BSR Joint Venture still in running for Thailand’s high-speed railway project
8 February 2019
BSR Joint Venture, one of two contenders in the bidding for the high-speed railway project connecting three major airports, still has a chance to enter negotiations with the State Railway of Thailand (SRT) over the results of the bid, the SRT said on Thursday.
Even though the Charoen Pokphand Group (CP)-led consortium has offered the lowest bid, it has not yet been named the winner as its offer is subject to due diligence by the SRT’s bidding committee, SRT acting governor Worawut Mala said previously.
The CP-led consortium comprises CP, Bangkok Expressway and Metro Plc, China Railway Construction Corporation Ltd, Ch Karnchang Plc, and Italian-Thai Development Plc.
Despite the fact that BSR offered a bid above the cabinet-approved threshold, there isn’t any rule in the terms of reference indicating that it should be disqualified, Mr Worawut said.
BSR Joint Venture is made up of Bangkok Mass Transit System Plc, Sino-Thai Engineering and Construction Plc, and Ratchaburi Electricity Generating Holding Plc.
Negotiations between the SRT’s bidding committee and the CP-led consortium yesterday failed to come to any conclusion. The next round of talks is slated for Tuesday, according to a member of the committee.
The cabinet approved the valuation of the project at 119.4 billion baht. The CP-led consortium had offered 117.2 billion baht and BSR 169.9 billion baht, said Mr Worawut.
The SRT aims to get the negotiations with the CP-led consortium wrapped up this month.
“Details of these negotiations are confidential,” Mr Worawut said. “Wait until results of the negotiations are made public as they may defy people’s general expectations.”
The government expects the rail link project connecting Don Mueang and Suvarnabhumi airports in Bangkok with U-Tapao airport in the eastern province of Rayong to yield an economic return of 700 billion baht.