The Executive Yuan today approved an action plan that would support fiscal sustainability by making full use of underdeveloped national land. Vice Premier Jiang Yi-huah, who doubles as convener of the national land settlement and usage task force, indicated that efforts to revitalize the properties have yielded preliminary results.
Given the importance of this initiative to the Economic Power-Up Plan, the Ministry of Finance (MOF) has already selected three locations in Taipei for redevelopment: the Air Force Headquarters (present site), Huaguang Community and the Taipei Academy. These pilot projects are expected to attract private investment of about NT$14 billion (US$466.7 million) and create proceeds totaling NT$92.9 billion, including royalty income, rent and taxes.
The plan includes four main measures as follows:
1. Transfer unused public land to the charge of the MOF's National Property Administration (NPA):
Land management authorities will take stock of unneeded public land, convert them to non-public use by the end of June and place them under the NPA's charge for redevelopment.
2. Raise utilization efficiency of public land:
Ministries and commissions will see to it that their subsidiary agencies identify least-used public land, formulate plans to raise their utilization efficiency and submit such plans to competent authorities by the end of June for review.
3. Develop properties that promote regional characteristics:
Public land will be used to develop industries characteristic of their region. Local governments will be invited to participate in the process.
4. Solicit capital from private sector:
Use national land to promote private participation in infrastructure projects. Regulations will be reviewed regularly to remove barriers to investment.
In addition, the MOF reported on a national assets management and utilization program, which since implementation in 2009 has seen more property registries established by ministries and agencies, fewer cases of unauthorized land use, and increased efficiency in national land utilization. Revenue generated under the program has grown from NT$15.1 billion in 2009 to NT$27 billion in 2012.
One success case is the Taipei Railway Station; after entering into a rehabilitate-operate-¬transfer arrangement with a private contractor, the station was reborn into a multifunctional commercial and transport hub, spurring the development of neighboring areas. Another example is the Leader Hotel near National Taiwan University, renovated and now operated by a private contractor to provide conference services and lodging for visiting scholars.
Since 2009, the NPA has inked 16 business contracts with the private sector, attracting investments totaling NT$18.36 billion. It has also generated over NT$1.05 million by renting out land, granting rights to own structures on national land, outsourcing operations, and improving land utilization.
At today's meeting, Vice Premier Jiang presented awards to the top five government agencies making the best use of national land under the program.
Jiang directed the MOF to integrate this program with efforts promoting private participation in public infrastructure, which he said would revitalize and infuse new energy into the economy.