Cabinet Meeting Synopsis -- November 22, 2011 (Part 2)

World News Wednesday November 30, 2011 11:17 —Cabinet Meeting Synopsis (English)

The cabinet meeting on Tuesday 22, November 2011 has come to the following decision:

Title Request for approval of the Central Government Budget distributed to provincial and governmental sectors used for flood victim rehabilitation

The cabinet approved the principle of 2555 fiscal budget: Central Government Budget for emergency and necessary use according to criteria and conditions of 2554 fiscal budget, worth 2,650 million Baht distributed to provincial and governmental sectors as fund for flood victim rehabilitation. The principle had been proposed by Deputy Prime Minister (Mr. Yongyooth Wichaidith), director of the Flood Recovery and Restoration Committee. Criteria as follows:

1. This amount of money is distributed to provinces which the Ministry of Interior had ordered the flood victims rehabilitation: 1 province 1 district Bangkok+Nontaburi, Pathumthani, and Nakhonpathom total 25 provinces; 50 million Baht for each province worth 1,250 million Baht (for flood victims rehabilitation: 1 province per 1 district; in 22 provinces of Bangkok namely Bangphlat, Taling Chan, ThawiWatana, Bang Kae, Bangkoknoi, Phasi Charoen, Nongkhame, Bangbon, Chomthaong, Bangkokyai, Bangkhuntien, Bangkhen, Laksi, Chatuchak, LatPhrao, Donmuang, Saimai, Nongjok, Klongsamwa, Minburi, Khannayao, and BuengKum, as well as 3 provinces namely Nontaburi, Patumthani, and Nakhonpathom).

2. The budget is given to various governmental sectors which must be acknowledged by the cabinet or the Prime Minister. These governmental sectors consist of Ministry of Interior, Ministry of Education, Ministry of Public Health, Ministry of Defense, Ministry of Industry, Ministry of Social Development and Human Security, Ministry of Natural Resources and Environment, Ministry of Agriculture and Cooperatives, Ministry of Science and Technology, Ministry of Labor, Ministry of Justice, Ministry of Commerce, Royal Thai Police. Each sector is provided with 100 million Baht. 50 million Baht each for Ministry of Culture, and National Office of Buddhism. All budget used for flood recovery is worth 1,400 million Baht.

3. This sum of money is distributed to provincial and governmental sectors as a budget for offhand flood victim rehabilitation. Budget spending must be controlled in order to ensure that the money is used according to the objective as well as to avoid the overlapping use of money with other governmental sectors. On this occasion, the ministries will cooperate with Bureau of the Budget later.

Title Summary of the discussion on flood-affected consumer rehabilitation

The cabinet acknowledged the summary of discussion on flood-affected consumer rehabilitation which had been presented by Minister to the Prime Minister’s Office (Mr. Suwit Khonsomboon) on behalf of chief of Office of the Consumer Protection Board, Office of the Consumer Protection Board, Prime Minister’s Office in various cases, as follows: car and motorcycle hire purchasing, car fixing, car and motorcycle with insurance, house repairing, advice on the safe use of electrical appliances. Summary as follows:

Due to the severe flooding in northern, northeastern, and central parts of Thailand, damages in terms of accommodation and property are widely caused. Those significant damages include sinking cars and motorcycles, stolen properties, and sinking houses. Those cars and motorcycles may be under hire-purchase process or underway of fixing. The summary also mentions advice on the safe use of electrical appliances.

On November 3, 2011, Minister to the Prime Minister’s Office (Mr. Suwit Khonsomboon) on behalf of chief of Office of the Consumer Protection Board assigned the Office of the Consumer Protection Board to invite the Association of Hire-Purchase Business of Thailand, Association of Central Garage of Thailand, Association of Insurance Agent of Thailand, Association of Home Building of Thailand, and Metropolitan Electricity Authority to discuss recovery measures for flood-affected consumers in following cases namely car and motorcycle hire purchasing, preparation for cars fixing, houses repairing, advice on safe use of electrical appliances. Summary of the recovery measures as follows:

1. Recovery measures for car and motorcycle hire-purchasers

1.1. To exempt the cost of debt and fine for flood-affected consumers during the flooding situation

1.2. To postpone the payment for flood-affected consumers

1.3. To modify the debt construction such as extending time for the hire-purchase payment However, each institution reserves all rights to consider the appropriateness of consumers case by case

1.4. To consider the recovery measures for fleet finance, based on the consumers’ payment capability

1.5. To issue the measure refraining from following debt for flood victims and those residing in flooding areas

1.6. To provide loan for consumers who need supplementary emergency loan

1.7. To consider other measures case by case based on what hire-purchaser requests

Further information can be acquired from monetary institutions or the Association of Hire-Purchase Business of Thailand Tel. 02-655 2040-5.

2. Recovery measures for consumers who have their cars fixed

There are 38 branches of the Association of Central Garage with standard central price. In case there is no central price for flood-affected cars, the recovery measures will be assessed case by case. The association is willing to protect consumers in the aforementioned cases such as providing information and details concerning car fixing. Moreover, the association also informs members the information about its cooperation with Office of the Consumer Protection Board.

For car fixing, Office of the Consumer Protection Board announced the committee’s announcement on contract stating that the car fixing business must be controlled. Evidence on receiving money must be checked by demonstrating fixing evidence, spare parts cost, service charge, period of fixing, name of the responsible person (entrepreneur) etc. Anyone who offends the rule and; therefore, does not demonstrate fixing evidence according to the announcement must be sentenced to jail for not more than 1 year or less than 100,000 Baht fine or both.

