Japan Envoy Confirms Rail Funding

JICA will handle financing

Japanese ambassador to Thailand Kyoji Komachi, in talks yesterday with PM Office's Minister Veerechai Veerametheekul, said the Japan International Cooperation Agency (JICA) would handle the project financing in place of the Japan Bank for International Cooperation (JBIC).

The bank was incorporated with the cooperation agency late last year.

The Red and Blue lines are part of three new rail projects planned for Bangkok at a cost of almost 212 billion baht.

Construction of the new lines is to start this year. The three rail projects are the 23km Purple Line, from Bang Sue to Bang Yai; the 27km Blue Line, from Bang Sue to Tha Phra and from Hua Lamphong to Bang Khae; and the 70km Red Line from Bang Sue to Taling Chan and from Bang Sue to Rangsit. Completion is expected in 2013.

The Purple Line got cabinet approval in October 2007. The project owner, the Mass Rapid Transit Authority, signed an agreement on March 3, 2008, with JBIC for credit to finance the civil works.

CKTC Joint Venture led by Ch Karnchang is tipped to win the first contract of the 60-billion-baht electric train deal after tendering the lowest bid to build a section of the Purple Line.

The 79-billion-baht Blue Line was approved by the cabinet on Oct 2. The 13-billion-baht Red Line section from Bang Sue to Taling Chan is at the bidding stage while the 59-billion-baht Bang Sue to Rangsit section is subject to environmental impact assessment approval.