Siemens Interested in Investing in the Hualamphong-Mahachai Tram Project Worth 30 Billion Baht
The Ministry of Transport is attracting interest as Siemens expresses its intention to invest in the light rail system from Hualamphong to Mahachai, with a budget of 30 billion baht. The State Railway of Thailand (SRT) has locked in the announcement date for the winner of the high-speed rail connecting three airports on December 24, and has invited CP to negotiate a special proposal before unofficial results are summarized this week.
Mr. Suradech Thaveesangskulthai, CEO of Ch. Thavee Dollar Siam Public Company Limited (CHO), revealed that he has brought executives from Siemens Mobility Co., Ltd. and the management team of Samut Sakhon City Development to discuss with Mr. Phairin Chuchotitham, Deputy Minister of Transport, regarding the news that the Ministry of Transport is reviewing the suitability and feasibility of the red line extension project from Hualamphong to Mahachai to connect suburban travel to the main rail lines in Bangkok, alongside addressing traffic congestion as per government policy.
Mr. Suradech stated that he has initially proposed a new option to the Ministry of Transport to reconsider the feasibility of canceling the red line project in that section and constructing a light rail (tram) instead. The Samut Sakhon City Development Company and local residents want the government to expedite investment in this project to alleviate the public's difficulties, as they see it as a convenient and fast travel option for people entering central Bangkok through the government's planned public transport system.
However, the private sector, represented by Samut Sakhon City Development Company, is ready to invest in this project, just as Siemens Mobility Co., Ltd. has expressed interest in collaborating. After deciding to participate in the light rail project in Khon Kaen, they are also prepared to provide a feeder system with modern smart bus services to connect to each light rail station in the respective areas.
According to reports from the Ministry of Transport, the red line project from Hualamphong to Mahachai spans a total distance of 38 km. The average construction cost for the light rail is estimated at 1 billion baht per kilometer, depending on the complexity of the construction design. Therefore, the total investment value for this project, including civil works and vehicle procurement, will exceed 30 billion baht.
A source from the State Railway of Thailand (SRT) stated that the progress of the bidding for the high-speed rail project connecting three airports, valued at 215 billion baht, will move forward after both private companies pass the qualification stage. They will enter the phase of opening special proposals, which involve additional conditions similar to the technical proposal for determining the winner of the bid. This week, the SRT will begin inviting the private companies that submitted lower bids to negotiate first, namely Charoen Pokphand Holdings Co., Ltd. and its partners. If negotiations conclude successfully without issues, they will be selected as the project winner immediately. However, if negotiations are still ongoing, the BSR Joint Venture will be invited to submit proposals next.
If everything proceeds smoothly, the SRT has set the official announcement date for the results, along with the disclosure of all numerical proposal details, on Monday, December 24. Unofficial results are expected to be known on Friday, December 21, after the selection committee concludes its meeting.
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