Tuesday, September 29, 2009

BUS-LEASE DEAL WINS CABINET APPROVAL

       The Bt66-billion NGV bus-leasing scheme, pushed by the Bhum Jai Thai Party, a powerful member of the Democrat-led coalition government, finally won the Cabinet's blessing yesterday despite strong criticism that it was more about political horse-trading.
       A group of 40 senators said they would set up a watchdog to monitor the implementation of this controversial project, which originally carried a price tag of more than Bt100 billion.
       The opposition Pheu Thai Party said the Cabinet's nod for this proposal was a political reward for Bhum Jai Thai - similar to its earlier stamp of approval for the Armed Forces' multibillion-baht procurement programme.
       Prime Minister Abhisit Vejjajiva said the Cabinet had made its decision based on recommendations from the National Economic and Social Development Board, which concluded that leasing was less risky than an outright purchase.
       The Transport Ministry will require the Bangkok Mass Transit Authority, the city bus agency, to offer an early-retirement package to 6,000-7,000 employees so that an electronic ticketing system could be introduced to replace bus conductors.
       The ministry will have to provide filling facilities for natural gas for vehicles.
       Procurement of the fleet will have to be transparent, |so the ministry will have to form a committee to set a median price for the scheme while there must be competitive bidding, the premier added.
       Somchai Sawaengkan, one of the 40 senators scrutinising the scheme, said he was not sure if the entire Cabinet had thoroughly examined it before giving its endorsement.
       The Cabinet's backing for this scheme could be seen as part of political bargaining involving the Constitution.
       Previously, Bhum Jai Thai frowned against the Democrat Party's plan to conduct a national referendum on charter amendment, but the party's position had changed lately, he said.
       Pheu Thai spokesman Prompong Nopparit said the agreement for the NGV bus scheme to go ahead was clearly a political present for Bhumi Jai Thai, which played a leading role in installing Abhisit as prime minister early this year.

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