The Company is committed to being a leading, fully-integrated transportation service provider, which builds up good journey for a better living. The Company’s businesses comprise the provision of the expressway and metro services, including commercial development directly related to the main businesses. The Company’s business overview is divided into 4 main businesses, as follows:
The Company and one of its subsidiaries, namely, Northern Bangkok Expressway Company Limited (“NECL”), have been granted concessions for construction and operation of a total of four expressways, comprising:
The Si Rat Expressway (Second Stage Expressway) under the Second Stage Expressway Agreement with the Expressway Authority of Thailand (“EXAT”) for a concession period of 30 years from March 1, 1990; and the Si Rat Expressway, Sector D, under the Agreement for the Extension of the Second Stage Expressway System, Sector D, with EXAT for a period of 30 years from April 22, 1997.
The Company and EXAT jointly invested in the expressway system in Bangkok and its vicinity. The Company was responsible for investment in the construction and operation of the Si Rat Expressway, comprising 4 Sectors, namely, Sector A (Rama 9 - Ratchadapisek), Sector B (Phayathai - Bangkhlo), Sector C (Ratchadapisek - Chaeng Watthana) and Sector D (Rama 9 - Srinagarindra), covering a total distance of 38.5 kilometers. EXAT invested in the construction and operation of the Chalerm Mahanakorn Expressway (First Stage Expressway), covering a total distance of 27.1 kilometers.
As for toll collection, expressway users shall pay tolls at the booths around the on-ramps of the Expressway. EXAT is responsible for the collection of all tolls and shares such toll revenue with the Company as specified in the Second Stage Expressway Agreement with effect from the Priority Component Opening Date. The toll revenue from the Chalerm Mahanakorn Expressway and the Si Rat Expressway shall be encompassed and shared as per rules of area zoning. This is to say that in the urban network, for the first nine years, the Company and EXAT shall receive the revenue sharing at 60 percent and 40 percent, respectively. For the last nine years, the Company and EXAT shall receive the revenue sharing at 40 percent and 60 percent, respectively. As for the period between the first nine years and the last nine years, the Company and EXAT shall receive the revenue sharing at 50 percent each. For the suburban network, namely, Sector C and Sector D of the Si Rat Expressway, all toll revenue shall belong to the Company throughout the period of the Agreement.
The Si Rat - Outer Ring Road Expressway under the Concession Agreement for Investment, Design, Construction, Operation, Service and Maintenance of the Si Rat - Outer Ring Road Expressway Project, with EXAT for a concession period of 30 years from December 15, 2012.
The Company shall have the duty in design and construction, supply and installation of various equipment and systems, including the operation, service and maintenance of the expressway, together with toll collection, whereby the Company shall be responsible for investment and all operating expenses throughout the concession period, and share consideration with or provide benefits to the State to be agreed upon in the Concession Agreement.
The project is an elevated expressway with six traffic lanes, for a distance of 16.7 kilometers, with 10 toll plazas. The route starts from the Outer Ring Road (Kanjanapisek Road around Mahasawat Water Treatment Plant) heading eastbound along the right of way of the existing Southern railway, crossing the Chao Phraya River around the Rama VII Bridge, ending around Bang Sue Grand Station (Chatuchak), connecting with the Si Rat Expressway around the Bus Terminal (Mo Chit 2), and running down to at-grade level around Kamphaeng Phet 2 Road.
In management of this project, the Company is responsible to collect tolls and shall have the right to receive all toll revenue and other revenues (if any) throughout the concession period, whereby the toll rates and revisions shall be agreed upon in the Agreement. This expressway was opened for service on August 22, 2016.
The Udon Ratthaya Expressway (Bang Pa-in - Pak Kret Expressway), operated by NECL under the Bang Pa-in - Pak Kret Expressway Agreement with EXAT for a period of 30 years from September 27, 1996.
NECL constructs and operates the Udon Ratthaya Expressway, comprising 2 Stages, namely, Stage 1, Chaeng Watthana - Chiang Rak, and Stage 2, Chiang Rak - Bang Sai, connecting to the Si Rat Expressway around Chaeng Watthana Road, covering a total distance of 32 kilometers. As for the inbound route, expressway users shall pay tolls at the booths around the on-ramps of the expressway while in respect of the outbound route, expressway users shall pay tolls at the off-ramps. EXAT is responsible to collect and deliver all tolls to NECL. All toll revenue in respect of the Udon Ratthaya Expressway shall belong to NECL
The Company has been granted concessions for operation of two mass rapid transit rail system projects from the Mass Rapid Transit Authority of Thailand (“MRTA”), namely:
The MRT Blue Line Project, comprising the M.R.T. Chaloem Ratchamongkhon Line Project (Hua Lamphong Station - Bang Sue Station), which is the first underground metro project of Thailand, covering a total distance of 20 kilometers, with 18 underground stations, opened for train operation service on July 3, 2004; and the MRT Blue Line Extension Project (Hua Lamphong - Lak Song and Bang Sue - Tha Phra Sections), covering a total distance of 27 kilometers, comprising 5-kilometer underground track and approximately 22-kilometer elevated track, with 20 stations, 4 of which are underground stations and 16 of which are elevated stations, with a connection to the M.R.T. Chaloem Ratchamongkhon Line Project at Bang Sue Station and Hua Lamphong Station, and a connection to the MRT Purple Line Project at Tao Poon Station.
As for the MRT Blue Line Extension Project, the operations during supply and installation of the M&E Equipment for opening for service are divided into 3 phases, namely, Phase 1: Bang Sue Station - Tao Poon Station, was opened for service on August 11, 2017; Phase 2: Hua Lamphong Station - Lak Song Station, by September 2019; and Phase 3: Tao Poon Station - Tha Phra Station, by March 2020.
The Company is entitled to fare box revenue and undertake activities and commercial development, including advertising, leasing space and telecommunications services in the metro stations and in the trains of the MRT Blue Line Project, for a period of 30 years from the date of opening for service of the whole route; and
The M.R.T. Chalong Ratchadham Line Project or the MRT Purple Line Project, Bang Yai - Rat Burana, Bang Yai - Bang Sue Section (Khlong Bang Phai Station - Tao Poon Station), Contract 4: Concession for Supply of M&E Systems and O&M Services, on a PPP Gross Cost basis, whereby MRTA invests in all civil works and the Company invests in the M&E Systems and the rolling stocks, as well as provides the operation and maintenance services in accordance with the specified service standards. MRTA is entitled to all fare box revenue and commercial development revenue from the utilization of the civil infrastructure and the railway systems and MRTA shall make a gradual repayment of the M&E Equipment to the Company on a monthly basis for a period of 10 years, and shall engage the Company for the O&M Services throughout the concession period of 30 years from September 4, 2013.
The M.R.T. Chalong Ratchadham Line Project is an elevated metro project, for a distance of 23 kilometers, with 16 stations and a connection to the MRT Blue Line Project at Tao Poon Station of the MRT Purple Line Project, which was opened for service on August 6, 2016.
The Company and one of its subsidiaries, namely, Bangkok Metro Networks Limited (“BMN”), operate the commercial development business of the MRT Blue Line Project, as follows:
In addition, as for the expressways, the Company and NECL allowed private entities and individuals to use spaces for commercial operation for installation of Intelligent Traffic Signs and various advertising boards, including retail spaces around toll plazas, and other business activities, such as, the use of the expressway areas for installation of 3G signal boosters, etc.
The Company invests in the companies operating the public utility businesses, as follows: