Thai Expressway Authority announces development of road networks, the Phuket Expressway and the Kaset Expressway (section N2 eastern Bangkok)
More than 30 billion baht to be used to fund two major road projects as EXAT enjoys increase in profits in 2024 on the back of staff cuts
The Expressway Authority of Thailand (EXAT) has announced a significant investment of over 30 billion baht in two major road projects, the Phuket Expressway and the Kaset Expressway.
This news comes as EXAT revealed its 2024 financial results, showing a healthy 3% rise in profits to 19 billion baht on revenues of 19.18 billion baht.
EXAT Governor, Surachet Laophulsuk, attributed the profit increase to cost-cutting measures, including staff reductions achieved through the introduction of new technologies. Employee numbers have fallen from 5,500 to around 5,000.
Looking ahead to 2025, EXAT aims to further develop its road network and boost revenue. The two flagship projects, with a combined investment exceeding 30 billion baht, are the third phase of the Northern Expressway (N2 section, Prasert Manukitch Road to the Outer Ring Road of Bangkok) and the Kathu-Patong Expressway in Phuket.
The projects are expected to be presented to the Thai cabinet for approval in the first quarter of this year, with bidding to commence soon after. EXAT anticipates awarding contracts to private companies by October, with construction beginning in early 2026 and completion targeted for 2029.
Surachet confirmed that the Phuket Expressway project will be implemented in two phases.
The first phase, a 3.98-kilometre tunnel section between Kathu and Patong, will be prioritised due to its complex construction and estimated four-year completion time.
The second phase, a 30.62-kilometre stretch from Mai City to Koh Kaew and Kathu, is expected to be submitted to the Cabinet in 2026, with completion also anticipated around 2029.
Thai Expressway Authority announces development of road networks
The Phuket Expressway will operate under a Public-Private Partnership (PPP) Gross Cost model, with the government collecting all tolls and compensating the private operator.
Beyond these new expressways, EXAT is also seeking private investment in commercial developments located beneath existing roads, such as a 4.5 rai (approximately 1.8 acre) site under the Ploenchit Expressway, and a 60 rai roadside rest area development near Bang Pong.
The latter project, with an estimated investment value of 2.32 billion baht, will operate under a PPP Net Cost model. This project is currently under review by the State Enterprise Policy Office (SEPO) and is also expected to be submitted to the Cabinet this year.
Source: https://www.nationthailand.com/business/economy/40046109
