Legal Reforms on Public Contracts in Turnkey Project

Abstract

Nowadays large scale public projects provided by the government in order to meet the needs of the people in Thailand rely heavily on experts who have expertise in various fields including survey, design, control, construction as well as project financing and overall project management. Therefore the turnkey contract has been developed to replace the normal state construction contract with an agreement under which a single contractor completes the whole project from the design to the construction of the project. The turnkey contract has been adopted for numerous public projects in Thailand, such as a large scale construction project, telecommunication project and technology-related projects, for the reason that it can be implemented quickly and would be beneficial to the overall development of the country. However it turns out that several state funded projects that employ the turnkey contracts commonly encountered problems, obstacles, limitation and loophole in the law including the law enforcement problem which can lead to corruption. Therefore the objective of this research is to analyze the problems and the causes of the public turnkey contract and provide suggestion on the legal procedure, measures and monitoring mechanism that can help prevent corruption in the turnkey projects more effectively.