China promotes efficient use of railway land

BEIJING - Chinese authorities on Monday unveiled a set of policies to support development and efficient use of land surrounding railway stations, a move to guide and support railway investment amid the country's urbanization drive.

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Land allotted for building railway stations should be planned and used in an integrated and efficient way and be coordinated with other types of transportation facilities and urban planning purposes, according to a statement posted on www.gov.cn by the State Council, China's cabinet.

The State Council said it encourages railway operators to efficiently use and mobilize existing land resources, including the renovation of old railway stations and peripheral areas, in order to help companies fund railway projects and increase revenues.

Companies permitted to use government-allotted land for railway construction and operation may allow other parties to invest in or rent the land, or transfer land-use rights among subsidiaries or stakeholding firms, according to the statement.

The State Council also urges local authorities to reasonably determine the boundary and scope of such land projects and to create a fair and competitive market climate.

In a cabinet meeting in April, the central government said it will maintain steady growth of investment in the railway sector, which some analysts considered a "micro-stimulus" measure to shore up growth.

China Railways Corporation, the national railway operator, said it has targeted 800 billion yuan ($130 billion) of railway investment for the entire year of 2014.