Shortly after the National Legislative Assembly (NLA) passed the final reading of the draft Eastern Economic Corridor (EEC) bill on Thursday night, the government vowed to rev up international roadshows to lure foreign investors to the flagship scheme.
According to Industry Minister Uttama Savanayana, the draft EEC bill is scheduled to go before the cabinet for approval next week, while the government will set up a new board of directors for the EEC Office within 60 days and name a new secretary-general of the office within 90 days.
“The ministry plans to run the roadshows in Japan, China, the US and Europe, which are strong enough to improve Thailand’s targeted industries in the long run,” Mr Uttama said.
The EEC scheme replaces the Eastern Seaboard Development Programme, launched in 1982. The EEC spans three eastern provinces: Rayong, Chon Buri and Chachoengsao.
The Industry 4.0 policy focuses on 10 targeted industries: next-generation cars; smart electronics; affluent, medical and wellness tourism; agriculture and biotechnology; food; robotics for industry; logistics and aviation; biofuels and biochemicals; digital; and medical services.
Mr Uttama said the EEC law, once implemented, will help encourage foreign investment in the area and facilitate the development of key infrastructure projects in the EEC provinces.
The government earlier this month approved 168 infrastructure development projects worth a combined 989 billion baht for the EEC scheme.
The development will come in three phases: urgent, intermediate and long term.
The urgent phase, during 2017-18, aims to lure both domestic and foreign investment to the EEC; the intermediate phase of 2019-21 focuses on transport development; and the third phase, from 2022 onwards, aims to create sustainable development and bolster the infrastructure network to link neighbouring countries.
Of the total EEC infrastructure investment, government spending will account for 30%, with public-private partnerships making up 59%, state-owned enterprises 10% and the Royal Thai Army 1%.
According to Mr Uttama, the terms of reference (ToR), particularly for the highspeed rail network worth 210 billion baht linking three key international airports, are scheduled to be issued soon.
“We aim to have a contract signing by September for a high-speed rail network scheduled to start operation in 2023,” he said.
The ToR for the high-speed rail project and U-tapao airport expansion will be issued this month, he said, while those for the Map Ta Phut deep-sea port’s third phase will come in June, Laem Chabang’s third phase in August and the aircraft maintenance centre by next month.
The high-speed rail project and U-Tapao airport expansion are scheduled to start operation in 2023, while Map Ta Phut’s third phase is due to become operational in 2024, Laem Chabang’s third phase in 2025 and the aircraft maintenance centre in 2021.
Mr Uttama said the government expects actual private investment in EEC locations to start flowing from December onward.
Kanit Sangsubhan, secretary-general of the EEC Office, said the government believes that investors — particularly Chinese, Japanese and local ones — are keen to invest in the EEC.
The government expects investment applications for the EEC in 2018 to reach 300 billion baht, surpassing the earlier expectation of 200 billion baht.
The government envisions actual private investment in the EEC representing 30-40% of total applications.
The Board of Investment (BoI) predicts overall investment applications in 2018 to reach 720 billion baht, thanks to infrastructure megaprojects and the broader economic recovery.
In a related development, Deputy Prime Minister Somkid Jatusripitak yesterday urged Japanese investors from Kyushu island to invest more in Thailand, especially in the EEC.
He also asked Hitachi and JR Kyushu to join the bidding to construct a 220km high-speed rail system linking Bangkok and Rayong worth 236.70 billion baht.
The project will link Don Mueang airport with Suvarnabhumi and U-tapao, facilitating investment in the EEC.
