High-level delegation to pursue rail talks in China

A government delegation led by Deputy Prime Minister Suthep Thaugsuban is scheduled to visit China this month to invite private investors to participate in high-speed train and double-track railway projects in the Kingdom, following the visit of Premier Abhisit Vejjajiva late last month.

A Transport Ministry source said the delegation would also comprise Transport Minister Sophon Saram and other high-ranking ministry officials, including representatives from the Office of Transport and Traffic Policy and Planning (OTP).

The source said the delegation would open talks with representatives of China's government and its largest state-owned railway construction enterprise, China Railway Engineering, in regard to Thailand's high-speed train and double-track railway projects, in which China had previously expressed investment interest.

The government will then use the results of the negotiations in drawing up a policy for the Kingdom's railway system, said the source.

"The move follows a conversation between Prime Minister Abhisit and the chairman of China Railway Engineering during his visit on June 24-27, in which the Chinese authorities said they would be pleased to support the government's mega-investment projects under the second stimulus measures," said the source.

The source said the Chinese side would study project details to determine whether investment was worthwhile.

The two projects were part of the country's strategic development for mass-transit and logistics systems initiated by the Samak Sundaravej government.

Under the plan, Samak agreed to develop and construct the 2,344-kilometre double-track railway project to connect with the logistics system in the region, expecting this to turn Thailand into a logistics hub for Indochina. The railway would have a standard-gauge size (1.435 metres wide).

The project would be developed under a budget of Bt367 million and consist of five routes: Chiang Khong-Den Chai for a distance of 326 kilometres; Den Chai-Ban Phachi junction (470km); Nong Khai-Nakhon Ratchasima-Kaeg Khoi junction-Ban Phachi junction-Nong Pladuk junction-Kanchanaburi (990km); Kaeng Khoi junction-Chachoengsao-Laem Chabang (247km); and Thanon Chira junction-Ubon Ratchathani (331km).

Samak also agreed to open it for private firms to participate in terms of constructing railways and operating lines by paying the State Railway of Thailand (SRT) concession fees. As a result, the investment will not be a burden on the government.

In addition, the Samak government agreed to develop a high-speed train project with speeds of more than 160kph from Bangkok to large cities that have tourist attractions.

The project would comprise four routes: Bangkok-Nakhon Sawan for a distance of 231km; Bangkok-Nakhon Ratchasima (266km); Bangkok-Hua Hin (200 km); and Bangkok-Chanthaburi (300km).

The OTP, the SRT and other agencies have been assigned to work out the construction cost.

Meanwhile, Transport Ministry deputy permanent secretary Tawalyarat Onsira, as chairman of the SRT, recently said the authority had to wait for a policy on the two projects from the government before it could take any action.

"If China is interested in the projects, it would be good for the country to link its trade and logistics between the two countries," he said.