Asia Era One rail consortium presenting new proposal for revising the contract for the high-speed 3 airport rail line
The Asia Era One rail consortium, led by the Charoen Pokphand Group, is presenting a new proposal for revising the contract for the high-speed rail line that links Don Mueang, Suvarnabhumi, and U-tapao airports, according to news reports.
Originally slated to span 220 kilometers with an estimated cost of 224 billion baht, the project was scheduled to commence operations this year.
However, the COVID-19 pandemic has delayed the expected operational start to 2028.
Consequently, the financial implications of the pandemic have prompted Asia Era One and the involved parties to contemplate modifications to the contract.
According to the original contract terms, the consortium possesses the right to manage the Airport Rail Link, requiring a one-time payment of 10.6 billion baht to the State Railway of Thailand (SRT), initially scheduled for 2021.
However, the consortium approached the previous administration seeking approval to stagger the payment over seven installments.
It was anticipated that the revised contract would be signed by May of this year.
Presently, the consortium is proposing an alternative concession: co-constructing the Bang Sue-Don Mueang stretch, valued at 9 billion baht, instead of making the full 10.6 billion baht payment to the SRT, according to news reports.
A new round of negotiations is scheduled for April, with the SRT aiming for the negotiations’ conclusion within the month.
The new contract could then be used to seek incentives from the Board of Investment, facilitating construction to commence by year’s end.
Source: Seen on X
