BANGKOK SUBWAY LATEST NEWS - MARCH 2004-APRIL 2004
If you need help with the acronyms in these articles,
see Thai alphabet soup
& 2b glossary
Subway test runs
- translated and summarized by Wisarut Bholsithi from Thairath,
April 12, 2004, Dailynews, April 12, 2004, and Bangkok
Biznew, April 12, 2004
MRTA Governor said Minister Suriya will come to open the subway
system for a test run at 9am on Songkran Day in Thai Cultural Center
Station along with representatives from MRTA and BMCL. [There will
be a giant mural unveiled.]
The test run period from 10am to 2pm from April 13 to 18 will be
arranged as follows:
Odd days (April 13, 15, 17): 9 stations open: Hua Lamphong, Kong
Toei, Queen Sirikit, Phetburi, Thai Cultural Center, Sutthisarn,
Lad Phrao, Chatuchak Park, and Bangsue.
Even days (April 14, 16, 18): 10 stations open: Hua Lamphong, Kong
Toei, Sukhumvit, Phra Ram 9, Huay Kwang, Ratchadaphisek, Lad Phrao,
Phaholyothin, Kamphaengphet and Bangsue.
Those who receive the free tickets must come to the station at the
time dictated by the tickets even. They can take a free ride and
then come out of the station only once.
The free rider can hang around the subway stations until 2pm. The
ticket will be invalid after coming out of the stations. Furthermore,
free riders must strictly follow the instruction of the BMCL-MRTA
officers--no food and drink allowed. No pets allowed except guide
dogs for the blind. No flammable items or suitcases allowed. Further
details on the May free rides will be reported later on.
Since subway system is very new, MRTA has to limit the number of
free rides to 300,000 and they have to ensure a fair ride to all
Bangkokians. MRTA and BMCL officers work hard to handle the security.
The ticket system will use the smart card system which allow passengers
to enter into the system without pushing the ticket into the ticket
readers at all. Female passengers can even keep their tickets inside
their bag and just allow zip through the gate and that's all [like
the subway system in Hong Kong].
Furthermore, MRTA will have regular and adequate elevators for the
handicapped and escalators in all gates.
MRTA is the 7th subway system in Asia - 15-30 m deep from the ground
level (4-10 floor building). The stations are 18-25 m wide and 150-200
m long with 2 floor, 3 floor and 4th floor structures according
to the condition of the land. The station design is simple, clear,
with soft tones, and has no blindspots, no garbage bins or benches
so that terrorists will not be able to hide nerve gas to choke the
passengers.
Even though this subway line has not reached suburbs yet since the
route is still within the central business district, it better than
having no mass transit system at all. At least, this will cut some
traffic for a better quality of life.
Tickets can be bought either from vending machines which sell smart
tokens or stored-value Smart cards. Ticket price will be 14-36 baht
(14 + 2 * No. of Station) even though the first year rate will be
12-34 baht. Children below 12 and those over 65 will be discounted
by a half. There are two Park and Ride facilities--Lad Phrao (2200
cars) and Thai Cultural Center (200 cars).
Passengers will place tokens or smart cards into the readers and
then the gate will open and the passengers will go down to platforms
with screen doors. The inbound and outbound rails are at the same
level except Sam Yan, Silom and Lumphinee which have to be 4 floors
due to the space constraints.
Screen doors will cut energy bills and make a safe ride since it
will open only after the subway parks at the correct position. We
can see only lights along the tunnels and lights inside the subway
cars. It take 30 minutes to ride from Hua Lamphong to Bangsue and
the rush hour interval will be 2-4 minutes. The full service hours
will be from 5am to midnight.
The security forces inside Subway have been authorized to arrest,
check the passengers, and carry weapons at every station. There
are also local police forces who take a look around the subway stations
as well. Every station has cameras to monitor every spot inside
the station.
