The Bangkok Metropolitan Administration (BMA) has promised to pay 11.75 billion baht, the amount of debt plus interest owed, to the Skytrain operator Bangkok Mass Transit System Plc (BTSC) for operating the Green Line, as ordered on Friday by the Supreme Administrative Court.
The BMA will have to pay the sum as soon as possible to avoid extra interest charges, which are estimated to be about 2 million baht per day, said Bangkok deputy governor Wisanu Subsompon.
The BMA will first seek permission from the Bangkok Metropolitan Council, aiming to complete the repayment within 140 days, even though the court has allowed up to 180 days, he said.
The Supreme Administrative Court on Friday upheld a ruling by the lower administrative court, which ordered the BMA and its business arm, Krungthep Thanakom, to pay the overdue debts incurred from hiring BTSC to operate the electric train service and carry out maintenance on two Green Line extensions.
The first extension consists of two sections: Saphan Taksin to Bang Wa and On Nut to Bearing. The second extension consists of Mo Chit-Saphan Mai-Khu Khot and the Bearing-Samut Prakan section.
The operating and maintenance costs were incurred from May 2019 until July 2021 and have not been paid since then.
Surapong Laoha-Unya, the CEO of BTSC, said the company intends to use the money from the BMA to pay investors who will be redeeming company bonds that come due this year.
A separate case is still outstanding, in which the company seeks to recover 10 billion baht for running and maintaining the same two extensions between August 2021 and October 2022, he said.
Mr Surapong said BTSC also expects to win this case, which is still before the Central Administrative Court.
Although the company expects City Hall to follow Friday’s court ruling, it is open to talks if the BMA and KT do not have enough money and need to seek help from the central government, he added.