Urban Development and Infrastructure Policy in Shanghai

Ms. Li XiaonianFaculty of Law, Shanghai Academy of Social Sciences

Xiaonian_li2000@yahoo.com

Presented at UBC Institute of Asian Research Oct. 2006

Please do not cite without permission from the author

Preliminary Questions

• What is the relationship between the development of transport networks and economic development in a mega-city?

• What financial resources are available to fund infrastructure projects in Shanghai?

• How does one define a high-volume container port?

• What transportation infrastructure solutions are currently being explored?

Shanghai Transport Network

Outline • Infrastructure development in Shanghai• Transport networks in Shanghai:

Chongming Bridge and Tunnel Project; Hangzhou Bay Bridge;No.2 East Sea (2010-2020 with railway track),

• Capacity: 1.5 million cars, 6 million bicycles, 0.5 million cars

• Port Construction • Gov. transportation policy in Shanghai • Problems and solutions in urban development in Shan

ghai• Policy on foreign investment • BOT projects and risk prevention

UrbanTransport Network

• Current urban rail network: 9 light-track lines and 4 metro lines

• 2010 goal: 11 light track lines,10 metro lines, • 10 undersea tunnels, 5 river bridges • Yangpu Bridge: 7658 m long, 602 m span, world’

s longest cable-stay bridge • 940 bus routes covering 21794km • 8110km of metropolitan roads• 560 km super highway

Shanghai Metro Line and Railway Network

Express Highway Network in Shanghai

Location of Chongming Tunnel and Bridge Project

Port Construction in Shanghai

• Divided into 9 zones/ 4 groups• Future Master Plan of Sea Port

Goals: World No.1 cargo handling capacity

No.3 container transportation (throughput)• Surpass HK, Singapore• Implementation of “Three-Year Action Plan” • Modern Transportation Service Industry • Airport Development

Regional Economic Development Models: Z

hejiang and Shanghai • Zhejiang: local private economy as driving force i

n development

• Shanghai: reform of SOEs and foreign investment

• Core economic zone with two wings (Shanghai, Zhejiang and Jiangsu); will the bird fly?

Hangzhou Bay Bridge

• June of 2003: budget 10 billion RMB• 36 km long• Only 50km from East Sea Bridge, completion 2008 • 50% private investors • 12.5% return on investment within 25 years• Projected 30 billion RMB revenue after 14 years• Design: S-type platform in the sea, two-way six lanes• 100 year life span• Overcomes current infrastructure limits on economic gro

wth • Shanghai-Ningbo-Hangzhou, potential to relieve transpor

t congestion on East Sea Bridge

Hangzhou Bay Bridge

Problems and Solutions

• Traffic jams → Restrictions on private automobiles

• Lack of systematic management → stable fund-raising and skillful HR

• Disputed land use goals• Environment protection concerns• Growing disparity with other urban centres• Solutions: import advanced management techni

ques, finance capital and HR

Shanghai BOT Projects- Relevant Issues -

• Advantages• Risks• Legal issues• Contract type: Government contract, Administrative contract,• Partners: State or private enterprises and funding mechanisms• Contracts: franchises, loans, construction contracts etc.• Legal relationships: financer, operator, builder, insurer,

• Unexpected changes to policy or legal framework