BOT Cooperation Model

The BOT (Build-Operate--Transfer) model is the abbreviation of "Build-Operate-Transfer", which is essentially a way of investing, building and operating public facilities and services, based on the premise of an agreement between the government and private institutions , which is issued by the government to a private institution, allowing it to raise funds for a certain period of time to construct a public project and to manage and operate the facility and its corresponding products and services.

Introduction to the BOT model implemented by Shenzhen Taiwa Energy Technology Co., Ltd.:

The project sponsor signs a franchise agreement with our company. Our company undertakes project investment, construction, operation and maintenance. Within the time limit specified in the agreement, through the development and operation of the project and other incentives given by the local government to recover funds to repay the loan, and make a reasonable profit. After the franchise is over, the service provider will hand over the fixed assets to the government free of charge.

Features and advantages of the BOT model implemented by Shenzhen Taiwa Energy Technology Co., Ltd.:

1. Maintaining the role of the government in promoting the market mechanism. Since most of the economic behaviors of the BOT projects implemented by our company are carried out in the market, the government's practice of identifying project companies by means of bidding also includes a competition mechanism. As a reliable market subject, our company is the subject of the BOT model, and has complete property rights for the construction projects within the franchise. Our company's behavior in the process of project implementation is also fully in line with the broker's assumptions.

2. The BOT project implemented by our company provides an effective way for government intervention. This way is the agreement related to the BOT reached by our company. Although the implementation of the BOT agreement is entirely the responsibility of the project company and our company, the government has control over the project from beginning to end. In the three stages of project approval, bidding and negotiation, the government's will plays a decisive role. In the performance stage, the government has the power to supervise and inspect. The price designation in project operation is also constrained by the government. The government can also pass the general BOT law. To bind the BOT project company and bind our company.

3. Reduce the government's financial burden and avoid project risks.

4. Due to our professional and technical capabilities, our company has a clear project rate of return and strictly follows the winning bid price, avoiding disputes of interests.

5. Through our professional technical ability and management and operation ability, it is beneficial to improve the operation efficiency of the project.