thailandedition
Cabinet OKs tougher contractor rules, World Bank funds for bridges

Cabinet OKs tougher contractor rules, World Bank funds for bridges

Matichon•Economy•10d ago

Reader Briefing

The Thai Cabinet has approved stricter regulations for blacklisting underperforming contractors and secured World Bank loans for crucial bridge construction projects in Krabi and Songkhla.

  • •The Cabinet has passed new rules to blacklist construction contractors for a minimum of 2 years for severe project defects or negligence causing public harm.
  • •World Bank loans have been approved for two major infrastructure projects: a bridge connecting Koh Lanta and a bridge crossing Songkhla Lake.
  • •Environmental protection measures, specifically for Irrawaddy dolphins in Songkhla Lake, will be integrated into the bridge project with dedicated funding.

Overview

  • •The Cabinet has resolved to approve the proposed amendment to ministerial regulations concerning contractors' abandonment of public construction projects.
  • •Stricter criteria for defining "abandonment of work" in public construction projects have been approved, covering severe damage or danger to public life, body, or property.
  • •Contractors found to have abandoned work will be blacklisted and prevented from bidding or contracting with government agencies for at least 2 years and up to 10 years.
  • •The Ministry of Finance will further consider observations from the Budget Bureau regarding third-party bids and joint ventures before officially announcing the regulations.
  • •The proposed regulations are expected to be submitted to the Council of State and come into effect within 30 days.
  • •The Cabinet has approved borrowing funds from the World Bank for the construction of a bridge connecting Koh Lanta and a bridge crossing Songkhla Lake.
  • •The Koh Lanta bridge project has a total budget of 1,849.5 million THB, with 1,260 million THB from a World Bank loan.
  • •The Songkhla Lake bridge project has a total budget of 4,892 million THB, with 3,290 million THB from a World Bank loan.
  • •Environmental conservation plans for Irrawaddy dolphins in Songkhla Lake will be implemented alongside the bridge construction. Funding for this includes 129 million THB in grants from the World Bank.
  • •Budget disbursement for these bridge projects is expected to begin in the fourth quarter of the 2026 fiscal year.

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Source: Matichon (Original)

Key Quotes

Siripong Angkasakulkiat
"It will cover cases where construction contractors perform or omit work during the contract period until the final acceptance by the employer, causing severe damage or danger to life, body, or property of the public."
กำหนดให้ครอบคลุมกรณีที่ผู้รับจ้างก่อสร้างปฏิบัติงาน หรือละเว้นการปฏิบัติงานในช่วงระยะเวลาตามสัญญา ไปจนถึงวันที่ผู้ว่าจ้างตรวจรับงานครั้งสุดท้าย จนเป็นเหตุให้งานก่อสร้างเกิดความเสียหายอย่างร้ายแรง หรือก่อให้เกิดอันตรายต่อชีวิต ร่างกาย หรือทรัพย์สินของประชาชน

Key Entities

Organization

Cabinet(ครม.)ℹ️
The executive body of the Thai government that makes key policy decisions.
Ministry of Finance(กระทรวงการคลัง)ℹ️
The government ministry that proposed amendments to contractor regulations and manages loan agreements.
World Bank(เวิลด์แบงก์)ℹ️
The international financial institution providing loans for infrastructure projects in Thailand.
Department of Rural Roads(กรมทางหลวงชนบท)
The government department responsible for the rural road network and the bridge construction projects.
Council of State(กฤษฎีกา)ℹ️
The legal advisory body of the Thai government that reviews draft legislation.

Person

Siripong Angkasakulkiat(นายสิริพงศ์ อังคสกุลเกียรติ)
Deputy Minister of Transport, who announced the Cabinet's resolutions.

Law

Act on Public Procurement and Government Supplies B.E. 2017 (2017)(พ.ร.บ.การจัดซื้อจัดจ้างและการบริหารพัสดุภาครัฐ พ.ศ. 2017)
The Thai law governing public procurement and government supplies, which the new amendments are based upon.

Place

Songkhla(สงขลา)ℹ️
A province in Thailand where a lake bridge construction project is planned.
Koh Lanta(เกาะลันตา)ℹ️
An island in Krabi province, Thailand, for which a new bridge connection is planned.
Songkhla Lake(ทะเลสาบสงขลา)ℹ️
A large natural lake in southern Thailand where a bridge construction project is underway, also known for its Irrawaddy dolphin population.