Ministry eyes bonds, congestion fees to fund 20-baht Skytrain fare

The Transport Ministry plans to raise funds by issuing a bond and imposing congestion fees for motorists driving into the city centre to finance the purchase of Skytrain bonds and implementing a flat 20-baht fare.

Transport Minister Suriya Jungrungreangkit said on Friday that the aim is to encourage more people to use public transport. He added that the ministry will discuss raising funds to purchase Skytrain concessions from private operators with the Finance Ministry.

“If a bond is established, we believe it will draw attention from investors,” he said, adding that it should generate a good return on investment.

While waiting for the Finance Ministry to complete its study on fundraising, Suriya said the Transport Ministry will allocate funds to compensate Skytrain concessionaires while implementing a 20-baht flat fare policy.

He added that the ministry can seek funding from the central budget. Suriya also said he will talk to the Mass Rapid Transit Authority to find out if the flat fare will affect its liquidity.

Suriya explained that establishing a fund for purchasing Skytrain concessions and imposing congestion charges will help mitigate a debt burden from the 20-baht flat fare policy, which would cost 8 billion baht a year.

Suriya believes the 20-baht flat fare for Skytrain services should be in place by September next year.

He also said that his ministry will expedite draft bills for a joint ticketing system and rail transport for Cabinet consideration.