Journal of the Eastern Asia Society for Transportation Studies, Vol.13, 2019
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Journal of the Eastern Asia Society for Transportation Studies, Vol.13, 2019 A Study on the Barriers of the Thai Government for Development of High Speed Rail Project Kittipong TISSAYAKORN a, Fumihiko NAKAMURA b, Shinji TANAKA c, Shino MIURA d a,b,c,d Graduate School of Urban Innovation, Yokohama National University, Kanagawa, 240 - 8501, Japan; a E - mail: [email protected] b E - mail: nakamura - fumihiko - [email protected] c E - mail: [email protected] d E - mail: miura - shino - [email protected] Abstract: The Thailand-China High Speed Rail (HSR) project is a government to a government investment project and under construction for the first stage of Northeastern route. This HSR project will span across Thailand, Laos and Kunming and also plans to reach Malaysia and Singapore in the future. The pathway is a strategic route to increase the potential and economic opportunity for Thailand as well as supports Thailand as a regional land transportation hub in the Association of Southeast Asian Nations (ASEAN). However, the project has some barriers that the Thai government could carefully consider to solve and protect all problems in this situation and may appear in the next phase. Especially, transit-oriented development (TOD) is one of the most influential factors to generate significantly welfare and benefits inclusive to drive the development of the sustainable HSR project as well. Keywords: operation service, TOD, the organization and personnel, fare structure 1. INTRODUCTION The development of the railway as the major public transportation system will create a sustainable mode of transportation, which is economically viable in the long run. In Thailand, the development of HSR system is continually and carefully undertaken since studied by the Office of the National Economic and Social Development Council (NESDC) in 1992 (NESDC, 1992) and Office of Transport and Traffic Policy and Planning (OTP) in 2010 (OTP, 2010). This is to ensure that the HSR system will transform public transportation in Thailand in the future. The HSR system will bring a new era for travel and new experience to passengers. It will be also an important key to national development as it will decentralize growth and prosperity countrywide. The HSR will pave the way for connectivity with the neighboring countries in the ASEAN Economic Community. In addition, it increases the various value added such as the distribution of economic to regions, the competition to other transportation modes and developing industries of the country. The main purpose of this paper is to contribute to making the mechanism of barriers form the HSR project. This research is expected to have a significant impact on the direction of transportation policies and sustainable development aiming to increase the use of HSR. As a case study, the development of High Speed Rail for regional connectivity between Bangkok and Nong Khai (Phase 1: Bangkok-Nakhon Ratchasima) is selected because it is the first HSR project investment and expects to operate in 2022. Furthermore, the objective of this paper attempts to (1) classify the operation technique of the first HSR project investment in 555 Journal of the Eastern Asia Society for Transportation Studies, Vol.13, 2019 Thailand, (2) suggest TOD strategies to development around the HSR station, (3) identify the characteristic of new organization and personnel for the HSR project and (4) advise the optimal fare structure for the first year operation as well as this research has 4 hypotheses that are essential to HSR in Thailand consist of (1) two HSR systems (Japanese system and Chinese system) can operate between Ban Sue and Ban Phachi section, (2) TOD is effective to sustainable development of HSR stations in Thailand, (3) what characteristic of new organization and panel to drive the HSR project and (4) HSR fare structure is competitive in other public transportation systems. Moreover, the methodology of this paper based on interview, document review, literature review and website review of the HSR project. The structure of the paper contains as follows: Section 2 will briefly the previous HSR experience investment and TOD. Next, Section 3 investigates the existing roadmap for HSR network development and evaluation for the project. The barriers of the Thai government that could resolve all before the project will operate in Section 4. Finally, we provide the conclusions of the paper, including suggestions for further work. 2. LITERATURE REVEW 2.1 The previous HSR experience investment 2.1.1 Japan In 1964, Japan was the first country that operated the HSR (Tokaido Shinkansen) and traveled between Tokyo and Osaka line (515 km). This objective pursued by the planners needed to reduce the travel time between the two cities and increase the opportunity in the transportation mode. In addition, the main motivation was to promote mobility demand in this corridor due to