Three-Airport Rail Project Still Under Review
Thailand's transport ministry is reconsidering whether to terminate a joint venture for a high-speed rail project linking three Bangkok airports, with contract termination being just one option under review as construction costs have risen.
Transport Minister Siripong Angskakul stated that the decision to terminate the joint venture contract for the high-speed rail project connecting three airports—Don Mueang, Suvarnabhumi, and U-Tapao—is not yet final. He confirmed that contract termination is merely one option being submitted for consideration to the Eastern Economic Corridor committee (EECC), as construction figures and costs have changed. The ministry is examining how to complete the project connecting all three airports from Bangkok to the Eastern Economic Corridor, which may require exploring alternative approaches.
"We have not yet concluded which direction to take, as we must first consider budget, feasibility, return on investment, and joint venture terms," Siripong said. "Both the Missing Link railway option and proceeding with the high-speed rail must be presented as alternatives, since multiple approaches need to be considered together."
Regarding potential penalties if the contract is terminated, Siripong noted that the consequences would depend on determining which party breached the agreement. He expressed skepticism that resolution would be straightforward, predicting that both government and private sector would resist and the dispute would likely end in legal proceedings. When asked about compensation claims, Siripong acknowledged such compensation would likely be due, though the final outcome depends on which party is found responsible. He added that determining liability requires examining the main contract and any memorandums of understanding, as both the transport ministry and private sector may share fault for issues such as delayed land transfers and debt obligations.
Siripong reaffirmed that the state must protect its interests to the maximum extent possible. Deputy Prime Minister Pakorn Nilpraband, who handles legal affairs, stated he has not yet seen details of the contract termination proposal, as it remains under review by Thai Railways (SRT) and the Transport Ministry. When asked whether termination could be executed, Pakorn emphasized that his office must first examine the main contract and full details before offering legal guidance.
