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China Daily Website

Zhejiang to launch $53b partnership projects

Updated: 2013-10-28 17:27
By SHI JING in Shanghai ( chinadaily.com.cn)

Zhejiang province will launch 129 projects in a program of cooperation between State-owned and privately-owned enterprises, local authorities said.

The investment could hit 324.4 billion yuan ($53.3 billion), authorities said at the World Zhejiang Entrepreneurs Convention held in the provincial capital Hangzhou on Sunday.

Of the 129 projects, 38 will belong to provincial State-owned enterprises with a total investment of 45.3 billion yuan. The larger ones include a port project in Taizhou invested by Zhejiang Communications Investment Group Co Ltd, which is worth some 7.7 billion yuan.

Eight projects invested by Zhejiang Provincial Energy Group Co Ltd are worth some 10 billion yuan, covering an urban gas network. Most of the projects they promote will grant a 39 percent stake to privately-owned enterprises and stock rights can amount to 49 percent, said Fan Xiaoning, deputy general manager of Zhejiang Provincial Energy Group Co Ltd.

Fan was also quoted as saying that qualified and professional privately-owned enterprises are the potential cooperation partners with the SOEs. Privately-owned enterprises are especially welcome to work in the urban gas network projects.

A total of 79 projects promoted by the city-level State-owned assets supervision and administration commission will have an investment of about 270 billion yuan, most of which are infrastructure projects. Wenzhou, where financial reform is currently being undertaken, will have 44 projects which are worth some 102.6 billion yuan. Zhoushan has plans for 23 projects with a total investment amount of 149.1 billion yuan.

The railway projects are attracting the most attention. Zhejiang entrepreneurs are welcome to cooperate in these railway projects.

As the railway investment giant in Zhejiang, Zhejiang Provincial Railway Investment Group Co Ltd is opening up three projects to privately-owned enterprises, including Jintai Railway, Yueqing Bay Railway and Dumen Port Railway.

Zhu Congjiu, vice-governor of Zhejiang province, said the local authorities wish to break the "glass ceiling" for private investment via this kind of cooperation.

Feng Bosheng, director of the State-owned Assets Supervision and Administration Commission of the People's Government of Zhejiang Province, said local authorities will promote cooperation between SOEs and privately-owned enterprises in three aspects: major infrastructure projects, upgrading, and resource projects in the marine economy and tourism.

 
 
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