Thailand plans to cancel the underground tunnel segment of the Northern Bangkok Expressway project due to financial concerns, as the project does not guarantee sufficient returns despite its potential economic benefits.
Thailand will not move forward with the underground tunnel segment of the Northern Expressway project in Bangkok due to financial concerns. Minister of Transport Suriya Juangroongruangkit announced that the project, designed to link the Si Rat Expressway with Ngamwongwan and Prasert Manukit Roads, has been deemed financially unviable.
The Expressway Authority of Thailand (EXAT) reported that the project’s financial internal rate of return (FIRR) was negative, despite an economic internal rate of return (EIRR) of 19.2%. Suriya emphasized the importance of financial viability for projects, which is crucial for their construction and maintenance.
Originally intended to reduce community opposition to an elevated expressway, the underground option proved too costly, with an estimated total project cost of THB49.22 billion ($1.4 billion). This includes substantial funds allocated for construction and land acquisition, leading to its eventual cancellation.
Source : Thailand plans to cancel underground tunnel for Northern Bangkok Expressway project
