Funding for improving electric railway services in Bangkok may arise from congestion pricing imposed on vehicles, though effective enforcement poses significant challenges.
In a recent statement, a former deputy governor of Bangkok expressed support for the proposal by a previous prime minister to have the government repurchase electric railway concessions, thereby limiting fares to 20 baht per trip. This follows comments from the caretaker Transport Minister, who aligned with the notion, emphasizing its compatibility with ongoing ministry efforts to standardize train fares.
The proposed initiative would see the transport and finance ministries collaboratively negotiate the buyback of existing concessions from private operators, subsequently enlisting them for service operation until the original contracts conclude.
The government is aiming to implement the 20-baht fare cap across all rail networks in Greater Bangkok by March 2026, extending the current fare limit that applies solely to the Purple and Red lines managed by the Mass Rapid Transit Authority and the State Railway of Thailand.
Current fares on Bangkok’s mass transit systems show significant variability; patrons face costs ranging from 17 to 43 baht on various MRT lines and from 15 to 62 baht on the BTS Skytrain.
The former deputy governor remarked that the idea of repurchasing rail concessions is not unprecedented. In fact, discussions on this topic began shortly after the Skytrain’s launch when the government contemplated repurchasing the first concession to set fares at 15 baht. However, that initiative stalled despite only one operational line at the time.
While highlighting the potential benefits of repurchasing electric train concessions to lower fares, he cautioned that this undertaking would require substantial financial resources. Currently, eight electric train lines traversing 274 kilometers are operational, raising the question of funding sources. He suggested that the concept of congestion pricing—implemented in several global cities—could provide an answer.
Singapore pioneered congestion pricing in 1975, allowing for the streamlined flow of traffic while financing public transport. Despite initial resistance regarding private vehicle usage, rigid adherence to enforcement led to widespread compliance.
In Thailand, however, the implementation of similar congestion charges has encountered obstacles. The former deputy governor remarked that while multiple studies have explored the congestion fee concept, practical application remains elusive. Concerns persist regarding the necessity of efficient public transport to and from the train stations, adequate parking facilities outside charged areas, and clear guidelines on exemptions for local residents and businesses.
Further discussions are warranted on critical parameters such as collection methods, operational times, vehicle classifications affected by fees, and appropriate penalties for violations. The feasibility of government-led initiatives to attract investment in electric train services and the potential repercussions if state-backed buybacks of train concessions fail are pressing issues yet to be addressed.
Additionally, he contemplated the option of the government repurchasing expressway concessions as a strategy to reduce toll expenses for commuters.
