Cabinet’s approval sought for rebidding on U-Tapao MRO project
National airline stresses the need for project, which was shelved when French partner pulled out during Covid
The Eastern Economic Corridor Office (EECO) is seeking the cabinet’s approval to again call for bids for the project to develop a maintenance, repair and overhaul (MRO) facility at U-Tapao International Airport in Rayong province.
The 11-billion-baht project was previously planned as a joint venture between France’s Airbus and Thai Airways International Plc (THAI), but was indefinitely shelved after Airbus pulled out in 2020 as the global aviation industry struggled with the impacts of Covid-19.
EECO Secretary-General Chula Sukmanop said on Thursday that the office hoped to receive a greenlight soon as MRO facilities are currently in high demand due to the rapid recovery of the global airline industry.
He said there is currently only one large MRO facility in Singapore, serving major airlines in the Southeast Asia region. Meanwhile, Thailand’s only MRO facility, operated by THAI, is located at Don Mueang International Airport in Bangkok. THAI’s contract to operate the facility will expire next year, he added.
“The aviation industry and investment situation in the EEC (eastern economic corridor) have changed (since Covid). The proposed foreign investor may no longer be interested in the project, therefore a new round of bidding for the MRO project should be launched,” he said.
Chula said that the planned new MRO at U-Tapao International Airport will be located on 210 rai (33.6 hectare) of land owned by the EECO next to the new runway.
A news source said on Wednesday that Italian-Thai Development (ITD) has won the contract to construct runway 2 after proposing the lowest price of 13.2 billion baht.
The construction of runway 2 is expected to be completed within three years, and the new MRO facility would open around the same time to serve increased commercial flights at the airport, said Chula.
This project is part of the 260-billion-baht mega project to develop U-Tapao International Airport and the Eastern Aviation City in a public-private partnership, under the government’s plan to promote the EEC area as Thailand’s aviation hub in the region.
