Law reform panel warns on constitutionality

WEDNESDAY, JULY 03, 2013
Law reform panel warns on constitutionality

The Law Reform Commission of Thailand announced Wednesday that the government's bill to enable the Finance Ministry to borrow Bt2 trillion may be unconstitutional.

 
LRCT chairman Kanit Na-Nakhon told a press conference that the bill that would seek loans for transport infrastructure developments could violate Article 169 of the charter.
 
Under the Article, national proceeds can be distributed only under the laws on budgeting, budget transfers or treasury reserves. He said that as the Bt2 trillion amount will be borrowed by the Finance Ministry, it is considered national proceeds. As such, it must be distributed under the specified laws, not by the borrowing law. 
He noted that the government must also take into consideration if the bill imposes extraordinary control on public freedom and grants sufficient emphasis on public participation.
"Under the bill, the law makers have no chance to investigate the government's spending for 7 years. As such, the borrowing will pose revolving burden to the next government, which will have no liberty in scrapping the projects or proposing new projects," he said.
He also warned that the government's rush to complete the bill may lead to the inclusion of projects of which economic returns are low. In other cases, some inappropriate projects may be included, like the high-speed train which is designed to serve the upper middle-income earners.
  The commission suggested that the government include the spending in the annual budgets and specify new financing options like the public-private partnership. Meanwhile, thorough studies on economic returns of each project are necessary, for economic stability. The environmental impact assessment and health impact assessment should also be readied, aside from public hearing, to ensure public inclusion as required by the charter.