March 2013 : Two Trillion Loan Bill Passed First Reading Two trillion loan bill passed first reading Water management budget reduced Sukumbhan endorsed as BMA governor Another of Thaksin's sisters to enter politics New leader for Chat Pattana Party Increasing diesel tax contribution to petroleum fund Ninety-one billion to develop 5 provinces Four hundred million to boost SMEs Short-cycle rice crops excluded from pledging program Free transport extended Tax waiver for southern states officials Two Red Shirts not guilty of arson Electronic devices for home prisoners Transnational crime assigned to DSI Two trillion loan bill passed first reading On 28th-29thMarch, Parliament held an emergency session to consider a draft bill to authorize the Finance Ministry to seek a 2 trillion baht loan to develop a national transportation network. The Prime Minister explained that following the change of government, many approved public projects were discontinued, changed or cancelled, and therefore, an enactment of this bill would ensure that all planned projects would be implemented. Finance Minister, Kittirat Na Ranong, said that nationwide infrastructure is necessaryto support economic growth. Opposition Party leader, Abhisit Vejjajiva, said that the Democrat Party would vote against the bill since infrastructure development can be financed through the regular budget, not by a specific loan. If the private sector were allowed to invest, the cost would definitely be lower than 2 trillion baht. However, after 2 whole days of debate, the bill passed by 284 to 152 with 21 abstentions and 7 no votes. An extraordinary panel of 36 members was then appointed to scrutinize the bill within 30 days before the second reading. Water management budget reduced On 19th March, the Cabinet resolved to reduce the Water Management Plan to 9 projects reducing costs to 310 billion baht. Originally, there were 10 projects with the total cost of 340 billion baht. Terms of reference would be formulated and distributed to the private sector, with companies submitting plans for each project to the Water Management Board within 45 days. It is anticipated that companies would be selected at the beginning of May. Sukumbhan endorsed as BMA governor On 28th March, the Election Commission (EC) voted 4 to 1 to endorse the election of Sukumbhan Paripatra as BMA governor. The election was held on 3rd March but there were 30 complaints submitted to the EC. Another of Thaksin's sisters to enter politics On 19th March, Phue Thai executive board unanimously voted to nominate Yaowapa Wongsawat to run for the Chiangmai Constituency 3 by-election. The seat was vacant because former Phue Thai MP, Kasem Nimmonrat, resigned. Yaowapa is one of ThaksinShinawatra’s sisters and her husband, Somchai, was Prime Minister after Samak Sundaravej. New leader for Chat Pattana Party On 19th March, Chat Thai Pattana Party convened a meeting and chose Teera Wongsamut, a former Agriculture and Cooperative Minister, to be its new leader. He replaced Chumpol Silpa- archa who died on 21st the January 2013 while he was Deputy Prime Minister and Minister of Tourism and Sports. Increasing diesel tax contribution to petroleum fund On 18th March, the Energy Policy and Planning Board resolved to increase diesel tax contribution to the Petroleum Fund by 0.40 baht per liter, making it 2.20 baht per liter instead of 1.80 baht. Ninety-one billion to develop 5 provinces On 31st March, the Cabinet resolved to allocate 91,714 million baht for the development of 203 projects in 5 provinces in the Central Region. The provinces are: Samutprakan, Chaseongsao, Prachinburi, Nakorn Nayok and Sa Kaeo. The Cabinet also approved a plan to develop the vicinity of Suvarnabhumi airport. Of these provinces, Samutprakan will serve as the center for industrial development and airport related activities, Chaseongsao, transportation hub and logistics and Nakorn Nayok, high end agriculture and potentially IT development. Four hundred million to boost SMEs On 31st March, the Cabinet resolved to transfer 400 million baht from the International Trade Promotion Fund to the SMEs Promotion Program and the International Trade and Development Project. These two will be allocated with 300 and 100 million baht respectively. Short-cycle rice crops excluded from pledging program On 31st March, the Cabinet approved 105 billion baht for the second 2012/2013 rice-pledging program. Finance will come from the leftover budgetof the previous year and income from the 2011/2012 program. However, additional conditions were added to the program: low quality crops grown at less than 110 days and 18 types of short-cycle crops could no longer be pledged. It is anticipated that a total of 7 million tons of paddy rice would be pledged this year. The Cabinet emphasized that the responsible agency, the Agriculture and Cooperative Ministry, must strictly adhere to the new regulations and guard against rice smuggling. Free transport extended On 31st March, the Cabinet resolved to extend the provision of free rides on buses and rail for another 6 months or until 30th September 2013. The Budget Bureau was assigned to allocate 2060 and 548 million baht to the two transport agencies respectively: the Bangkok Mass Transit Authority and the State Railway of Thailand. Tax waiver for southern states officials The Revenue Department will waive income tax on special compensation paid to state officials working in the 4 southernmost provinces: Narathiwat, Pattani, Yala , Satul and 4 districts in Songkla province. The waiver will be retroactive from 1st January 2012. Two Red Shirts not guilty of arson The Criminal Court dismissed prosecutions for arson against two Red Shirts in the burning of the Central World shopping complex during the 19th May 2010 violence that caused one death. However, one defendant was convicted to a one-year jail term, reduced to 9 months, for the violation of the Emergency Act. He was immediately released since he had already been detained for more than 9 months. Electronic devices for home prisoners On 22nd March, the Justice Ministry issued a regulation, published in the Royal Gazette, allowing prisoners wearing electronic tagging devices to be detained in their own homes on conditions that they do not go out of restricted areas or leave the country. More details can be seen from www.ratchakitcha.soc.go.th Transnational crime assigned to DSI On 13th March, the House of Representatives unanimously voted to pass all three readings of the Transnational Criminal Act with minor changes and assigned the Department of Special Investigation (DSI) to be the responsible agency. Transnational crimes are considered a special category and therefore should fall under the DSI's jurisdiction, but they also require the cooperation of the Attorney General and the Police Chief.