The Ministry of Transportation and Communications has drafted a NT$23.4 billion plan to build a railway system connecting Kaohsiung County and the popular tourist resort area Kenting National Park in the southern tip of Pingtung County.
"The plan includes extension of the existing railway between Kaohsiung and Hengchun and a new 9.5km light rail transit system between Hengchun and Kenting," an official at the MOTC's institute of transportation said yesterday.
The planned light rail transit system is expected to be similar to San Francisco's electric street car system, said the official, who requested anonymity.
A 2km extension from the Hengchun station is also being planned, offering a connection by light rail to the National Museum of Marine Biology and Aquarium, he said, adding that the two-year-old museum has attracted 2.5 million visitors per year.
The official yesterday added that the ministry is expected to begin a second-phase study for planning the southern rail system, which aims to ease traffic jams during holidays and weekends.
A final feasibility report will be completed by year's end, before the government begins to invite private investors to openly bid on the project early next year.
According to the institute, the number of travelers to Kenting is expected to see an average yearly growth of 1.15 percent, up from the current 5.5 million people who visit the holiday mecca per year.
While saving up to one hour travel time for Kenting-bound tourists from Kaohsiung, the southern railway system will take eight years to build at a total cost of NT$23.4 billion, the official added.
The government may open the project to private investors, facilitating the link's construction within six to eight years through the build-operate-transfer (BOT) model, the official said.
"It'll probably take two years to complete the project's environmental evaluation and assessment before the construction can begin," he said.
However, since the economic benefits of the project are low, the institute advised the government to allocate a budget for the railway's construction before contracting the private sector to build and operate the system.
The official was keen to point out that as a BOT project, the plan is sure to turn a profit after it becomes operational.
"The railway project's ticket income/management cost ratio is estimated to be 1.36, meaning the operator will be financially viable in future operations," the official added.
In addition, according to the institute's survey, patronage of the area's public transportation system remains low, since over 63 percent of visitors drive to the national park in their own cars.
Therefore, if the railway system is in place, it will greatly help alleviate the area's traffic, which peaked at 5,400 visitors on holidays and weekends.
SuvaThe Hengchun station is expected to include hotels, car rentals, a food court and a shopping center, according to the ministry's draft plan.
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