the rapid economic growth after World War II. At present, It had a nine networks of Shinkansen lines1 serving 22 of its major cities. However, HSR did not necessarily contribute to long-term regional dispersion (Sasaki et al. (1997)). Furthermore, the studies indicated that although growth paralleled the HSR route, most of the route was selected on the basis of expected growth independent of the HSR (Haynes (1997)). Nonetheless, expectations regarding the economic gains of HSR led to political pressure and demands for HSR stations, a fact that affected the economic viability of the system through debt increases and annual losses (Imashiro (1997)). Absolutely, debt surpassed $US 200 billion by 1987 leading to a financial crisis ending with the privatization of the railway (O'Toole (2008)). Economic impact of Shinkansen showed that the economic sector boosted the benefits. Industries became highly focused on the cities of Tokyo and Osaka, resulting in the centralization of this sector in the country’s major nodes. Moreover, tourism demonstrated significant growth rising from 15% to 25% during 1964-1975. In the case of the retail industry, Tokyo would appear to be the dominant force following the operating of the shinkansen. Similarly, organizational journeys had become easier and the business travel also had increased but the number of business overnight would decrease in the hotels. Certainly, the reduction in travel time is the main impact of the Shinkansen (Daluwattel and Ando (1995) and its mean delay time of just a few minutes provides extremely high standards of reliability. 1 Akita, Hokkaido, Hokuriku, Joetsu, Kyushu, Snayo, Tohoku, Tokaido and Yamagata 556 Journal of the Eastern Asia Society for Transportation Studies, Vol.13, 2019 2.1.2 France French HSR operated the Paris Sud-Est HSR route in 1981 and traveled between Paris and Lyon, 425 km. Most of the diverted passengers came from air and half of the increased TGV traffic came from newly generated trips (Bonnafous (1987)). The objective of HSR was to solve the level of congestion on the railway link. The subsequent expansion of the HSR network was carried out chiefly to serve corridors with sufficient traffic and connecting cities of significant size. The policy was to invest only in socially profitable lines. France was one of the most successful in the financial value and in the impact due to the active government (Dunn and Perl (1994)). In addition, the opening of TGV reduced journey times from Paris to Bordeaux to 3 hr, led to an immediate increase of around 50% in rail travel between 1989 and 1991 and a 17% reduction in air travel on the TGV route as a whole (Vickerman (1997)). Meanwhile, the development of the HSR in France had given priority to economic objectives so as to prove that public enterprise could make money from operating the system. Unlike other projects with these objectives, state officials did not permit any public debate on how to distribute the HSR network and were immune to any social and regional pressures. However, as the other countries, there was evidence that HSR reduced the number of overnight stays from business travelers. This was a negative impact on one of the industries that were usually most likely to benefit from HSR (Department of Transport (2011)). 2.1.3 Germany The ICE (Inter City Express) was German HSR that connected all major cities in Germany. In German HSR construction had two objectives that consisted of (1) to solve the congestion problems and to improve connectivity between the North and South (2) to combine passenger and freight service so that support the industries. Moreover, French HSR had approached which had largely constructed a parallel network and using the existing network for access to the international connections to Denmark, Netherlands, Belgium, France, Switzerland and Austria (Dunn and Perl (1994)). Thus, there were considerable difference between the German strategy and the model adopted by Japan and France. The main concern in Germany was not passenger traffic, but the point was the better linkage between North Sea ports and the industrial and consumer markets in South Germany. The result showed that Germany HSR network did not build a separate HSR network, but rather upgraded existing lines. This meant that the network was shared by HSR and more conventional passenger trains together with freight trains and the country had renounced higher commercial speeds. It had been no significant impact on the economic geography of Germany resulting from HSR because there was not only a central city dominating the urban system but also less the ridership than French and Japanese HSR and less relevant factors in influencing regional development. Therefore, there had been several questions that related to financial revenue and environmental justification for investing in HSR (Albalate and Bel (2010)). 2.1.4 Spain The first Spanish HSR was Alta Velocidad Espanol (AVE), which inaugurated in 1992 between Madrid and Seville city on the eve of the Universal Expo92.