Navy submits B36bn plan to buy subs
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Navy submits B36bn plan to buy subs

The navy is moving aggressively to purchase three of these Yuan-class submarines from China for 36 billion baht, with plans to spread payments over 11 years. (File photo)
The navy is moving aggressively to purchase three of these Yuan-class submarines from China for 36 billion baht, with plans to spread payments over 11 years. (File photo)

The navy has submitted a funding plan for its 36-billion-baht submarine procurement project to the cabinet for consideration with the tied-over budget for the subs to be spread over 11 years, a navy source says.

The source said the funding request to buy three Chinese submarines is now waiting to be put on the cabinet's agenda.

The source added that the navy is confident the purchase plan will win cabinet approval given that Deputy Prime Minister and Defence Minister Prawit Wongsuwon earlier said he backed the navy's plan to have a submarine fleet to help with its missions.

Royal Thai Navy chief Na Areenij said the navy's funding request under the 2017 Budget Bill is in line with procedures.

If and when the cabinet approves the funding request, the purchase will begin immediately, Adm Na said.

The navy hopes to buy three Yuan-class submarines, costing 36 billion baht, from China even though the military regime had to put the purchase plan on hold for more than a year due to public disapproval.

In September last year, the Defence Ministry sent the submarine procurement project back to the navy to rework its funding plan, according to the source.

The project to buy three Chinese submarines was earlier put on the cabinet agenda.

But the ministry wanted the navy to extend the tied-over budget so the payments for the submarines would be spread over 11 years rather than seven years as was proposed.

Admiral Na: Budget request all in order

Gen Prawit also instructed the navy to launch a public relations drive to "educate" people about the necessity to have the submarines for defence purposes.

Assistant navy chief Narongsak Nabangchang, who heads the procurement project, has published a white paper containing essential background information about the submarines.

The source said Thursday that if the cabinet approves the funding plan, the first submarine will be bought at a cost of 13 billion baht between fiscal years 2017-2021.

The second and third submarines will be purchased under the tied-over budget during the remainder of the 11-year period, the source added.

"Considering the indications from Gen Prawit and the prime minister, we are confident that they support the purchase plan and recognise the necessity to buy the submarines, though the plan may have to wait for the right time before it is brought before the cabinet," the source said.

"The current government understands the importance of maritime security operations and, if the navy cannot buy the submarines during this government, there is no knowing whether it will be able to buy them when the next government come to power," the source said.

With the establishment of the Asean Economic Community, and Myanmar's Dawei deep-sea port and special economic zone development project, the navy's maritime security tasks will become more complicated and a new submarine fleet is needed to help support its missions, the source said.

The navy will stick to its plan to buy the three submarines from China as recommended last year by a navy committee set up to study details of the procurement project, the source said.

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