The Cabinet met on Tuesday, November 17, 2015 at Command Building 1, Government House. Some of the resolutions are as follows;
Title: Endorsement on Cooperation Framework between Thai and Chinese government on strengthening cooperation in the development of railway infrastructure under Strategic Framework on Development of Transport Infrastructure of Thailand (2016-2022)
The Cabinet approved proposals made by Ministry of Transport as follows:
1. Agreed on Cooperation Framework between Thai and Chinese government on strengthening cooperation in the development of railway infrastructure under Strategic Framework on Development of Transport Infrastructure of Thailand (2016-2022). Ministry of Transport is authorized to amend the draft document where necessary, if not affecting gist of the document, without further submitting for Cabinet’s consideration.
2. Minister of Transport or his representative is authorized to endorse the document on behalf of Thailand, and assign Ministry of Foreign Affairs to issue Full Power for Minister of Transport or his representative to endorse the draft document.
Gist of the Cooperation Framework is as follows:
1. Thai government agreed for the Chinese government to take part in the operations in accordance with Cooperation Framework on Development of Transport Infrastructure of Thailand 2016-2022
2. Both parties agreed on the cooperation on Thailand’s first 2 routes of standard-gauge railway projects:
1. Nong Khai- Korat - Kaeng Khoi - Map Ta Phut Seaport, and
2. Kaeng Khoi - Bangkok. The projects will be divided into 4 phases, which are the 1st phase: Bangkok – Kaeng Khoi, the 2nd phase: Kaeng Khoi –Map Ta Phut Seaport, the 3rd phase: Kaeng Khoi – Korat and 4th phase: Korat – Nong Khai. The projects will be implemented under an EPC format (engineering, procurement and construction). Special Purpose Vehicle (SVP) will be set up to invest in different areas, such as:
(1) Railway system, including dispatchers and maintenance
(2) Certain parts of the construction (including electric power distribution sources, electric power distribution, telecommunication system, and railway signaling system)
China will be responsible for projects’ feasibility study (including surveying and designing), while Thailand is to provide support in conducting EIA, approval process, and land expropriation. Thai and Chinese experts are due to discuss and conduct project feasibility study on standard railway, prior to the construction. Thailand and China is to discuss and develop technical and economic reports, of which China is in charge.
Title: Proposal on 10 target industries: New Engines of Growth
The cabinet approved the following proposals of Ministry of Industry:
1) Agreed with 10 target industries as new engines of growth, and assigned BOI to conduct detail study in order to further develop investment promotion policies.
2) Approved in principle Ministry of Finance’s tax incentives and subsidies, and assigned the Ministry to consider measures for the promotion of cluster development.
3) Approved in principle measures of other agencies with regard to provision of privileges on human resource and technology development, infrastructure development, and revision of rules and regulations. The cabinet also assigned concerned agencies to consider measures for the promotion of cluster development.
4) Approved in principle mechanism for investment mobilization in target industries
Gist
Thailand mobilizes S-Curve for economic growth in 2 formats. The First S-Curve is investment in existing industries to enhance efficiency of production factors. Such investment will boost short and medium-term of economic growth. Nevertheless, it is not enough to impact leap economic growth. The 2nd format, the New S-Curve, was, therefore, developed in parallel as new format of industrial investment. These new industries will be the country’s New Growth Engines, which is expected to increase people’s revenues by 30%, while the other 70% of increased revenues will be from the investment in existing industries.
Thailand’s target industries
1. The First S-Curve consists of:
1.1 Next – Generation Automotive
1.2 Smart Electronics
1.3 Affluent, Medical and Wellness Tourism
1.4 Agriculture and Biotechnolgy
1.5 Food for the Future
2. The New S-Curve consists of:
2.1 Robotics
2.2 Aviation and Logistics
2.3 Biofuels and Biochemicals
2.4 Digital
2.5 Medical Hub
The 10 target industries are significant in mobilizing future economy. BOI is now working on investment promotion measures to be in line with the aforementioned industries.
1) overall measures,
2) measures to promote Next – Generation Automotive;
3) measures to promote Agriculture and Biotechnolgy,
4) measures to promote Robotics,
5) measures to promote Aviation and Logistics.
Title: Endorsement of Memorandum of Understanding on Universal Security Audit Programme – Continuous Monitoring Approach (USAP–CMA) between International Civil Aviation Organization (ICAO) and Thailand
The Cabinet agreed on proposals made by Ministry of Transport as follows:
1. The Cabinet agreed in principle on drafting Memorandum of Understanding on Universal Security Audit Programme – Continuous Monitoring Approach (USAP–CMA) between International Civil Aviation Organization (ICAO) and Thailand.
2. Ministry of Transport is assigned to act as main agency, together with the Department of Civil Aviation, Ministry of Interior, Ministry of Finance, Office of the National Security Council, Royal Thai Police Headquarters, and concerned agencies, to audit aviation security oversight in eight critical elements based on ICAO’s guidelines. It aims to assess Thailand’s uniform standard in civil aviation to be approved by ICAO. Report on the audit will be later submitted to the cabinet again as part of the proposal for approval of the draft MOU.
Gist of the MOU on USAP-CMA is Thailand’s cooperation with ICAO to allow ICAO’s auditors to audit the country’s aviation security oversight system. Thailand is to complete the questionnaires, and disclose up-to-date information related to civil aviation security activities and operational compliances with Annex 17, on Security, and Annex 9, on Facilitation, of the Convention on International Civil Aviation, 1944. The procedure also includes on-site audit. ICAO is to notify audit results to Thailand for the country to work out on an operational plan in improving civil aviation security oversight.
Title: Progress Report on resolutions related to aviation security to European Aviation Safety Agency (EASA)
The Cabinet agreed on proposals made by head of National Council for Peace and Order’s Strategy Steering Committee, Gen Pravit Wongsuwan, as follows:
1. Set up a working group to coordinate with European Union delegation, including FAA. The ambassador of Thailand to the United States of America Pisan Manawapat, is appointed as head of the working group, Air Chief Marshal Preecha Pradubmook, and Chula Sukmanop, director of the Department of Civil Aviation as deputy head. The working group is responsible for providing information and progresses of Thailand to related agencies in EU and the US from now on.
2. Agreed on Memorandum of Understanding on Cooperation Framework Agreement on Aviation Safety. Director General of the Department of Civil Aviation is authorized to sign the document. Command Center for Resolving Civil Aviation Issues and the Department of Civil Aviation are to cooperate in determining measures to expedite new certificate issuance of 41 airlines. Department of Civil Aviation will not issue certificate for new airline operators until Significant Safety Concern (SSC) is resolved.
3. Minister of Transport is assigned to propose an action plan, outlining details on procedures, timeframe and activities, especially on human resources management plan of the Department of Civil Aviation for Cabinet’s consideration by December 2015.
4. National Council for Peace and Order’s Strategy Steering Committee is to monitor overall operational progress and make reports accordingly.
--Cabinet Meeting (Prayut Chan-o-cha) November 17, 2015--