The gates and open sections above ground are 1.5 meters high from
the ground to prevent flooding. There will be a collecting pool
to trap the water before it enters the station and the pumps to
push the water out. Stations and subway cars will use nonflammable
materials. Even the flammable parts will not emit poisonous fumes.
There will be an automatic fire extinguisher to quell the fire in
45 minutes and the evacuation will be done in 6 minutes according
to international standard.
Wisarut's free ride -
April 13, 2004
Wisarut received his free subway tickets. Here's how he will use
them: I just received two tickets from BMCL. Both tickets said
you can go to Subway stations on April 18, 2004 (Sunday) and I must
come to Phaholyothin Station on time (10am-11am). Otherwise, you
will be disqualified.
I guess that those journalists as well as politicians will make
the first test run at 10am on April 13, 2004 at Thai Cultural Center
Station while those lucky few will have the first ride at Chatuchak,
Hua Lamphong,Hua Lamphong, Kong Toei, Queen Sirikit, Phetburi, Sutthisarn,
Lad Phrao, Chatuchak Park, and Bangsue.
However, the common men like me will have to wait until Sunday April
18 to have a free ride (at Hua Lamphong, Kong Toei, Sukhumvit, Phra
Ram 9, Huay Kwang, Ratchadaphisek, Lad Phrao, Phaholyothin, Kamphaengphet
and Bangsue).
According to my plan, I will go to either Kamphaenphet or Phaholyothin
even though I found that I need go to the right gate in addition
to the right station. However, I will get out at Bagsue Station
at around 2pm. I hope that I will be able to take a photo even though
photo restrictions will be applied inside the subway stations to
prevent terrorists to get information about the stations so they
can plant a bomb.
MRTA Subway - Impoving
our mass transit - by Dr. Samart Ratpolasit
- translated and summarized by Wisarut Bholsithi, April 12, 2004
The grand engineering task which they said was impossible due to
soft clay and the underground water table has become a reality after
the test run on April 13, 2004--the MRTA Subway.
Even though MRTA subway is not at very first subway system in the
world or even Asean, the technology is definitely second to none.
The first subway system in the world opened on Jan 10, 1863 in London.
There were hundreds of thousands waiting in line along subway stations
but only 40,000 passengers had a first ride. It took 33 years for
Britain to build the first subway line--after a proposal in 1830.
The first Asian subway system opened in Tokyo on December 30, 1927.
The first line was 2.2 km long connecting Ueno and Asakusa. The
designers of Mitsukoshi Department Store had the advertisement that
it was "The only subway line in the Oriental World." Mitsukoshi
department store has contributed to TRTA in such an extent that
TRTA has used the name of this department store as the name of Tokyo
subway station that was close to the store.
This ad had effectively drew ten thousands to those who live in
Tokyo to line up at the subway station to have the first ride even
before the opening at 6am on December 30, 1927.
This Tokyo subway line carried 70,000 passengers on new year's eve,
1928. Now the Tokyo subway system has grown into a 300-km giant.
Only London and New York City subway systems are more complex network
that Tokyo system. The first subway line in Asean was Singapore's
opened in 1987.
It took 6 years to make the Bangkok system a reality. Each drill
that dug subway tunnel had the drilling rate of 10 m/day/set. There
were very few traffic interruptions during the construction which
is very good. Those who came to see subway construction said Thai
engineers could drill to make subway tunnels and construct stations
to become an underground city.
No need to worry about floods since the gates have been constructed
2.5m higher from Thai standard sea level at Kho Lak. Thus, flooding
would be a serious problem after the flood has reached 3.5 m level.
The subway cars will use nonflammable materials. Even the flammable
parts will not emit poisonous fumes. There will be automatic fire
extinguishers to quell the fire in 45 minutes and the evacuation
will be done in 6 minutes according to international standard.
Every subway station is equipped with elevators and ramps for the
disabled which many other systems in other countries still have
not installed yet. It is up to the government to make a new BMTA
air-conditioned bus to have the access for the handicapped in every
buses so they can ride the bus to the subway stations.
