Prime Minister Prayut Chan-o-cha has allayed concerns over the steep price tag for the high-speed train projects, saying costs can be offset with help from the private sector.
While the projects to build the high-speed rail routes were budget-intensive, several companies, business groups and prominent business figures have expressed interest and readiness to collaborate with the government in making the projects less of a financial burden, Gen Prayut said during his weekly address yesterday.
Citing high-speed trains in Japan as an example, he said Japan utilised income from commercial activities along the train concession areas.
Shopping centres and markets could be set up in areas along routes. This would involve joint investment between the state and the private sector.
Joint investment might take the form of construction of residential buildings for low-income earners and other venues to boost local incomes, he said.
This would lessen overcrowding in urban areas while also increase trading capacity.
“High-speed trains will obviously incur high investment costs. However, the private sector can help shoulder this cost,” Gen Prayut said.
“We want to bring about modernisation, spur urban development and employment, and generate income for all areas the rail lines pass through.”