Taichung MRT Blue Line needs additional NT$100 billion; revised plan to seek central funding

The Taichung MRT Blue Line project in Taiwan faces a significant budget shortfall, requiring an estimated NT$100 billion more than initially allocated to reach completion. The Taichung City Government's Rapid Transit Bureau confirmed that the original budget of NT$161.5 billion is insufficient due to escalating construction costs across Taiwan. The bureau plans to revise the project proposal and seek central government subsidies to bridge the funding gap. The project's target completion date remains 2034. Officials cited a nationwide trend of rising expenses in public works, noting that labor costs now constitute about 30% of project expenses. Specific engineering components have seen price increases ranging from 60% to over 120%, exacerbated by a shortage of skilled labor and increased construction risks. The bureau referenced the Kaohsiung MRT Yellow Line project as an example, where the total budget was adjusted from NT$144.237 billion to NT$236.858 billion due to market and logistical factors. Taichung's Blue Line is currently in the final stages of detailed design for its underground sections, with elevated sections already put out for tender. The city government emphasized that any adjustments to major public construction budgets require professional evaluation and approval from both central and local authorities, assuring that the Blue Line's construction will proceed in accordance with legal procedures.

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In recent years, construction costs have risen across the board, and MRT projects in all cities and counties across the country are facing pressure to adjust costs.