Concerns about acquisition of land for mega project raised

Private companies interested in investing in the government’s land bridge project expressed concern over legal issues that could delay land delivery in the mega project that will serve as a link between the Pacific and Indian oceans in the South of Thailand.

The mega project involves constructing deep-sea ports in Chumphon and Ranong provinces and transforming transport routes between Chumphon and Ranong to link the ports. The land bridge will help ease shipping congestion in the Malacca Straits, currently the main regional trade route for cargo.

During a market-sounding seminar for the 1 trillion-baht project hosted by the Transport Ministry on Thursday, private investors raised their concerns that some of the plots in the project areas belong to private owners who do not have land title deeds, which could be problematic for the expropriation process.  

Participants pointed out that due to lack of title deeds, these owners cannot be properly compensated under land expropriation laws. As a result, they could launch lawsuits against the project which will delay the land delivery.

Deputy Transport Minister Manaporn Charoensri said the ministry has been visiting the two Southern provinces to negotiate with land owners to make sure that they are on board with the project.

“From our latest survey, most people in the area support the land bridge, with only a small number that are against it or wanting more compensation from land expropriation,” she said. “The government will find a solution to this issue as soon as possible.”

Manaporn said that the ministry is also preparing the EHIA (Environmental and Health Impact Assessment) report for the project and expects to finish by year end. She assured seminar participants that the land preparation process should be completed without any problems.

She added that the ministry aims to propose the draft of Southern Economic Corridor Act to the Cabinet in September, to serve as a development driver for the land bridge project that offers legal clarification, investment privileges and tax benefits to investors.

After the draft gets the cabinet’s approval, it will be forwarded to the Parliament to enact the law, which is expected to happen before 2025, said Manaporn.

Over 100 Thai and foreign private companies attended the seminar on Thursday, including K Line, Interasia Lines, China Harbour, Hebei Port Group, Evergreen Container, Siam Piwat, Pacific Construction, Hokuriku Bank, Bank of China, WHA Industrial Development, and Amata Corporation.

Embassy officials from Myanmar, Japan, Pakistan and India were also present.