
dissolve - officially end and break up
fraud - the crime of gaining by lying or tricking
political party dissolved for election fraud - political party officially ended for election fraud
party dissolution - the official ending and breaking up of a political party
civil servants - people who work for the government for their career
big-ticket projects - expensive projects, with large budgets
get off the ground - when a project finally begins after a delay (and starts functioning)
completed as scheduled - project completed on time without delays
barring X, Y will happen - Y will happen, but if X happens it might not
Mass Rapid Transit Authority (MRTA) - the government agency responsible for mass transportation in and around Bangkok, founded in 1992 under Prime Minister Anand (See website and Wikipedia on Bangkok Metro)
Japan Bank for International Co-operation (JBIC) - (See website)
concrete - definite and specific
the first concrete step toward Y - the first time anyone has done something definite and specific to achieve goal Y
feeder system - smaller transportation routes feeding into larger ones (for example, take a local bus to the subway and take the subway downtown)
a timeframe, time frame - the length of time during which an event happens or develops
incentives - rewards given for behaving in a certain way
a law amended - a law changed
