At a Cabinet meeting held September 19, Premier Sean Chen gave the green light for allocating NT$10.9 billion (US$363 million) for a project to modernize the Keelung and Kaohsiung port areas. Remarking that constructing dedicated passenger transportation areas and new harbor service buildings was an excellent way of tapping into the ferry and cruise liner market, the premier instructed the Ministry of Transportation and Communications (MOTC) to proceed as planned.
Today's meeting focused on specific measures for the Executive Yuan's latest economic stimulus package. After hearing the MOTC's ideas for the Keelung and Kaohsiung ports, Premier Chen said this project and the Taoyuan Aerotropolis undertaking will benefit more than sea and air transport; they will also attract tourists and beautify the urban landscape.
The MOTC indicated that breathing new life into the two ocean gateways in northern and southern Taiwan is meant to raise the nation's maritime transport competitiveness. The new facilities will blend aesthetically into their environs while meeting the port cities' growing needs.
An architectural competition for the New Keelung Harbor Service Building was opened to international designers and ended on September 14. Planning and design of Kaohsiung's Port and Cruise Service Center has been completed, with bidding for construction scheduled for October.
An important change took place in Taiwan's maritime administrative structure on March 1, 2012 when the MOTC established the Taiwan International Ports Corp. (TIPC) to oversee port operations around the country. The TIPC introduced entrepreneurialism and diverse management concepts, encouraging ports to expand their core operations from traditional freight shipping to servicing passengers on ferries and cruise liners.
In recent years the center of the global cruise industry has shifted from the Mediterranean, the Caribbean, Canada and Alaska to mainland China and countries in Northeast and Southeast Asia. According to market research firm Ocean Shipping Consultants, the number of passengers on Asian cruise liners will rise from 1.35 million in 2012 to 2.24 million by 2015. At a growth rate of 16 percent per year, the cruise industry in Asia holds great promise for the future.
This year, overseas travelers via all modes will make an estimated 7 million visits to Taiwan. Because Taiwan's airports may not be able to keep up with the growing numbers, the MOTC has tasked the TIPC with improving facilities at marine ports around the country. Passenger service centers have already been established at the ports of Keelung, Taichung, Kaohsiung and Hualien. In 2012, the number of travelers arriving in Taiwan by sea reached 520,000 in the first eight months (an 8 percent year-on-year increase) and is on track to break 700,000 by year-end. The numbers of arriving cruise liners and cross-strait ferries are also seeing rapid growth.
In addition, the launch of direct cross-strait flights has allowed more people to shuttle back and forth for business, family and tourism reasons. Taiwan is also now open to independent tourists from 13 mainland cities (up from three cities previously), with the visitor quota increasing from 500 to 1,000 per day. As cross-strait air travel begins to outgrow the capacity of airport facilities, the cruise and ferry industry can step in and create new business opportunities.
Taiwan is considering three models for developing the cruise industry:
1. Two-to-three day excursions across the Taiwan Strait, to destinations such as Xiamen, Penghu, Keelung and Kaohsiung.
2. Regional cruises: Three-to-five day trips to Shanghai, Tianjin, Hong Kong, Japan or Korea.
3. Express cruises between Fuzhou, Pingtan and Xiamen in mainland China and Keelung, Taipei, Taichung and Kaohsiung in Taiwan. The two-to-three hour journeys can serve business travelers and people visiting relatives, or deliver express packages and freshly frozen seafood.
To meet marine transportation needs and boost tourism, Taiwan International Ports Corp. will spend NT$10.9 billion (US$363 million) to revamp the Keelung and Kaohsiung harbor areas into world-class travel hubs.
In the Kaohsiung port area, a 17-story landmark structure (including two floors underground) featuring a towering chimney and silvery boat-shaped facade will be constructed between piers 19 through 21. Complementing Kaohsiung's beautiful waterfront area, the building will accommodate port operation offices, conference meeting rooms, boarding tunnels, border entry and departure, and other needs. At an estimated cost of NT$4.2 billion (US$140 million), the structure is slated for completion by the end of 2015 and will be sizeable enough to offer berthing for the world's largest ocean liner, the Allure of the Seas, which can carry up to 5,400 passengers.
As for the Keelung port area, development will be divided into the eastern and western fronts. The western front will see a renewal of the Keelung Train Station with an infusion of a modern port city theme. Construction costing a total of NT$6.2 billion (NT$207 million) will cover a 4.98-hectare area, consisting of a maritime transport center and a high-rise administrative building at west pier 4, as well as a berthing section at west piers 5 and 6 for vessels serving offshore islands and mainland China. The maritime transport center will be completed in 2015 and the administrative building in 2017.
On the eastern front, the construction of a new cruise tourism center at east piers 2 to 4 will be funded by the public and private sectors. The first-phase construction at east piers 3 and 4 is to be completed by 2017, while the remaining phases will be finished by 2019. When the time comes, the Keelung Maritime Plaza will connect the port's eastern and western fronts to offer a sweeping view of the waterfront.
In addition to infrastructure improvement at the Kaohsiung and Keelung ports, the premier said new facilities will be built at other international commercial harbors and cross-strait ports to meet growing market demands.