Chapter 664 Infrastructure Maniac
Not long after the groundbreaking ceremony was held for the Three Gorges project.
The Shanghai-Shenzhen high-speed rail project also held a groundbreaking ceremony.
The Shanghai-Shenzhen high-speed rail project involves Magic City, Zhejiang Province, Fujian Province, and Guangdong Province, connecting Magic City, Hangzhou, Yongcheng, Haizhou, Dongou, Mindong, Rongcheng, Puxian, Licheng, Ludao, Shuixian, Chaozhou, Shantou, Jieyang, Shanwei and Pengcheng are sixteen coastal cities.
This time, in addition to provincial leaders, there were also heads of prefecture-level cities who attended the groundbreaking ceremony.
Zhao Guoping serves as the commander-in-chief of the Shanghai-Shenzhen High-speed Railway Project Headquarters and delivered a speech at the opening ceremony. He spoke very highly of the Shanghai-Shenzhen High-speed Railway project, believing that it will benefit 20 to 30 million people along the line and connect various coastal cities together. It will facilitate transportation among three provinces and one city and promote economic development along the route.
The entire Shanghai-Shenzhen high-speed rail project took a total construction period of six years and was completed in 1996.
With the completion of the Beijing-Kowloon Railway, a large number of construction workers have been transferred to the Shanghai-Shenzhen High-speed Railway Project to build the Shanghai-Shenzhen High-speed Railway Project.
Looking at Zhao Guoping delivering a speech on the stage, Liu Tao understood that after a year, Zhao Guoping had adapted to his new position and new role.
Managing a local government and working in an enterprise are completely different things.
Unless Zhao Guoping makes achievements, it will be difficult to move forward.
But it seems that Zhao Guoping adapted quickly.
In China, governing the country is not a simple matter. It is impossible to jump directly from a mere amateur to a high position to govern the country. In China, it is common to govern a county town. After making achievements, you will be promoted to a prefecture-level city to govern a city. If you make good achievements, you will be promoted to a provincial capital city or sub-provincial city. This stage is bigger. After making achievements, you will be promoted to govern a city. Provinces or municipalities are selected step by step. Only those who stand out can govern the country.
It can be said that those who can stand out under this selection system are all outstanding people, and there is absolutely no problem in terms of ability.
If you don't have the ability and are pushed to a high position, you won't be able to convince the crowd, and you will often fall down quickly, and the fall will be even worse.
After attending the opening ceremony of the Shanghai-Shenzhen high-speed rail project, Liu Tao did not stay long and went back to the capital.
This time I returned to Beijing to attend meetings, which were special meetings for Beijing-Shanghai Expressway, Beijing-Kunming Expressway, Wuhan-Guangzhou High-speed Railway, Guangzhou-Kunming High-speed Railway, and Chengdu-Kunming High-speed Railway.
This special meeting was of high standard, with heads of ministries and commissions such as the Ministry of Transport, the Ministry of Railways, the Ministry of Finance, and the National Development and Reform Commission all present.
The estimated total cost of the entire project is as high as 400 billion yuan, which is enough to hold a meeting of this level.
After all, even the total investment of the Three Gorges Project is not that high.
The heads of the Ministry of Railways and the Ministry of Transport smiled from ear to ear. After all, this is undoubtedly a good thing that will make the world lose its pie.
When they submitted the application report last year, they were actually trying their luck. Even if they only repaired a few sections, that would be a good thing.
Unexpectedly, the higher authorities decided to start the construction of these two expressways and three high-speed railways.
Although two expressways and three high-speed railways have been built, they probably won’t have a share of the revenue generated in a short period of time.
In fact, in their view, these projects mainly provide social benefits and promote local economic development. As for charging fees alone, they do not think they can generate profits.
But for the Ministry of Transport and the Ministry of Railways, as long as it is repaired, it will be within their jurisdiction and it will be their political achievements. It will only have benefits and no harm.
For the Ministry of Finance, this is naturally a good thing. After all, the total estimated investment is as high as 400 billion yuan, which must be funded by the Ministry of Finance. The Ministry of Finance definitely does not have that much money. However, Panshan Group invested 300 billion yuan, and the Ministry of Finance only needs to provide one One hundred billion RMB. This one hundred billion RMB does not need to be taken out all at once, but divided into several years, which is equivalent to less than 20 billion yuan a year. It is okay for the Ministry of Finance to bite the bullet.
Besides, the provinces and cities along the route always need to contribute.
Such a large investment can boost the economy significantly, and it can collect a lot of taxes. When it is put into operation in the future, it will generate a lot of profits and taxes every year, and it can be said that it will be a big taxpayer in the future.
At the meeting, Liu Tao, on behalf of Panshan Group, expressed his willingness to invest 300 billion yuan.
As for the specific shareholding ratio, it has been discussed long ago.
Companies will be formed here, and everyone will hold shares according to their efforts. The income generated from operations will be distributed as dividends according to the shareholding ratio.
Of course, for everyone, probably no one except Liu Tao would think that investing in such a large highway and high-speed rail can generate profits, and that it can barely settle the accounts without losing money is a big deal.
Nowadays, when building roads and railways, we do not consider the profitability of future operations, but consider the social benefits. This is not a business, but a kind of social infrastructure. The purpose of its existence is to provide basic services for the entire social and economic development. Maintain profitability itself.
As for losses, no one cares at all, because according to research, if you lose 1 US dollar on the high-speed rail, the economic growth generated along the high-speed rail will increase by 1.8 US dollars. Three years after the high-speed railway was completed, government tax revenue along the line increased by 68%, and the economic growth rate was 1.5 times that of other regions.
The losses from building high-speed rail can be fully replenished from local economic development.
Besides, the production of high-speed rail parts involves a large number of companies, distributed in more than 20 provinces, enough to form a huge industrial chain and provide a large number of jobs.
In other words, for everyone, building high-speed rail and expressways is more of an engine for economic development.
It doesn’t matter whether high-speed rail or highways themselves make profits or losses.
If it is detrimental to anyone, it is also detrimental to Panshan Group.
Liu Tao's face was expressionless, even slightly bitter, but in fact he was very calm inside. Whether he invested in high-speed or high-speed rail, he would definitely not lose money, especially now that the cost is relatively low.
Moreover, the cost is so high, but many of the cores are controlled and manufactured by Panshan Group. This is equivalent to using the left hand and the right hand.
The investment was so large, but the money did not flow out, but stayed in China.
In the future, society will develop faster, more vehicles will take the expressway, more people will take the high-speed rail, and freight will be added to it, and it will be difficult to lose money.
Moreover, the money is actually taken out, instead of borrowing a large amount from the bank. There is no need to pay the bank a large amount of interest every year and pay the bank money. Liu Tao even thinks that it will not take 20 years to recover the investment. .
And this still takes inflation into account.
Of course, investing in highways and high-speed railways is definitely not as profitable as doing military industry. However, in the military industry, there is a ceiling for the orders completed every year. After all, not all of them are fighting. Although the projects he talked about are large, they last for several years. The time it takes to complete is actually not that big when spread out over each year. Unlike highways and high-speed rail, this is a slow and steady flow.
So from the bottom of his heart, he doesn't reject it.
The reason for the bitterness on his face is actually for others to see, especially the leader.
Only children who can complain will get milk!
Save yourself the trouble of always trying to pick up Panshan Group’s wool.
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