Act for Promotion of Private Participation in Infrastructure Projects Article 8

A private institution may participate in an infrastructure project in any of the following way:1. The private institution invests in the construction and operation of a new infrastructure, and upon expiration of the operation period, transfers the ownership of such infrastructure to the government.2. The private institution invests in the construction of the infrastructure and upon completion of the construction, relinquishes the ownership to the government without compensation. The government then lets the private institution operate the infrastructure. Upon expiration of the operation period, the operation concession reverts to the government.3. The private institution invests in the construction of the infrastructure. Upon completion of the construction, the government acquires the ownership by paying the construction expenses in a lump sum or in installments. The government then lets the private institution operate the infrastructure. Upon expiration of the operation period, the operation concession reverts to the government.4. The private institution invests in the extension, reconstruction and/or repair of an existing infrastructure, and operates the infrastructure. Upon expiration of the operation period, the operation concession reverts to the government.5. The private institution operates an infrastructure built with investment from the government. Upon expiration of the operation period, the operation concession reverts to the government.6. To support the government policy, the private institution invests in the construction of an infrastructure on private land provided by the private institution itself, has the ownership thereof upon completion of the construction, and then operates the infrastructure itself or commissions a third party to operate it.7. Any other way approved by the competent authority.The term “construction” under this Act shall include new construction, extension, reconstruction, and repair.The operation periods under the subparagraphs of Paragraph 1 shall be specified by the authority-in-charge in the approved project or in the concession agreement. Where a lease agreement is entered into for such an infrastructure, the operation period thereof shall not be subject to the restrictions under Article 449 of the Civil Code, Article 25 of the Land Act, Article 28 of the National Property Act, and the laws and regulations governing local governments’ management of government-owned property.