It is a fair deal to pay the ticket at 14-36 baht after August 12
in exchange for this comfort. Even though there is a park and ride
facility at Lad Phrao and Thai Cultural Center, there are not many
people to use such facility since the line does not extend close
to the suburbs. Only massive expansion will solve this problem.
I hope that the government can do it.
The nationalization plan of
BMCL and BTSC is good for the country
- translated and summarized by Wisarut Bholsithi from Siamturakij,
April 4-11, 2004
The price tag for BMCL (the
subway company) is 25 billion baht (for stock as well as other
hardware) while the price tag for BTSC (the
Skytrain company) is 30 billion baht. The Government is negotiating
with KfW and Siemens about the nationalization plan which allows
75% ownership by the government (MOTC + MRTA) and 25% for creditors
and people after offering an IPO. The ratio can be changed to
51:49 so as to allow the strategic partners to handle projects.
However, the IPO must take public interest into account to ensure
that the funds from IPOs will go directly to investment on extensions,
improving facilities including new sets of subway rolling stock,
as well as a local assembly line to allow local made rolling stock.
The funds for this purchase will come from 30-year Wayuphak funds
with 4% annual interest rate and the government will take a responsibility
when the interest is higher than the principle.
So far, BTSC creditors (IFC and KfW) agreed to cut 14 billion
baht debts (35%) but the government wants even more cuts so as
to put BTSC under the budget of 30 billion baht.
Earlier: Suriya
boasting that negotiations with Skytrain creditors successful
- translated and summarized by Wisarut Bholsithi from Thairath,
April 7, 2004 and Manager Daily, April 7, 2004
And Bangkok Post has the response to this: Skytrain
chief lashes out at takeover talk Demands state deal with BTSC
directly - Bangkok Post, April 8, 2004
Earlier: BMCL would
sell the subway at 35 billion baht to reap 200% profit - Prachachart
Thurakij, April 1, 2004
Earlier: More on buying
the subway - Government counters 300 baht per share offer by offering
to pay 1 baht per share
Wisarut reports: I have been to the following
subway stations and here are some comments.
1) Suan Chatuchak - very spacious - even though Thai Cultural Center
Station is the spaciest of all. I met a middle age men who said
he has worked for ITD as workers to construct both Skytrain and
Subway. I suggested him to tell the stories to his children and
and ask his children to write down the tales as the way to keep
the stories about the construction of both systems alive.
2) Sukhuimvit - pretty small station... needs a 4th gate at the
building opposite Soi Cowboy [Emporium side] after the construction
of the derelict building there becomes a reality.
3) Queen Sirikit - pretty big, but no traditional Thai decoration
yet. The air-condition at the ticket purchasing level looks salty
and the air condition at the platform level has chemical odor. The
officers said they will make a weekly cleaning of the air-condition
and may have to perfume the air-condition as monthly basis.
4) Klong Toei - pretty small, but tolerable
5) Lumphinee - an uncle who lives in Bon Kai complained that this
station has too few gates. He has either to pay 14 baht to ride
subway to Silom for the morning or evening exercise at Lumphinee
Park or has to walk through the smoking Rama 4 Road to enter into
Gate 2 at Witthayu Intersection to go across the street.
6) Silom Station - needs two new gates near Surawongse Intersection
and Chulalongkonr Hospital. The escalators are very steep. The escalators
at Lumphineee station are very steep as well! if you go in the wrong
direction at Silom and Lumphinee (either head to Bangsue even though
you want to go to Hua Lamphong or vice versa), you will be exhausted
from either climbing up or down the stairs.
7) Hua Lamphong - this one has a via duct to Hua Lamphong Main Railway
Station. The display under the glass pyramid is the foundation stone
laid by HRH The Crown Prince.
Photos of some of the stations are here: First
looks at the Phetchburi, Queen Sirikit Convention Center, and Hua
Lampong subway stations
BMCL would sell
the subway at 35 billion baht to reap 200% profit
- translated and summarized by Wisarut Bholsithi from Prachachart
Thurakij, April 1, 2004
[This is more on the back and forth of the nationalization of
the subway and Skytrain: More
on buying the subway - Government counters 300 baht per share
offer by offering to pay 1 baht per share]
BMCL said they are willing to sell 100% of BMCL stocks at the
premium to be worthy for investment--and compensating BMCL for
not offering an IPO. The right to buy at par has already expired.
If the government going to buy BMCL so as to integrate with BTSC
and use the same smart card tickets, that would be very nice sine
ii would cut travel expense. The joint ticket system is not conceived
yet.
BMCL has delayed the IPO to the 3rd quarter to see the result
of the subway opening> Furthermore, the bear market condition
has deterred them from offering IPOs. BMCL has already broke the
100 baht/share into 1 baht/Share (with a hundred fold increasing
in the number of shares) and changed the company name by adding
"PCL."
The registered capital has been boosted from 7.050 billion baht
to 10 billion to cut down the 12 billion baht debt and need to
buy 2-3 sets of rolling stocks to add into the existing 19 sets
for future expansion.
The expected number for the first year is 250,000 passengers a
day (3/4 of the daily passengers of the Skytrain) to increase
5-7% next year.
BMCL said they might sell 25% of stocks at par (1 baht/share)
but the other 75% must be sold at 3 baht/share--as a way to clear
up 12 billion baht debt.
After selling according to the scheme, the government has to find
35 billion baht in cash to pay BMCL--covering the investment of
18 billion baht and 17 billion baht profit.
However, the final results will come up in May 2004 and MRTA will
run the paid service from June 2004. The free service will be
limited to 300,000 passengers.
MRTA is waiting for the extensions which are supposed to be started
in 2005 since the cabinet has not come up with the official resolution
yet.
All three extension have to be bid on freely without the reservation
on the winners of the first phase.
MTOC has responded that this 3 baht/share to totally unacceptable
since BMCL has given very little reason and used future expectations
as a way to calculate stock prices. Thus the Traffic Policy Office
and MRTA has to study the real price for this project.
Even though Premier Thaksin delayed the trip to negotiate with
KfW and Siemens in Germany due to problems in the South, they
still send officers to negotiate at the officer level before coming
up with preliminary results by the end of April 2004.
More on buying
the subway - Government counters 300 baht per share offer by offering
to pay 1 baht per share
Translated and summarized by Wisarut
Bholsithi from 'Ch. Karnchang shocked - government asking BMCL
to lower the stock price to 1 baht /share - be fair!' - Matichon,
March 30, 2004
Sombut Kijjalux (BMCL General Manager) said BMCL has lowered the
par price from 100 baht/share to 1 baht/share to encourage more
buyers when it offers an IPO in 3rd quarter of 2004. If the government
wants to buy all the shares back, BMCL may not offer an IPO. If
BMCL sells only 25% of the shares, BMCL would still be able to
offer an IPO as planned since BMCL wants to capitalize the stock
after boosting the registered capital from 6.8 billion baht to
10 billion baht since BMCL needs to buy at least 3-5 additional
sets of rolling stock to meet surging demands.
The government has to ask Ch. Karnchang first before buying the
stock back. However, the government has to buy at fair prices.
MRTA governor said Ch. Karnchang PCLK has submitted the plan to
sell the stock to the government via MOTC. The extensions would
be handled by the government.
Earlier: Buying the Subway
- March 30, 2004
Ed.: The move to nationalize the Subway and Skytrain is
a high-stakes web of financial manuvering and conflicting priorities
with the long-delayed Skytrain extensions being held
hostage to the political infighting--but you would never know
this by reading the news in English-language papers.
