Bangkok Metropolitan Administration (BMA) and BTS Group Holdings Public Company Limited (SET: BTS) have finalized negotiations over outstanding debts related to the operation and maintenance (O&M) of the Green Line BTS extension, according to Napapon Jirakul, Bangkok councillor for Bangkok Noi district and chairman of the committee studying Green Line issues.
Mr. Napapon confirmed that both sides agreed to a reduction in interest rates to MLR (approximately 7%) from MLR+1 (around 8%) for segments that have not yet entered litigation. However, this excludes concessions on principal and accrued interest from previous lawsuits due to BTS’s financial reporting and tax submission requirements.
Under this arrangement, BMA’s payments—totalling more than 32 billion baht—will settle obligations accruing through August 2025. This includes 12 billion baht for the second lawsuit relating to Green Line extensions 1 and 2, covering the June 2021-October 2022 operating period, and about 20 billion baht for newer debts following the second lawsuit.
Bangkok Governor Chadchart Sittipunt anticipates that the debt will be fully settled by October 2025, helping to stem escalating interest costs estimated at over 160 million baht per month due to previous payment delays. After this major settlement, BMA intends to shift future payments for Green Line O&M to a monthly schedule—projected at around 800 million baht per month—in order to avoid recurring arrears.
As for the flat 20-baht fare policy, Napapon emphasized that any government move to implement this must come with steady compensation for BMA, given that the actual per-passenger operating cost is about 45 baht. Without such government backing, he cautioned, BMA could face significant financial strain—making the policy unsustainable.
Meanwhile, Surapong Laoha-unya, Executive Director of Bangkok Mass Transit System Plc (BTSC), stated that the anticipated 32 billion baht payment would be allocated first toward imminent debts, with the remainder reserved for further repayments or used as working capital. This injection is set to sharply improve BTS’s liquidity and support long-term investment initiatives, such as the U-Tapao Aviation City project.
Regarding the 20-baht flat fare, Mr. Surapong noted clarity awaits the new government’s policy direction. Cabinet approval, including concrete financial details, funding sources, and legal considerations—including drafts of the Joint Ticket and Urban Rail Acts—is still pending, following a previous in-principle endorsement. The former administration projected finalization by November 15.
