Anutin orders Transport Ministry to cancel contracts with ITD

Caretaker Prime Minister Anutin Charnvirakul announced on Thursday that he had instructed the Ministry of Transport to cancel contracts with Italian-Thai Development Plc (ITD) following two fatal accidents within just 24 hours.

Termination of Contracts and Legal Actions

Anutin stated that he ordered the Ministry of Transport to cancel the contracts for mega transport projects with ITD, take legal action, and place the contractor on a blacklist following the accidents in Si Khiew, Nakhon Ratchasima on Wednesday and at the construction site of the M82 elevated motorway in Samut Sakhon on Thursday morning.

The announcement came after a meeting on safety measures in the construction of mega transport projects. Anutin mentioned that valuable advice had been provided by the Council of State, and the Attorney General would proceed with actions for public benefit, as well as to reassure foreign countries about Thailand’s standards.

Government's Stance on Contractors

Anutin further emphasized that the government would not be comfortable allowing such contractors to continue working for the state. For any remaining unfinished work, new contractors would be sought.

If further damages occur, they would be claimed from the contract’s guarantee. Typically, contracts include a guarantee and a bank guarantee letter, and if additional funds are required, the government reserves the right to seek compensation from the original contractor.

Responding to Political Attacks

When asked about resurfacing old news regarding the Bhumjaithai Party’s role in signing a high-speed rail contract with a Chinese company during its time in the Ministry of Transport, Anutin responded, “What’s the connection?”

Asked if he saw this as a political attack, Anutin replied, “Of course, it is. The procurement process has followed all regulations. It wasn’t the Bhumjaithai Party doing it, but the Thai government. It has nothing to do with politics. Let’s not waste time. If we keep mudslinging between political parties, the public won’t be happy. We want peace in Thailand, not political conflict. If politicians argue, the public won’t be satisfied.”

SRT to Investigate Crane Accident and Damage Assessments

Meanwhile, Anan Phonnimdaeng, acting governor of the State Railway of Thailand (SRT), said the Comptroller General’s Department has suggested that SRT consider using the Public Procurement and State Property Management Act. This allows state agencies to notify the Comptroller General’s Department to terminate contracts if contractors fail to comply with the terms, including safety issues specified in the contract.

Damage from the Crane Accident

Initial assessments of the crane accident that collapsed onto the train revealed significant damage to property. This included two diesel railcars, which were completely destroyed, with an estimated repair cost of 105 million baht. Replacing the damaged railcars would cost over 70 million baht each, Anan said.

“SRT is preparing to assess the damage to the image, public confidence, and the opportunity cost of service disruption to claim additional compensation from the contractor. We have already filed criminal charges related to the dangerous incident that resulted in fatalities,” Anutin said.

Insurance Coverage and Compensation

Regarding compensation for the accident, it has been confirmed that the private contractor has third-party insurance coverage, which includes passengers and related property.

It is expected that compensation of 1 million baht per person will be provided. A joint meeting with the insurance company will be held to clarify the compensation limits.

Investigation into the Si Khiew Incident

Anan was speaking to reporters after visiting the accident site in Si Khiew. He said initial investigations revealed that the accident occurred in a crucial curved section of the high-speed rail route where an elevated track is being constructed, in addition to the ground-level track construction. This made the construction more challenging than usual, as it is located alongside the existing railway tracks.

Additionally, there was encroachment into the area near the railway track by about 4-5 meters, which exceeds the safety standards that prohibit any work within a 2.5-meter zone of the structural area while trains are running.

Investigation and Safety Measures

Anan stated that the investigation committee, alongside independent agencies such as the Engineering Council and the Engineering Institute of Thailand under the Royal Patronage (EIT), will investigate whether there was a violation of the order to work while trains were running or if it was due to negligence in securing the equipment (Launcher), which weighs over 400 tons. The committee is expected to conclude the factual findings within 15 days.

Meanwhile, after moving the bodies of the victims and confirming that no one was left behind in the wreckage, the next step is to use a crane to separate the components of the orange Launcher (Front Support) that fell and blocked the railway tracks on the ground. This will allow for the reopening of the railway for normal operations as soon as possible, but it must be done with the highest level of caution.

Ongoing Dismantling and Safety Measures

The dismantling of the large steel structure is expected to take about 7 days. As for safety measures, there have been orders to install additional sensors and CCTV cameras at high-risk construction sites nationwide to prevent similar incidents from occurring again, Anan said.