In the 1990s, Bangkok embarked on three mass transit infrastructure projects - Hopewell, which was never built, and the completed BTS (Skytrain) and MRT (subway) systems. Arguably, Bangkok would have been better served by a single commuter transport network, preferably the MRT. Such a plan would have required Government departments to work together and a corruption-free system of government.

At the end of a long arbitration and court process following the cancellation of its project, Hopewell finds there is no guarantee that it will ever see compensation from the Thai government.

The latest hiccup in Hopewell's claim seems to be based on procedural errors relating to the Supreme Administrative Court's resolution in favour of Hopewell. The Constitution Court has ruled that these errors make the resolution unenforceable.

The Supreme Administrative Court's apparent inability to follow its procedural rules is hardly Hopewell's fault and it would be reasonable for Hopewell to contend that their claim shouldn't be denied due to the Court's errors.

But this is Thailand and it is likely that the Government is looking for any excuse to avoid paying compensation.

Kingsgate Consolidated Ltd, currently awaiting a decision in their arbitration case for compensation relating to the closure of the Chatree gold mine, will no doubt be watching developments in the Hopewell case with interest.

A win for Kingsgate in their arbitration case may not necessarily mean the end of their saga if the Hopewell case is an indicator of the Government's approach.

Hopewell saga bombshell - Constitutional Court reverses 2002 ruling

March 2021

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