Beijing Rail Transit intends to increase marketization

Beijing Infrastructure Investment Corporation signed an agreement with Hong Kong Railway Co., Ltd. and Beijing Capital Group Co., Ltd. on the 21st, and the Beijing-Hong Kong subway will increase its operating lines. This means that the marketization of Beijing rail transit will be further strengthened.

From Beijing Jinggang Subway Company, it was learned that at the 15th Beijing-Hong Kong Talks, Beijing Infrastructure Investment Co., Ltd. as the owner and the Hong Kong Railway Co., Ltd., the investor, and Beijing Capital Group Co., Ltd. jointly signed the "" Twelfth Five-Year "Beijing Metro Metropolitan Investment Operation Intention Agreement".

According to the provisions of the agreement, Beijing Metro plans to complete the construction of the 660km line at the end of the “Twelfth Five-Year Plan” period. The owner and the investor will select the appropriate line for cooperation. The MTRCL and Capital Group will be the main investors and intends to invest in the construction of the Beijing Metro and The new line will be built, and its joint venture Beijing Jinggang Metro Co., Ltd. will be responsible for the operation and management. The investment and operation methods will be based on the specific conditions of the project and, upon mutual agreement by both parties, the use of purchased shares plus entrusted operations and franchise operations or other feasible methods approved by both parties.

According to reports, in 2009 Beijing Subway Line 4 was officially opened and operated by the Beijing-Hong Kong MRT Corporation. This is the first time Beijing Metro has introduced social operators. Shortly afterwards, Beijing Daxing Line and Metro Line 4 achieved a through-operation and were handed over to the Beijing-Hong Kong MTR Corporation for operation. The remaining subway lines in Beijing are operated by the Beijing Subway Operating Company.

The person in charge of the Beijing Jinggang Metro Company stated that the signing of the agreement was a new start for the Beijing-Hong Kong MTR Corporation. The company expects to be responsible for the operation and management of more lines in the future, and to share the benefits of the company’s economies in scale. All road network operation and management pressures, while reducing the pressure of government financial investment.

According to briefings, since the opening of the Beijing Metro Line 4, more than 530 million passengers have been transported, and the maximum daily passenger flow has reached 1.14 million. The Daxing line has transported more than 42 million passengers in total, and the maximum daily passenger flow has reached 250,000 passengers.