Phiphat confirms the Airport Rail Link will not stop running on 1 Oct. He orders SRT to negotiate with the private operator to continue running trains for 2-4 months during the transition, while accelerating train repairs and opening commercial spaces to offset monthly losses of 30 million baht.
Deputy Prime Minister and Minister of Transport Phiphat Ratchakitprakarn He revealed this after discussions with the State Railway of Thailand (SRT) regarding solutions to the issue involving Asia Erawan Company Limited (a CP Group subsidiary), the concessionaire for the high-speed rail linking three airports and the operator of the Airport Rail Link, whose contract ends on 30 September 2024.
Phiphat stated that the Ministry of Transport assures it will take all possible measures to prevent any impact on the public. From 1 October onward, the Airport Rail Link will continue normal service, even if SRT must bear costs or losses during the transition period.
Initially, the Ministry of Transport has assigned SRT to negotiate with the current private operator to manage train operations for an additional 2-4 months. This is to buy time for SRT to prepare for taking over operations.
For the long-term plan, SRT will assign its subsidiary company to manage operations. The plan includes rehiring some experienced staff from the current operator alongside allocating personnel from SRT's subsidiary to ensure smooth and continuous service.
Beyond management issues, there is a problem with the number of trains available for service. Inspections found that, whereas 9 trains were originally required daily, only 4 trains are currently operational due to detected wheel wear issues.
The operator is now expediting careful repairs, aiming to increase the number of operational trains to 5-6, and then 7 within 2-3 days to reduce congestion and adequately accommodate passengers.
Phiphat explained further the financial burden SRT must assume upon taking over operations. Currently, Airport Rail Link operations are projected to lose about 30 million baht per month, approximately 360 million baht annually.
To address this, SRT needs to increase revenue, especially by developing unused spaces within stations for commercial use. They plan to invite private sector tenants to rent areas for selling goods and services, with this income helping to reduce operational losses.
Regarding financial terms that the private operator might propose for a temporary contract extension, no official conclusion has been reached yet. However, the Ministry of Transport is fully supporting SRT and will jointly discuss potential funding sources to subsidize expenses.
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