The Transport Ministry has insisted it wants the State Railway of Thailand to reclaim the rights to manage Chatuchak Weekend Market after its management contract with City Hall ends at the end of this year.
Transport Minister Sukumpol Suwanatat said he issued a clear policy to the SRT but he had not received a report about the Bangkok Metropolitan Administration's (BMA) move to renew its contract with market vendors without the consent of the SRT.
ACM Sukumpol was responding to Chatuchak market vendors who have complained about the confusion over contract renewals because the SRT and the BMA cannot agree on the contract to manage the market.
A group of vendors will go to Government House to submit a petition to Prime Minister Yingluck Shinawatra asking her to solve the problem.
The SRT last Friday posted a notice at the market to advise vendors who wanted to renew their contracts to submit documents to the SRT by the end of December.
The BMA had earlier advised vendors to renew their contracts by the end of December as well.
Vendors say both agencies have almost doubled the rental fees for contract renewals. More importantly, they are not sure which agency they should contact for the renewals.
Deputy Transport Minister Chatt Kuldiloke, who supervises the SRT, said the ministry wanted the SRT to manage the market by itself so it would have sufficient funds to partially compensate it for losses from managing the railway system.
It would be able to gain more income from the market than by letting the BMA manage the contracts.
Pol Lt Gen Chatt brushed aside the BMA's claim that the policy change not to renew contracts must be approved by the cabinet since the BMA's area lease contract was made under a cabinet resolution on Oct 24, 1979.
"That's too long ago," he said. "Over time, the BMA has received appropriate gains and compensation from moving the market from Sanam Luang to Chatuchak while the SRT is still in the red."
Between 300 and 400 vendors have contacted the SRT to renew their contracts.
Taweesak Suthiserm, SRT's asset management director, said the SRT had informed the BMA five years ago that the railway agency reserved its right to cancel lease contracts.
The SRT board earlier resolved that the lease contract value, if it is renewed, must not be less than 420 million baht a year with a 15% increase every five years.
The board required the BMA to renew contracts by Oct 31 this year.
However, he said, when the deadline was reached the BMA had not used that right.
"So we will send a letter to the BMA to return the area as soon as the contact is terminated," Mr Taweesak said.
Chatuchak Market director Arun Sricharoon questioned why the SRT was claiming rights over the market area despite the fact that the BMA's management contract has yet to be terminated.
He said the BMA governor MR Sukhumbhand Paribatra had sent a letter to the SRT on Oct 26 to negotiate the new rate of lease fees.
The BMA asked the SRT to charge the lease fee at Chatuchak market at the same rate with that of Aor Tor Kor market of 79.4 million baht per year with a 15% increase every five years.
The SRT did not accept or reject the proposal but instead announced it was reclaiming the right to the area.
The BMA insisted that any change to the contract policy must be approved by the cabinet first, he said.
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