Study On The Implementation Of BOT Of Highway Construction Project Management

Over the 30 years of reform and opening-up, China's highway traffic has achieved leapfrog development, highway network structure has improved greatly, and especially we have fulfilled a zero brake-through in freeway construction. Nearly 8,300 kilometers of freeway were built in 2007, which was the most in history. Till the end of 2007, there are 53,600 kilometers of freeway nationwide. However, there remains huge funding pressure in achieving the goal set in National Freeway Network Program. The primary job of all levels government is, therefore, to accelerate construction of road traffic, particularly to promote freeway construction in a fast, scientific and efficient way.The application of BOT model in highway construction can reduce the national financial burden, brought about by infrastructure construction. MS Freeway is the second project, after Le(shan)-Yi(bin) Freeway, in Sichuan Province to apply BOT model to determine investors through bidding. And it is the first freeway construction project whose tenderee is the local government. The Feasibility Report On MS Freeway Project illustrates that: this project has strong ability to resist risks, great benefits to national economy, and is highly profitable, which ensures its capability of loan repayment, and the benefits of investors. The successful application of BOT financing model in MS Freeway project can create mutual benefits for the M and S governments, investors and financial institutions.MS Freeway's BOT model can relief funding pressure as well as improve the effectiveness of investment. In addition, it introduces the market mechanism into the fields of investing and financing. All these provide practical significance for some critical problems of China's highway traffic construction; and indicate the success of the people's government of Sichuan Province's policy in enhancing opening up and inviting private funding for traffic infrastructure construction. Thus, to apply BOT model in freeway construction is a historical choice to fulfill the leapfrog development for both Sichuan and the whole nation's highway traffic.By researching the procedure of determining investor for MS Freeway construction project based on BOT model, and analyzing the problems met by the government and investors, this article provides suggestions on establishing and perfecting regulations for BOT, cultivating BOT professionals, and enhancing government's management team building in BOT project.