Research On The BOT Model And Problems Of Taiwan High Speed Rail

New century, with the continuous development of China's urbanization level, the demand of inter-city transport, especially the passenger transport, is increasing rapidly. Mainland China will build 42 high-speed passenger special lines in the next three years, which are about 13,000 km. The high-speed railway requires high construction costs and a lot of construction funds. If construction funds are mainly offered by the government, on the one hand it will make an enormous pressure on government finances, on the other hand may be lead the construction to delaying. The high-speed rail has the property of quasi-public goods, because of this property we can introduce private capital into the construction of high-speed railway, while the privatization of infrastructure theory believe that private operators can improve operational efficiencies, so the opinion of taking BOT model into high-speed railway construction become more and more. Positive at this time, at the other side of the Strait, Taiwan High Speed Rail have already operated for more than three years, the Taiwan High Speed Rail was constructed with BOT model. But the THSR got a serious operating loss less than three years, at last the BOT model of THSR was failed. I believe the research on the BOT model and its problems of THSR have an important reference.to the mainland areas of high-speed rail's construction and operation.In this paper, fist I discussed the attributes of the high-speed railway, based on the public goods theory. And then I analysed the construction and operation risks by using the BOT model of high-speed railway, based on the theory of privatization. Subsequently, the article describes the Taiwan High Speed Rail BOT model profiles, and discussed the Taiwan High Speed Rail's operations, financial condition and the impact on other modes of transport one by one, then gave an evaluation on the Taiwan High Speed Rail Operation Status combined with other countries and regions of high-speed rail operating conditions. On this basis, the paper analyzed and discussed the Taiwan High Speed Rail BOT model's problems and the reasons for operating losses. At last, I gave some recommendations to the Taiwan High Speed Rail and Taiwan High Speed Rail authorities.Finally, in this paper I got some conclusions and gave some policy recommendations for China's mainland in order to help the government use the BOT model more effective and more reliable.