Mon, May 26, 2014 - Page 13 News List

NT$961.4bn in private sector funding used to build infrastructure: ministry

PARTNERSHIP:The Ministry of Finance issued a statement reviewing private investments in state projects ahead of new bidding next month

By Kevin Chen  /  Staff reporter

The government has drawn NT$961.4 billion (US$31.86 billion) in capital from the private sector since 2002 for public infrastructure projects, according to the latest statistics compiled by the Ministry of Finance.

The amount is equivalent to saving the national coffers NT$876.1 billion, while helping increase government income by NT$564.8 billion and create more than 160,000 job opportunities, the ministry said in a statement on Friday.

The ministry’s statement came one week after the National Development Council said that the planned budget for public construction would continue declining next year — for the third year in a row — and is expected to amount to just NT$163.6 billion or 8.86 percent of the government’s overall expenditures, affected by the nation’s fiscal difficulties.

“So far this year, the government has signed 39 public construction projects with the private sector, with total investments of NT$43.1 billion, which are higher than the NT$15.5 billion from 31 projects inked in the same period of last year,” the ministry said in the statement.

MAJOR DEALS

Among the major deals closed this year are a NT$12 billion surface rights project in Taipei’s Zhongshan District (中山) and a NT$1.41 billion land development project in Taichung Harbor, the ministry said.

“These projects are aimed at drawing money from the private sector to help revitalize state-owned land and enhance land utilization,” the ministry said.

The ministry is still negotiating with private investors on the contract terms for 17 public construction projects that have total investments of NT$23.1 billion, with seven projects worth NT$1.1 billion currently under review and evaluation by the ministry, the statement said.

BIDDING OPEN

Looking ahead, the ministry said in the statement that the public construction projects currently open for bidding include a NT$35 billion surface rights project in Taipei’s Xinyi District (信義), a NT$7.2 billion MRT business complex and parking lot project in New Taipei City’s Sinjhuang District (新莊) and a NT$6.4 billion build-operate-transfer (BOT) hospital project in New Taipei City’s Tucheng District (土城).

FUTURE PROJECTS

Major projects set to open for bidding by the end of next month include a NT$6.3 billion Taipei Audio-Visual Industrial Park (臺北市影視音產業園區), a BOT project in Taipei’s Neihu District (內湖) and an international convention center BOT project in Hsinchu City for NT$4.7 billion, the ministry said.

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