3. Recovery measures for consumers whose cars and motorcycles are under insurance

3.1. In case consumers whose cars and motorcycles are getting fixed encounter delay, they can contact the insurance companies, or Association of Insurance Agent of Thailand so as to follow the progress. Normally, car and motorcycle fixing agencies must always inform date, month, and year expected to complete the fixing process.

3.2. In case of sinking cars and motorcycles, consumers should inform insurance companies as soon as possible. Therefore, the insurance companies can move the sinking cars and motorcycles out of flood-affected areas immediately.

3.3. In case consumers would like to acquire information about insurance of every kind, Association of Insurance Agent of Thailand is willing to check, and give advices on the case. Consumers please contact insurance companies or Association of Insurance Agent of Thailand tel. 02-645-113 or Office of Insurance Commission tel. 1186.

4. Recovery measures for home repair

Condition of damaged houses as a result of flooding situation can be categorized into several kinds such as whole-sinking house, partly-sinking house. To recover those aforementioned houses, Home Building Association invited its 43 member companies to participate in the House Repair for Flood Victims Project. The association is now waiting for replies from companies. Initially, consumers may acquire information and advice from Home Building Association tel. 02-570-0153.

5. Advice on safe use of electrical appliances

Metropolitan Electricity Authority released manuals containing advice on safe use of electricity before and after flooding with an aim to promote safety among consumers. Initially, directions on safe use of electricity as follows:

  • Moving electrical appliance, plug, electricity control box out of water
  • In case the water has already drained back to normalcy, consumers should invite experts to check electrical appliances before utilizing them. Do not use electrical appliances without inspection from experts.
  • Currently, Metropolitan Electricity Authority does not distribute bills or deactivate electricity. Any consumer wishing to have electricity deactivated, Metropolitan Electricity Authority will consider case by case. Any village requesting for electricity deactivation needs to be confirmed by village committee.
  • For further information, please contact 1130 or 02-256-3257
Title Report on protection and rehabilitation of industrial estates, industrial zones, and industrial parks

The cabinet acknowledged the report on protection and rehabilitation of industrial estates, industrial zones, and industrial parks which had been proposed by Ministry of Industry. Gist as follows:

Due to the flooding situation in 7 industrial estates, industrial zones, and industrial parks located in Ayutthaya, and Pathumthani since early October, 2011 which expanded to neighboring areas considered important industrial areas. Ministry of Industry realized the damages in some areas and risk in others; therefore, it came up with the recovery implementation as well as protection of risky-to-flood areas.

Ministry of Industry reported on the aforementioned issue, as follow:

1. Recovery on flood-affected industrial estates, zones, parks

Working group on industrial estates, industrial zones, industrial parks recovery, under Ministry of Industry, conducted a joint conference with Industrial Estate of Thailand and industrial estate developers. The conference concluded with recovery plan for 7 flood-affected industrial estates/districts/parks such as Saharatnakhon industrial estate, Hi Tech industrial estate, Bang Pa In industrial estate, Rojana industrial zone, Factory Land industrial zone, Nawanakhon industrial park, and Bangkradi industrial park. Recovery plan in overview comprises water pumping, industrial estates and factories cleaning, buildings repair, infrastructure (water supply, electricity) reconstruction, machine withdrawal and moving, new machine setting, and machine fixing.

Currently, each industrial estate/ zone/ park is under the process of ridge repairing and water pumping. Water pumping, which had been started processing since 7th-8th November, 2011is now underway in 3 industrial estates namely Hi Tech industrial estate, Bang Pa In industrial estate, and Rojana industrial zone. It is predicted to take 20-30 days for water pumping, and it also is predicted to pump all water out of 7 industrial areas within December, 2011.

Problems and obstacles found in flood-affected recovery process are as follows:

1. There were not enough water pumps. Ministry of Industry had cooperated with both governmental and private sectors to collect water pumps but they cannot be provided in time. As a result, the implementation plan is delayed.

2. Civil society residing around industrial estates/zones/parks may cause an impact on water pumping. Ministry of Industry urged to talk with civil society and directed workers to operate carefully.

3. Industrial estates/zones/parks which had been affected by the flood lacked labor to implement the ridge repair process before water pumping, and cleaning process after water pumping. Ministry of Industry requested labor from the army to help implement these aforementioned processes.

2. Protection of risky-to-flood industrial estates

Ministry of Industry assigned the working group on protection and relief of impacts on flood in industrial estates to do its utmost with strategic measures and all labor from every sector so as to protect 8 industrial estates such as Bang Chan industrial estate, Latkrabang industrial estate, Anyathani industrial estate, Bangpli industrial estate, Bangpu industrial estate, Wellgrow industrial estate, Sinsakhon industrial estate, and Samutsakhon industrial estate from flooding. It is considered protection of important production bases of the country, and protection of economy in overview.

Important preventive measures of industrial estates include extending the height of dykes, dams and ridges, as well as closely monitoring the strength of dykes, providing water pumps, heavy machinery, dredging canals, and cleaning the canals so water can pass through more quickly, moving and storing chemicals in a safe place, guarding, monitoring water level and dyke, talking with the community, and preparing for evacuation etc. Moreover, report on the progress must be submitted daily.

Currently, preventive measures for industrial estates are still workable thanks to support on labor and heavy machinery used for rescue from Ministry of Defense.

--Cabinet Meeting (Yingluck Shinawatra) November 22, 2011--

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