SRT is too broke to also maintain Hualamphong station, says Saksayam
Transport Minister Saksayam Chidchob listed all the reasons why trains, especially long-distance ones, will only be stopping at Bang Sue Grand Station from Tuesday.
Bangkok commuters raised a hue and cry after the ministry announced that no trains will be pulling up at Hualamphong Station as it is being converted into a commercial area.
Saksayam said his ministry had discussed this matter with the State Railway of Thailand (SRT) and assigned its financial arm, SRT Asset, to manage all assets to ensure SRT starts earning. He said SRT Asset was told to not just manage the land around Hualamphong, but also to oversee other plots owned by SRT.
He said the ministry found that SRT has been making continuous losses due to bad revenue management. Currently, its balance sheet shows liabilities of about 160 billion baht, when its actual liability stands at 600 billion baht.
Saksayam pointed out that SRT has several plots of land with earning potential, like the land near Thonburi Station, near Bang Sue Grand Station, Bangkok’s RCA area, near Hualamphong station, etc.
SRT Asset believes that after adjustments are made, SRT can earn up to 5 billion baht in the first year, which should double to 10 billion baht in the fifth year. Eventually, over 30 years, SRT should have 800 billion baht in revenue, which will put it back in the black.