Last Friday, the signing ceremony for the Phase I of City Railway S1 Line and the Phase I of the Underground Utility Tunnel project was held at the municipal government, further advancing Taizhou's "fission expansion and leapfrog development."
Using a small amount of fiscal funds to leverage a large amount of social capital to participate in the construction of major public infrastructure projects. Since 2014, 23 projects in our city have been included in the three batches of PPP project promotion libraries of the National Development and Reform Commission, with a total investment of 121.8 billion yuan, ranking first in the province; 32 projects have been included in the Ministry of Finance project library, and in the third batch of demonstration projects, Taizhou ranks first in the province in both the number of selected projects and investment amount. Currently, 34 PPP projects have been signed and implemented, of which 20 are PPP projects with private capital holding more than 50%.
At the signing ceremony, Taizhou Rail Transit Company and CRRC Group officially signed the contract, marking that the Phase I project of Taizhou City Railway S1 Line has become China's first city railway PPP project.
According to reports, the Phase I project of Taizhou City Railway S1 Line adopts the BOT (Build-Operate-Transfer) operation mode, with a cooperation period of 30 years, including a construction period of 4 years and an operation period of 26 years. The project capital ratio is 40% of the total investment, of which the government contributes 20% and the social capital party contributes 80%.
"PPP plays a significant role in advancing the construction of our entire city railway. The use of the PPP model can alleviate the financial pressure on our government, that is, to spend the least money and accomplish more. This is conducive to accelerating the construction of infrastructure such as transportation in Taizhou, filling shortcomings, and improving the economic and social benefits of the entire project," said Li Zhenjie, Vice Chairman and General Manager of Taizhou Rail Transit Construction and Development Co., Ltd.
Wang Hao, Deputy General Manager of the Urban Rail Business Department of CRRC Corporation Limited, said that they value the demand for serving and connecting the entire urban transportation rail system. "The Phase I project of Taizhou City Railway S1 Line, whether from the perspective of investment or industry, is a good development area with obvious location advantages."