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BIZCHINA> Center
Reconstruction requires careful planning
By Xin Zhiming (China Daily)
Updated: 2008-06-02 11:12

Li Ke, a professor with the business school of Japan's Nihon University, says although government-led efforts are important, the market should be fully utilized. Although the local economy of Sichuan is comparatively underdeveloped compared with major economic belts such as the Yangtze River Delta, it has its own competitive edge, such as its tourism, thanks to its beautiful natural scenery. Both Dujiangyan and Wolong, severely damaged in the quake, are famous tourist destinations.

"The BOT (buy-operate-transfer) model could be explored in reconstruction in those regions," Li says. Under the BOT model, private developers are contracted to finance the cost of the reconstruction in exchange for which they are allowed to operate local tourism resources for a set period of time, say 10 years, before transferring them to the local government. In this way, the local infrastructure could be restored and jobs created while bridging the funding gap, if any, Li adds.

Minister of Civil Affairs Li Xueju has reportedly said his ministry is planning to launch a relief lottery nationwide to pool money for quake-hit regions.

Reconstruction requires careful planning
Pupils have a class in their camp classroom in Jiuzhou Stadium in Mianyang City of Sichuan Province May 23, 2008. Nearly 1,000 students from the neighboring quake-affected areas have resumed classes in the temporary camp school. [Xinhua]
Reconstruction requires careful planning

The process begins

The central authorities have mobilized 20 provinces to pledge to help Sichuan build 1 million temporary houses within three months. Each house, according to the initial plan, will cover 20 sq m. By the end of June, the first batch of 250,000 such temporary houses will be provided to the quake victims. Primary and middle schools, clinics, stores, rubbish collection and water supply facilities will also be established alongside these houses.

But there are issues of bigger and longer-term significance that need to be worked out, experts say. To begin with, a comprehensive plan of reconstruction in the coming years, not months, must be mapped out and the key goals specified. A unified high-profile agency in total charge of planning and reconstruction must be put in place to avoid policy conflicts between departments.

Lessons should also be learnt from post-quake reconstruction in other countries, says Hu Angang, director of the Center for China Studies co-sponsored by the Chinese Academy of Sciences and the Tsinghua University. "International experts can be invited as advisers, who can participate in discussions and the policy consultation process for the reconstruction."

Some international organizations such as the World Bank have shown keen interest in providing their expertise in this hour of need. "We can help the local and central governments analyze the destruction and set the priorities for rebuilding," David Dollar, World Bank's country director for China, has said. "We can offer the government technical assistance. We can very quickly mobilize international experts to work with their Chinese counterparts in assessing the damage."


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