China is expanding private-sector participation in infrastructure projects to improve operational efficiency and help keep public service costs stable, according to the National Development and Reform Commission (NDRC).

The NDRC has been promoting infrastructure projects in transportation, logistics, water conservancy, and energy, focusing on projects that offer stable returns, with a policy issued in November 2025 encouraging private investment in major projects including railways, nuclear power, hydropower, and water supply.

Private capital has already gained a larger role in infrastructure. For example, private investors hold a 25 percent stake in the first phase of the SPIC Laiyang nuclear power project in Shandong province. Private investment in national water-network construction exceeded 10.8 billion yuan ($1.6 billion) in the first half of 2026, up 85.8 percent year-on-year.

The NDRC has also selected 36 infrastructure projects in areas such as railways, wind power, energy storage and water diversion, with total investment of 61.4 billion yuan, which are expected to attract 15.6 billion yuan in private capital.

The commission said it will improve project promotion and government-business communication mechanisms to help accelerate project implementation and control operating costs, supporting stable charges for public utilities.