The State Enterprises Policy Commission or superboard has endorsed the state agency reform framework including a proposal to swap certain land ownership rights of the loss-ridden State Railway of Thailand (SRT).
Kulit Sombatsiri, director of the State Enterprise Policy Office (Sepo), said new state agency reform plans would call for a clear-cut role for state-owned enterprises in the country's development and their strategic direction as regulator or operator.
Mr Kulit says state enterprises will be allowed to remain in three sectors. Pattanapong Hirunard
The reform will also allow the private sector to be more active in operating within some agencies to increase competition; manage existing assets of all state enterprises better to ensure maximum benefits for them; ensure greater transparency; and offer better benefits to employees to encourage them to improve their performance.
The plan is meant to define which state agencies will be allowed to continue operation.
State-owned enterprises engage in nine sectors, and those that should be maintained are in the energy, electricity and transportation sectors, Mr Kulit said, adding that the superboard also required a clearer role between Sepo and the Finance Ministry.
The superboard, chaired by Prime Minister Prayut Chan-o-cha, also approved a plan to upgrade Sepo to an independent agency similar to the Bank of Thailand or the Securities and Exchange Commission.
Details of the plan will be submitted at the committee's next meeting, Mr Kulit said.
He said the superboard agreed to assign the Transport Ministry to consult with the Finance Ministry on whether it was viable for the SRT to swap its 80-billion-baht debt to the Finance Ministry for a transfer of ownership rights for land in prime areas such as Makkasan and along the Chao Phraya River in Bangkok.
The Transport Ministry was also required to speed up establishing the Rail Department and identify the different roles for the SRT and the department, especially regarding construction and maintenance.
The superboard instructed the ministry to allow the private sector to invest and manage the Airport Rail Link and Red Line (Bang Sue-Rangsit) jointly to ensure greater efficiency.
Sepo is required to propose the reform plan to the superboard by mid-2015.
At yesterday's meeting, the commission also approved in principle Thailand's transport infrastructure development from 2015-20 and a 2015 action plan in a move to accelerate the development.
The Transport Ministry was assigned to speed up consulting related agencies on funding sources and the possibility of establishing an infrastructure fund in order to cut the financial burden of the government.
The Bangkok Mass Transit Authority was required to transfer its licence approval power to the Land Transport Department, leaving its role as only an operator.
The superboard yesterday also approved a hike for monthly remuneration for employees of 35 state enterprises to 9,040 baht from an average of 5,780 baht.
The superboard is authorised to recommend policies, management and development plans for all state enterprises and empowered to supervise and follow up on the performance of state enterprises to ensure effectiveness.
The 17-member superboard was created by the National Council for Peace and Order (NCPO) to find a body to supervise the operation of state enterprises and improve their efficiency.
Its members come from government agencies, companies and the NCPO.