BUDGETING GUIDELINES FOR UNDERGROUND CABLE PROJECTS : A CASE STUDY OF RANONG MUNICIPALITY

Abstract

This article aimed to analyze budget allocation approaches for an underground power distribution system improvement project, using Ranong Municipality as a case study within the framework of Collaborative Governance. The findings identified three structural challenges: legal constraints preventing local administrative organizations from directly investing their budgets in state enterprise assets; delays along the critical path of local budget approval and allocation processes; and heavy rainfall conditions that hinder construction and progress-based disbursement. The article proposes practical approaches, including Parallel Approval among relevant agencies through an MOU/MOA; Climate-Responsive Budgeting, whereby procurement and preparatory work are prioritized during the rainy season, while civil works and progress-based disbursement are accelerated during the dry season; and multi-year budget commitments with contract price adjustment provisions to mitigate material price volatility. The findings also highlight six sustainable benefits of underground power systems: 1. enhancing urban landscapes, commercial value, and tourism; 2. reducing accidents, failures associated with overhead power lines, and unplanned outages; 3. improving power supply reliability, reducing energy losses, and enhancing voltage quality; 4. lowering long-term maintenance and repair costs, particularly in areas frequently affected by thunderstorms; 5. promoting Integrated Infrastructure/Common Utility Tunnel (CUT) development and supporting smart city innovations, including IoT and fiber-optic networks; and 6. reducing long-term environmental impacts and carbon emissions while enabling faster post-disaster system recovery. Lessons from Ranong demonstrate that integrating engineering, legal mechanisms, and local financial innovation is essential for effectively and sustainably implementing underground power infrastructure projects, both in terms of budgetary processes and long-term community benefits.