[Archive Home][Date Prev][Date Next][Index]

         

"After 40 years Thailand's mega airport still struggling to materialise"


 
Monday, August 9, 2004

After 40 years Thailand's mega airport still struggling to materialise 
Agence France Presse  


BANGKOK - Plagued by allegations of cronyism and mismanagement
throughout its history of more than 40 years, Thailand's still
unfinished US$3.7b Suvarnabhumi Airport now has the country's flamboyant
premier cracking the whip to get the project completed.

The long-delayed second international airport, which the Thai government
last week conceded might not be finished in time for its planned
September 2005 opening, has been bogged down since 1960 by political
wrangling, corruption allegations and problems with the marshy site.

The airport -- about 25 kilometres (15.5 miles) east of the capital at
Nong Ngu Hao, which means Cobra Swamp -- is touted as being Southeast
Asia's largest and the government is banking on it making the kingdom
the region's undisputed aviation hub.

Once completed, the first phase of Suvarnabhumi is expected to handle
three million tonnes of cargo and accommodate up to 45 million
passengers annually, which is 15 million more than Bangkok's Don Muang
international airport can currently take.

It will also be the only airport in the country capable of handling
Airbus' new 555-seater A380, and could potentially accommodate 100
million passengers a year once a planned fourth runway is completed.

But the airport -- often cited as a prime example of poor economic
planning and management of large infrastructure projects in the kingdom
-- has already passed through two initial deadlines, the first in 1990
and the second in 2000.

Construction only began in January 2002 and that year the International
Air Transport Association ominously warned that while it calculated all
new airports are 90 percent construction and 10 percent politics, "here
in Bangkok it is 99 percent politics."

Since then allegations of mismanagement have only intensified, and Prime
Minister Thaksin Shinawatra has now threatened state bans on the
contractors if the airport is not finished in time.

"I told them that any contractor who delayed their job by more than
eight percent would not be allowed other government contracts," Thaksin
warned Saturday during his weekly national radio address.

"The more we delay the more we loose our chance of being the region's
aviation hub," said Thaksin, adding he believed the project was
currently between seven to eight percent behind schedule.

Italian-Thai Development Pcl, together with its partners Japan's
Takenaka Corp. and Obayashi Corp. form the ITO joint-venture
constructing the airport, which is financed mostly by the Japan Bank for
International Cooperation and Airports of Thailand.

Investors signalled their lack of faith in the current deadline the day
after an initial warning by Thaksin Thursday that Italian-Thai was on a
government 'grey list,' which saw the company's stock fall to its lowest
level since October 2003.

Italian-Thai finance vice-president Chatichai Chutima told AFP during a
tour of the site it was design delays, such as the delivery of undersize
materials, which had caused most of the hold-ups.

"It is an enormous project and we have had some fairly significant
obstacles relating to design, especially with selecting the right
materials," said Chatichai pointing to the curved steel and glass
ceiling in one of the long oval-shaped concourses.

"At one point we had to replace all of those (thousands of steel bracing
rods) because we found out they were below the size that we needed," he
said.

Last year sub-contractors and suppliers privately complained they were
holding out on work and the delivery of construction materials because
they were not getting paid, and this was the prime cause of the delay.

But Italian-Thai president Premchai Karnasuta last Wednesday insisted
those disputes had been finalised and the airport would be ready for its
scheduled opening.

"We had a lot of hard and tough negotiations but all of those financial
disputes have been settled," said Premchai.

Despite being just over a year away from opening, the enormous skeletal
frame of Suvarnabhumi Airport's futuristic passenger terminal --
covering 536,000 square metres -- still sits at the end of a long dirt
road surrounded by churned wasteland and mud.

Thaksin said he was concerned no deal had yet been signed which would
see a sealed road built between the freeway and airport, saying the
current arrangement would be "uncomfortable and undignified" for
passengers.

A deal to connect the airport to the city with a rail link was finalised
with the state-run Mass Rapid Transit Authority of Thailand in June and
is expected to be operational by early 2006.

Critics of the futuristic airport -- designed by the US-based Murphy
Jahn Consortium -- have said they are still concerned that by the time
it is finished its capacity will already be outstripped by rising
passenger and freight demand.

The long delay has also allowed neighbouring countries such as Singapore
and Malaysia to better develop their potential to compete as rival
regional aviation hubs.

Attached Photo:

A bulldozer works the passenger terminal at Suvarnabhumi International
Airport in Bangkok

SGE_TNV57_080804221552_00_245x156.jpg


Current CAA news channel:


Fair Use Notice
This site contains copyrighted material the use of which has not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of political, human rights, economic, democracy and social justice issues, etc. We believe this constitutes a 'fair use' of any such copyrighted material as provided for in section 107 of the US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed without profit to those who have expressed a prior interest in receiving the included information for research and educational purposes. For more information go to: http://www.law.cornell.edu/uscode/17/107.html. If you wish to use copyrighted material from this site for purposes of your own that go beyond 'fair use', you must obtain permission from the copyright owner. If you have any queries regarding this issue, please Email us at stepheni@cwnet.com