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3) Suggestions for Local Organization

To promote the development of local revenues by enhancing the capability of local

government organizations, three aspects are suggested for the organizations:

1. The central government should establish understanding and motivation for the
development of local revenues in order to allow local governments to realize the importance of

revenue collection and become more financial reliant.

2. The central government should enhance the capabilities of local organizations by
founding better understandings and relevant skills in the process of conducting fees among

local officers. This is another way to help increase more local revenues.

3. Local governments should raise awareness of the public on User pays Principles to
allow local people to understand the need of the fee collection and become willing to pay for

User Charges leading to the development of local revenues.

2. Preparation of the Local Public Enterprise and Social

Enterprise for the Local Organization

The development of local revenues is to create sustainable financial independence
among local governments. The sustainability means local governments are capable of

providing public services with their own revenues. However, current local governments in
Thailand mostly rely on the subsidies. In 2013, local governments received the subsidies up
to 219,039.74 million baht, or 41.3 % of the total local revenue. Local revenues collected by

local governments were accounted for only 8.78 % of the total revenue.

Another way for the development of local revenues is to promote Local Public

Enterprise (LPE) and Social Enterprise (SE) However, the operation of these enterprises is
unclear to Thai local governments. Therefore, it is necessary to study these Local Public
Enterprise and social affairs through local and international case studies in order to learn the
potential of the enterprises to be applied in the future.

Definition and Concept of Local Public Enterprise and Social Enterprise as
well as Public Service

The concept of Local Public Enterprise and Social Enterprises as well as public services

includes two aspects:

1) Local Public Enterprise (LPE) is a local business established to perform the public
service for the development of local revenues. Local Public Enterprise is competing with the