Announcement of Partial Amendments to the Act for Promotion of Private Participation in Infrastructure Projects by the Presidential Decree (Taiwan)

March 2023

Luke Hung and Sally Yang

The Partial Amendments to the Act for Promotion of Private Participation in Infrastructure Projects (hereinafter, the “Act”) by the Presidential Decree of December 21, 2022 came into effect on the day of their promulgation.

The Amendments this time seek to expand the categories of public construction and services under Article 3 of the Act, in order to comply with the needs of national policy development and increase incentives for private participation.  “Audiovisual and music facilities,” “green energy facilities,” “resource recycling facilities,” and “digital construction” have been added to the applicable categories of public construction under the Act.

In addition, the incidental resolution passed during the third reading in the Legislative Yuan on December 2, 2022 is also noteworthy:

1. Regarding the inclusion of digital construction, the Legislative Yuan has requested that the Ministry of Finance promptly supervise the authority in charge to require private institutions to comply with relevant cybersecurity requirements under the Cyber Security Management Act in investment contracts, in order to maintain the domestic cybersecurity environment.

2. Due to the diversity of methods to promotion of private participation, the Legislative Yuan has also requested the Ministry of Finance to establish an evaluation mechanism to determine if hardware, software equipment, personnel, or service content of government agencies has any national security or cybersecurity concerns in conjunction with the relevant competent authorities for specified business, and include the mechanism in the evaluation and periodic assessment procedures during the selection and performance management phases.[1]

For relevant contents of the amended provisions of the Act, please see the newsletter published by the Firm in May 2022:The Legislative Yuan of Taiwan Is Reviewing the Draft Partial Amendments to the Act for Promotion of Private Participation in Infrastructure Projects Submitted by the Executive Yuan.

[1] See the record of the Legislative the 110th Plenary Session in Volume 111 of the Legislative Yuan Gazette.

The contents of all materials (Content) available on the website belong to and remain with Lee, Tsai & Partners.  All rights are reserved by Lee, Tsai & Partners, and the Content may not be reproduced, downloaded, disseminated, published, or transferred in any form or by any means, except with the prior permission of Lee, Tsai & Partners. 

The Content is for informational purposes only and is not offered as legal or professional advice on any particular issue or case.  The Content may not reflect the most current legal and regulatory developments.  Lee, Tsai & Partners and the editors do not guarantee the accuracy of the Content and expressly disclaim any and all liability to any person in respect of the consequences of anything done or permitted to be done or omitted to be done wholly or partly in reliance upon the whole or any part of the Content. The contributing authors’ opinions do not represent the position of Lee, Tsai & Partners. If the reader has any suggestions or questions, please do not hesitate to contact Lee, Tsai & Partners.