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Three Key Objectives of Bill to Partially Amend Act of Promotion of Private Participation in Infrastructure Projects
Three Key Objectives of Bill to Partially Amend Act of Promotion of Private Participation
in Infrastructure Projects
in Infrastructure Projects
The Act of Promotion of Private Participation in Infrastructure Projects ("Act") was promulgated more than 22 years ago. Recently, on November 2, 2022, the Legislative Yuan passed a bill to partially amend the Act after the third reading to further facilitate private participation in public infrastructure projects. The three key objectives of the bill are as follows:
a. Expanding categories of private participation in public infrastructure projects. The bill adds digital infrastructure, entertainment facilities, green energy facilities, and recycling facilities to comply with the national development policy and encourage private participation.
b. Paying for public services. To diversify the models for private participation, the bill stipulates a mechanism allowing the government to pay for public services. The authority in charge may purchase public services from the private party during the operation period.
c. Adding new mechanisms for resolving disputes over contract performance. The Contract Dispute Mediation Committee, established by the Ministry of Finance, offers multiple mechanisms of dispute resolution, to improve the efficiency of alternative dispute resolution and encourage private participation.
Lee and Li not only participated in the legislation, amendment, and research for the Act, but also helped the Ministry of Finance prepare the bill. Moreover, we helped parties from the public and private sectors consummate various private participation cases. We are highly experienced in providing a full range of services with regard to private participation projects, including feasibility evaluation, preliminary planning, drafting of bidding documents, negotiation and execution of contracts, management of contract performance, resolution of disputes, arbitration, litigation, preferential contract right when the time has arrived, and asset transfer after the contract is terminated. We are engaged by clients to handle projects involving other laws that require cooperation between the public sector and private sector, including cases of urban renewal with public sector implementation, superficies and MRT land development. We have experts from various fields to provide advice and services regarding environmental impact assessment, financing, IPO listing, and IP rights.
If you have any questions about new business opportunities, dispute resolution mechanisms, other derivative issues, or questions about public-private cooperation projects after the amendment of the Act, please contact Angela Yao Lin (angelalin@leeandli.com ) or Yung-Ching Huang (yungching@leeandli.com ; +886-2-2763-8000 ext. 2193) of Lee & Li, Attorneys-at-Law.