When did Thailand start its development plans? When we think of development plans, we often think of comprehensive plans like the National Economic and Social Development Plan, which has a duration of 5 years. The first version, or phase 1, took place from 1961 to 1963, and we are currently on the 12th version, which is the 12th National Economic and Social Development Plan (2017-2021). This plan serves as a major guideline for the country's development direction across various strategies. One area that we are currently focusing on and closely monitoring is the Infrastructure Development Plan for Transportation.

            The latest strategy for Thailand's transportation infrastructure development covers the period from 2015 to 2022, or 8 years, with a total budget of approximately 1.9 trillion baht. It consists of 5 main projects:

  1. Development of intercity rail networks
  2. Development of public transport networks to address traffic issues in Bangkok and surrounding areas
  3. Enhancing highway capabilities to connect key production bases with neighboring countries
  4. Development of water transport networks
  5. Increasing capacity for air transport services

These 5 strategies include long-term infrastructure development plans from 2015 to 2022. The development plans will be categorized by transportation sectors but align with the 5 strategies, divided into:

  1. Land with a total budget of 623,608.75 million baht, or 6%
  2. Rail divided into:
  • Double-track railways with a budget of 494,460.96 million baht, or 85% (excluding the budget for standard gauge double-track rail investment of 1.435 meters)
  • Mass transit rail with a budget of 577,504.14 million baht, or 19%

The total budget for rail development is 1,071,765.1 million baht, or 56.05%

  1. Water with a total budget of 101,288.83 million baht, or 3%
  2. Air with a total budget of 50,068.10 million baht, or 62% (the air transport budget does not include the development of Suvarnabhumi Airport but includes the investment budget for U-Tapao Airport of the Navy)
  3. Connecting Bangkok and surrounding areas with a total budget of 65,750.81 million baht, or 44%

This year (2017), as we approach the end of another year, the infrastructure development plan for transportation has an action plan that includes projects that have been completed and are ready for service, as well as projects that are in the proposal preparation stage. In total, the action plan for 2017 includes 36 projects with a total investment of 893,774.09 million baht (excluding the budget from the Suvarnabhumi Airport development plan), categorized into 9 types of projects as follows:

In addition to the 36 projects mentioned above from the 2017 transportation infrastructure action plan, there are also 6 projects that need to extend their timelines for maximum benefit, which are part of the infrastructure development plan for transportation from 2015 to 2022 as well. These 6 projects include:

Development plan for double-track railways 2 routes (approved by the cabinet already)

  • From Nakhon Pathom to Hua Hin with a budget of 20,046 million baht
  • From Lopburi to Pak Nam Pho with a budget of 24,722 million baht

High-speed rail development plan 4 routes with a total budget of 701,231.45 million baht

  • Project from Bangkok to Hua Hin with a budget of 94,673.16 million baht
  • Project from Bangkok to Rayong with a budget of 152,538 million baht
  • Thai-Chinese project (Bangkok-Korat) with a budget of 229,614.29 million baht
  • Thai-Japanese project (Bangkok-Phitsanulok) with a budget of 224,416 million baht

This includes the investment budget from the infrastructure action plan for transportation from 2015 to 2017, which has a total investment of 1.9 trillion baht. The project development plan for 2017 has a total budget of 1.6 trillion baht, or about 84% of the total budget.

For the action plan for 2017, which is being implemented in the fiscal year 2017, there has been progress and an operational plan announced by the Ministry of Transport, version 462/2017, on May 1, 2017, which also includes various rail projects and other transportation systems that many people are following closely.

Group 1: Projects Ready for Service includes 2 projects:

1. Development of a ferry port connecting the upper Gulf of Thailand on the east and west coasts, the Pattaya-Hua Hin route, officially opened in February 2017.

2. A joint ticketing system project to connect the ticketing systems of the current and future electric trains, as well as connecting with the ticketing systems of buses, passenger boats, and expressway systems. Currently, negotiations are ongoing with the operators of the Green Line, Blue Line, Purple Line, and Airport Rail Link to enable the public to use the joint ticketing system as soon as possible.

