Land bridge can improve Thailand’s competitiveness, energy security: PM
The proposed 1-trillion-baht land bridge mega-project in southern Thailand would help improve the country’s competitiveness and energy security, in addition to offering a new transport route in this part of the world, Prime Minister Srettha Thavisin said on Thursday.
He said the proposed land bridge connecting the Gulf of Thailand and the Andaman Sea could help ease the growing traffic in the Strait of Malacca, which is dealing with 60% of the world’s petrol transport by sea.
PM Srettha was responding to queries from opposition MPs during the parliamentary debate on Thursday on the government’s Budget Bill for fiscal 2024.
“Oil is a major commodity. If the Strait of Malacca gets congested, the transport of oil will have problems. So, the government came up with the land bridge project,” the prime minister said.
He said the land bridge can help expedite the exports of industrial goods produced in Thailand from factories invested in by foreign manufacturers.
The PM also said that the Strait of Malacca had seen frequent accidents due to congestion and container ships had to wait for a long time to pass the sea channel. With the increased volume of containers expected to pass through the strait in the next 10-15 years, congestion could be even worse.
Srettha, who doubles as finance minister, pointed out that due to Thailand’s neutrality, world superpowers like the US and China could both use the land bridge despite the conflicts between them.
“We propose this land bridge to connect the world. China and the US can use Thailand as their product delivery hub,” he said. “This is an important mega-project for the world.”
He also said that his government had heard the opinions of local residents, civil society, businesses, and the opposition regarding the mega-project.
The PM said the land bridge project would attract investment from several countries, including major oil producer Saudi Arabia, which is expected to invest in oil refineries.
“Thailand would have energy security, in addition to food security. As a result, Thailand would be able to stand on its feet in the world of conflicts. Our people’s well-being will be improved,” Srettha said.
The southern land bridge project involves the development of ports in Ranong on the western coast and Chumphon on the eastern coast and the construction of a highway and railway exclusively for transporting freight.
A study conducted by the previous government identified locations for the construction of both ports: one at Laem Riew Cape in Chumphon on the Gulf of Thailand side and the other at Laem Ao Ang Cape in Ranong on the Andaman coast. Each port is designed to handle about 20 million 20-foot equivalent units of container throughout.
The project, which requires an investment of 1 trillion baht, will be divided into four phases of development. The development also includes a 93.9-kilometre transportation link, with 89.3km on land and 2.15km at sea for the Ranong port and 2.48km at sea for the Chumphon port.
