Progressive Finance Study on Sewer System PPP Projectbased on Case Study of Tamsui Sewer System

• Main Authors: Shiu-Ming Chang, 張修銘
• Other Authors: Hui-Ping Tserng
• Format: Others
• Language: zh-TW
• Published: 2015
• Online Access: http://ndltd.ncl.edu.tw/handle/24378799060001737814

碩士 === 國立臺灣大學 === 土木工程學研究所 === 103 === Sewer is a symbol of urban civilized life; however, Taiwan promoted construction of sewer since 1980s. With prosperous development of economy, Taiwan’s rivers have suffered from serious pollution. Popularity rate of sewer is also one of the indicators for Switzerland Lausanne International Institute for Management Development business school to evaluate the national competitiveness of the worldwide countries, thus Taiwan starts to promote construction of sewer greatly, so as to improve living environment and water quality of rivers. When domestic major constructions are promoted, the sewer requires a large amount of expenditure. According to the preliminary statistics, it needs to invest NTD 10 billion to promote 1% of sewer popularity rate. After high-speed rail construction adopts BOT, it has become a research topic about whether sewer construction can be executed by referring to BOT, namely, jointly completing public construction and providing public service in the concept of PPP. It is generally thought that execution through BOT is that the authorized manufacturers build, operate and utilize charge mechanism to meet investment and gain certain return, and the government only provides authorization and sets limits on period to gain the public service without paying cost to manufacturers. In fact, if sewer is executed through BOT, self-liquidating capacity of manufacturers is insufficient because they have no charge mechanism for the public. As a result, the government pays to the authorized manufacturers to purchase the specific public service. This method is similar to PFI system carried out in England for years, in which the government purchases public service from manufacturers. However, people usually confuse these two due to the case of high-speed rail BOT. BOT case is conducted with feasibility assessment before investment. In addition to collecting and sorting materials and literatures, this paper compares the current situation of authorized companies under Tamsui Sewer System with the financial planning before bidding. After collection of financial statement up to now and reasonable assumption of future related parameters, it can be known through discounted cash flow that the estimate on disposal amount of chargeable water is too optimistic when the sewer system is executed through BOT. It may possibly cause the authorized companies to conduct refinancing to meet fund demand during the authorized period, but rate of return is still much lower than the original estimate. That is because the standard of estimating water quantity does not conform to social current situation. Therefore, if a similar case is executed through BOT, it shall be named as PFI case due to lower self-liquidating rate, so as to prevent confusion with BOT cases. Moreover, the standard of planned income and number of people per household shall be reduced. At the same time, it can keep close to the possible financial result in the future and reduce investment risk only through rigorously investigating and estimating number of service population.