The Bangkok Metropolitan Administration (BMA) will early next year allow private firms to bid for the contract to operate the Green Line Skytrain system after the concession held by the Bangkok Mass Transit System Plc (BTSC) ends in 2042, Bangkok governor Aswin Kwanmuang said.
The new concession, which will be in the form of a public-private partnership (PPP) contract, is expected to last for 24 to 25 years, Pol Gen Aswin said.
The bidding is expected to open in January.
He made the remark after a memorandum of understanding was signed recently to transfer the property of the Green Line's two extensions from the Mass Rapid Transit Authority of Thailand (MRTA) to the BMA.
The MRTA has built the extensions to the BTS Green Line -- from Mo Chit to Khu Khot in Pathum Thani and from Bearing to Samut Prakan.
Both are extensions to the existing BTS Green Line which terminates in Bangkok. The current BTS train lines are operated by the BTSC.
After the ownership transfers, the BMA will shoulder the payment of about 100 billion baht in debts and other costs related to the construction of the extensions.
Of that amount, about 50 billion baht is for construction costs, 20 billion baht is related to the installation of signalling systems, and an estimated 20 billion baht is being set aside for interest payments over a 10-year period, Pol Gen Aswin said.
There are conditions for being granted the contract. The winner of the concession will be required to shoulder all the debt and pay it back to the MRTA within 10 years; train fares must be capped at 65 baht along the entire route; and returns must be offered to the BMA for 14-15 years after all of the debts have been paid off, Pol Gen Aswin said.
He said he had informed the BTSC of the conditions if it wants to join the bidding and continue to operate the Green Line system.
At present, the BMA must pay the MRTA over 100 billion baht in fees and interest.
