“Bangkok Council” approves establishment of a special committee to consider paying off BTS debt of 1.45 billion baht.
“Bangkok Council” greenlights the establishment of a special committee to consider paying off BTS debt of 1.45 billion baht, setting a deadline for consideration to be completed within 30 days to consider the principles of the draft ordinance.
On September 12, 2567, Mr. Chatchart Sittipunt, Governor of Bangkok , revealed during a meeting of the Bangkok Metropolitan Council (BMA Council ) yesterday (September 11) that the BMA intends to settle the debt as ordered by the Supreme Administrative Court, which is for the operation and maintenance (O&M) of the Green Line Skytrain project. The BMA Council has already approved this expenditure from its accumulated reserves. According to principle, an additional budget allocation for fiscal year 2567, not exceeding 14,549,503,800 baht, has been prepared as a special expenditure from the BMA's accumulated reserves. Therefore, approval from the BMA Council is being sought.
Mr. Chakkaphan Phiangam, Deputy Governor of Bangkok, added that if they cannot approve this sum of money by September 30, 67, which falls within the 2567 fiscal year, it will drag on into the 2568 fiscal year, affecting debt repayment and interest rates. Therefore, they must try to obtain approval from the Bangkok Metropolitan Council for this sum of money within the 2567 fiscal year. The debt repayment process will be the next step.
The Bangkok Council meeting resolved to appoint a special committee to consider the draft of the Bangkok Metropolitan Administration Regulation on the additional budget for fiscal year 2567 (No. ...) B.E. ... before accepting the principle, consisting of 24 people, with a consideration period set within 30 days to consider the principles of the draft regulation.
However, many Bangkok council members have raised questions about the BMA's debt payment to BTS, such as:
Mr. Peerapol Kanokwalai, a Bangkok City Council member for Phaya Thai district, questioned why the Bangkok Metropolitan Administration (BMA), which owns the property, is the sole profiter while the operator of the rail system is the only one making profits. He also asked why the BMA has to pay such a high price as claimed in the lawsuit, and whether BTS's method of demanding repayment from the BMA through the media is legally appropriate, as well as any irregularities in the contract. He urged the city council to carefully consider these matters on behalf of the public.
Mr. Sutthichai Veerakulsoontorn, a Bangkok City Council member for Chom Thong district, raised concerns about the details of the debt repayment, including whether the annual interest rate, the total amount payable, and the daily interest calculation were reasonable.
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