SRT Resumes 'Red Line' Service, Offers Full Refunds for Train Tickets
Krungthep Turakij, March 29, 2025, 7:37 AM
The State Railway of Thailand (SRT) has resumed service on the 'Red Line electric train', confirming all systems are safe. It is also allowing passengers who do not wish to travel to receive full refunds for train tickets dated March 28th - 29th, 2025, at any station nationwide.
A news report from the State Railway of Thailand (SRT) revealed that the Red Line electric train resumed normal service starting from 5:30 AM on March 29, 2025. The Red Line underwent thorough system checks according to procedures, with engineering and safety teams confirming all systems are ready for operation.
Furthermore, to facilitate passengers and the public who may have been affected by the earthquake incident, passengers who purchased or reserved tickets for any train on any route for travel on March 28th and 29th, 2025, and who no longer wish to travel, can contact any station nationwide to receive a full refund for their tickets.
The SRT expresses its deepest condolences to those affected by this event and sends encouragement to everyone to get through this situation together.
**Suriya Questions Fighting "Red Line" Case, Fears Interest Accumulation if Lost After Court Rules in Favor of Private Sector**
*Thansettakij Newspaper*
*April 15, 2025 | 18:14*
*Last Updated: April 15, 2025 | 19:39*
Transport Minister Suriya Juangroongruangkit has ordered the State Railway of Thailand (SRT) to urgently discuss solutions for the legal dispute concerning the Red Line project's Contract 1 (Bang Sue-Rangsit and Bang Sue-Taling Chan sections). This comes after the Central Administrative Court upheld an arbitration ruling, ordering the SRT to pay 4.204 billion baht to the private contractor within 60 days for Variation Orders (VO). Suriya expressed concern that if the SRT decides to continue fighting the case and ultimately loses, the interest costs will accumulate daily.
The dispute, which has spanned over 10 years between the SRT and the private contractor constructing the Red Line suburban railway (Bang Sue-Rangsit and Bang Sue-Taling Chan sections), led to an arbitration process and subsequent court proceedings.
On April 12, 2025, the Central Administrative Court delivered a judgment compelling the SRT to comply with the arbitration award (Black Case No. 79/2564, Red Case No. 79/2565) dated November 21, 2022.
The ruling orders the SRT to pay the SU Joint Venture, comprising Unique Engineering and Construction Plc (UNIQ) and Sino-Thai Engineering and Construction Plc (STEC), for failure to comply with the contract for the Red Line project (Contract 1: Civil Works for Bang Sue Grand Station and the Maintenance Depot). The SRT had signed this contract with the SU Joint Venture on January 18, 2013, with a contract value of 29,826,973,512 baht.
The payment ordered is for Variation Orders (VO) amounting to 4,204,286,694.83 baht, plus Value Added Tax (VAT) of 27,654,882.90 baht. The SRT must comply with the arbitration award within 60 days from the date the case becomes final.
Regarding this issue, Mr. Suriya Juangroongruangkit, Deputy Prime Minister and Minister of Transport, acknowledged concerns about the accumulating interest related to the dispute over additional work costs in Contract 1. He stated that delaying the payment would increase the interest burden daily, while fighting the case further and losing would result in an even larger interest liability. He emphasized the need to carefully review the situation to determine the best path forward for the SRT.
Mr. Chayatan Phromsorn, Permanent Secretary of the Ministry of Transport, added that they are currently examining the legal processes regarding the dispute over additional construction costs (VO) to determine available options. He also noted that the actual amount of work performed corresponding to the disputed sum needs verification. This review is ongoing, as it might become necessary to propose an expansion of the project's budget framework to the Cabinet, requiring clear justification.
**Red Line Project Background:**
The Red Line project consists of three main contracts:
1. **Contract 1:** Civil works for Bang Sue Grand Station and the depot. Signed with SU Joint Venture (UNIQ and STEC) on Jan 18, 2013, for 29.83 billion baht.
2. **Contract 2:** Civil works for the Bang Sue-Rangsit section. Signed with Italian-Thai Development Plc (ITD) on Jan 31, 2013, for 21.24 billion baht.
3. **Contract 3:** Electrical & Mechanical (E&M) systems, including rolling stock. Signed with MHSC Joint Venture (Mitsubishi Heavy Industries, Hitachi, Sumitomo Corporation) on Mar 30, 2016, for 32.40 billion baht.
The dispute under Contract 1 arose from Variation Orders (VO). The Arbitral Tribunal ruled on Nov 21, 2022, ordering SRT to pay the SU Joint Venture 4.204 billion baht plus VAT for the VO work. SRT's subsequent petition to the Administrative Court to revoke the award was dismissed, and the Supreme Administrative Court upheld this dismissal (decision read out on Oct 18, 2024, SRT notified Oct 24, 2024).
**Project Budget:**
* The current project budget framework (Cabinet resolution Feb 1, 2022) is 96.87 billion baht.
* On Oct 24, 2024, the SRT board approved an additional 847.7 million baht for Contract 3 due to construction delays (938 days) not caused by the contractor.
* The board also approved a budget adjustment totaling 1.61 billion baht for extensions across Contracts 1, 2, and 3. This requires Cabinet approval to raise the total project budget from 96.87 billion baht to 98.48 billion baht.
* The recent court order enforcing the 4.204 billion baht payment (excluding interest) for Contract 1's VO will push the required project budget framework over 102 billion baht.
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