The Bangkok Post blandly reports:
The Transport Ministry, which oversees MRTA, is negotiating
buying back the subway system from BMCL, to more effectively manage
the total mass transit service of Bangkok. BMCL managing director
Sombat Kitjalaksana said yesterday that BMCL wanted a reasonable
price and secure future for its trained staff.
However, in the Thai-languge papers, the jostling and positioning
of the major players is well-documented:
BMCL stock prices--300 baht/share--price at super premium
- translated and summarized by Wisarut Bholsithi from Thairath,
March 29, 2004
Ch. Karnchang PCL told Minister Suriya that BMCL (the company
that owns and runs the subway project) will sell stock to the
government at the price of 300 baht/share--tripling the prices
from par since the provision for selling 25% of the stocks at
par has already expired. This price is fair to Ch. Karnchang since
it has already included the investment, the difficulties for the
contact with the public sector and so on. However, the government
must buy the stocks before BMCL offers an IPOs in the second quarter
and third quarter of 2004.
The MRTA Governor told the press that MRTA still has the full
right to purchase back 25% of the stocks at par since MRTA has
already issued the reservation letter to BMCL before the provision
expired. If BMCL still insists that MRTA no longer has the right
to purchase back at par, negotiations through mediators or legal
fighting at the Administration Court will become the last measure
MRTA is going to apply. If BMCL agrees to sell 25% of stock at
par, MRTA may allow BMCL to sell the rest of stocks at higher
prices.
Earlier: Ch. Karnchang purchasing more BMCL shares
- translated and summarized by Wisarut Bholsithi
from Manager Daily, March 22, 2004
Ch. Karnchang (CK) is purchasing more shares from BMCL Co.Ltd,
approved by the Board of Directors on March 8, to increase the
registered capital from 6.8 billion baht to 7.05 billion baht
through 2.5 million capital increase in shares.
This purchase will enable Ch. Karnchang PCL to retain the ratio
of stock allocation in 23.09% range by purchasing 5,747,291 shares
at par (100 baht/share)--total 57.7291 million baht.
Commentary by Wisarut: There was a similar purchase of
BMCL shares by BECL PCL. Matichon Daily reported on February
28, 2004 that BECL has paid 37.5 million baht to purchase 375,00
shares of BMCL as the way to retain 15% level of ownership. BECL
has no problem to pay for the BMCL shares at all since the company
is a money-making enterprise.
Earlier: Government
feeling confident about purchasing the Skytrain concession from
the private sector - translated and summarized by Wisarut
Bholsithi from Manager Daily, March 18, 2004
BMCL setting up Metro Mall as a subsidiary
- translated and summarized by Wisarut Bholsithi from Prachachat
Thurakij, March 22-24, 2004
BMCL has set up Metro Mall Co. Ltd as a subsidiary to handle the
retail trading inside MRTA Subway station areas and hire professionals
to run an underground department store with BMCL and Ch. Karnchang
PCL as major shareholders of more than 50%.
BMCL decided to set up a new subsidiary to handle the department
store since hiring other companies to handle retailing inside the
station area will cause lots of problems about revenue sharing.
The underground department stores will consist of brand name products.
After BMCL made an unofficial leasing announcement, there are several
retailers such as 7-11 (Thailand), Starbucks (Thailand), O Bon Pain
(Thailand), EZ Buy, and Se-Ed book that have signed contracts to
rent space inside subway station areas. The main target is those
who are not passengers, a different approach compared to BTSC.
The monthly rent rate is in the range of 1500-3000 baht/sq-m while
the monthly transferring rate from previous owners will be 10,000
baht/sq-m, at par with BTSC Skytrain renting rates and the space
for rent will be 4-70 sq-m.
BMCL is decorating the subway stations and the underground Metro
Mall department store -> ready to be opened on August 12, 2004
(official opening date with a royal ceremony) at the following 5
Stations:
1) Sukhumvit, 2) Chatuchak, 3) Kamphengphet, 4) Phaholyothin, 5)
Queen Sirikit National Convention Center
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