Group 2: Projects that have commenced construction includes 5 projects:

  1. Chiang Khong freight transport hub, the Department of Land Transport is in the process of selecting a contractor and proposing private investment.
  2. Development of regional airports has begun with improvements at 2 locations: Mae Sot Airport in Tak and Sakon Nakhon Airport.
  3. The Rama 3 - Dao Khanong - Outer Ring Road project is being prepared for submission to the Cabinet for project approval.
  4. Construction of double-track railways from Hua Hin to Prachuap Khiri Khan is in the process of revising the bidding conditions (TOR) and the average price.
  5. Improvement of the baggage handling system at Suvarnabhumi Airport will go to bidding in May - June 2017.

Group 3: Projects Ready for Bidding includes 15 projects:

  1. Purchase of 200 electric buses and construction of charging stations has announced the draft TOR on the Bangkok Mass Transit Authority's website.
  2. The Blue Line project from Bangkae to Phutthamonthon Sai 4 will proceed to bidding between April - September 2017.
  3. The Light Green Line project from Samut Prakan to Bang Pu will proceed to bidding between July - December 2017.
  4. The Dark Green Line project from Kukot to Lam Luk Ka will proceed to bidding between July - December 2017.
  5. The Orange Line project from Taling Chan to the Thailand Cultural Center is under review of the construction cost framework and will proceed to bidding between July 2017 - May 2018.
  6. The airport rail link extension project, Phase 1 from Phaya Thai to Bang Sue will proceed to bidding between June - December 2017, and Phase 2 from Bang Sue to Don Mueang will proceed to bidding between February 2017 - January 2018.
  7. The Dark Red Line suburban rail project from Rangsit to Thammasat University Rangsit Center will proceed to bidding between September 2017 - March 2018.
  8. Construction of double-track railways on 7 routes, including from Pak Nam Pho to Den Chai, Jiran Road Junction to Ubon Ratchathani, Khon Kaen to Nong Khai, and Chumphon to Surat Thani will proceed to bidding between May - October 2017. The routes from Surat Thani to Hat Yai - Songkhla, Hat Yai to Padang Besar, and Den Chai to Chiang Mai will proceed to bidding between July - December 2017.
  9. The aircraft maintenance, repair, and overhaul (MRO) center at U-Tapao Airport is expected to be presented to the Cabinet for project approval by August 2017.

Group 4: Projects Proposed to the Cabinet or the PPP Committee includes 8 projects such as the construction of double-track railways from Den Chai to Chiang Rai - Chiang Khong, the construction of double-track railways from Ban Phai to Mukdahan - Nakhon Phanom, the light red suburban rail system from Taling Chan to Siriraj and from Taling Chan to Salaya (adding Bang Krui - EGAT station and Rama 6 Bridge), the development of Laem Chabang Port Phase 3, the expressway system Phase 3 North Line N2 and E-W Corridor on the east side, the Kathu - Patong expressway project in Phuket, the intercity highway from Nakhon Pathom to Cha-am, and the border transport center project in Nakhon Phanom.

Group 5: Projects for which agencies have completed project proposals includes 4 projects: the development of a ferry port connecting the upper Gulf of Thailand on the east and west coasts in the long term, the intercity highway from Hat Yai to the Thailand/Malaysia border, the development of 9 border city freight stations, and the development of 8 main regional freight stations.

Group 6: Important projects that need to be pushed forward includes 2 projects: the development of truck rest areas along the main freight transport routes of the country (Buriram, Udon Thani, and Kamphaeng Phet) and the construction of a mass transit system in Phuket.

            As we approach the end of 2017, many may want to know the progress of various development projects throughout the year. TerraBKK will continue to provide updates on other infrastructure development projects - เทอร์ร่า บีเคเค

Article by: TerraBKK Investment Tips

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