The Study On Compensation Mechanism Innovation In Inter-basin Water Transfer

Water resources distribution in China is not uniform in time and space, and percapita possession is small, which does not fit regional distribution of productiveforces. There is a big gap in water resource endowment between north China andsouth China. It becomes one of the most important development issues that how tosolve the water problem in water shortage area, and utilize water resource sustainablyto support sustainable development of regional economy. Potential tapping, watersaving as well as Sewage treatment measures can not thoroughly solve the watershortage problem in water shortage areas, water transfer from other water basins is theonly way. South-to-North Water Diversion, being the largest Water-transfer projectunder construction in China, has great significance for China to relievesupply-demand contradiction and deterioration of the ecological environment in northChina, and to promote optimal allocation in water resources.Inter-basin water transfer brings great social，economic and environmentalbenefits to the water shortage areas, however, it brings certain losses to the wateroutput areas. Free water transfer not only violates fairness principle in waterallocation, but also hampers the efficiency using of water resources. Therefore, weshould build a reasonable compensation mechanism to solve the contradiction, and toeliminate the adverse effect. There are many defects in current compensationmechanism, including incomplete content, too-low compensation standard, lack ofecological compensation mechanism, compensation measures rely too much ongovernments, government transfer uneven distribution, unsound administration laws,dynamic compensation mechanism not exists, so it brooks no delay to innovatecurrent mechanism.This article studies the successful experience of the water transfer compensationmechanism theory and learns from advanced international water transfer compensation practice, based on the correct evaluation of China’s current watertransfer compensation system, innovatively designs inter-basin water transfercompensation system. And takes central line in South-to-North Water Diversionproject as an example, evaluates its mechanism, points out its main problems, makesspecific suggestions to improve the compensation system of inter-basin water transferin China. The specific content of this study are as follows:The first chapter is the introduction part, it describes the research background,research purpose and meanings, domestic literature review on the exploitation ofwater resources, train of thought, structure, innovation, as well as the basicframework.The second chapter analyzes the features and problems faced by the distributionof water resources in China, and discusses the developing relations between waterresources and social economy, proves the rationality and feasibility of inter-basinwater transfer in China, described the positive effects brought out by watertransfer,the necessity of compensation.Chapter three is the core theoretical part, it is the theoretical basis to build thecompensation mechanism, and proposes five theoretical basis of the water transfercompensation mechanism: property rights theory, externality theory, new institutionaleconomics theory, regional coordination of sustainable development and equal rightsto development theory. Property rights theory puts forward to the establishment of asound water rights system, gives the common property characteristics of waterresources. It regards water transfer as the transfer of property rights, and realizescompensation purpose by the revenue function of property rights. The theory ofwelfare economics starts from the perspective of eliminating externalities, proposesthat in the design of inter-basin water transfer compensation system, we shouldsubsidies people to encourage them to protect water sources. New institutionaleconomics theory analyzes the compensation system formation and balancedevolution from micro, meso and macro prospects. Regional coordinated andsustainable development theory combines the regional balanced development andsustainable development, analyzes the necessities of implementing the compensation mechanism. Equal rights development theory, holding the concept of "equality",discusses the practical social significance to build a reasonable compensationmechanism.The four chapter is devoted to the inter-basin water transfer projects and thecompensation mechanism since the foundation of China. Taking GuangdongJiangyuan county water transfer, and Beijing Miyun county water supply, as well asDongyang、Yiwu water transfer as examples, emphasizes on the origin of the projectand water supply effects, and combined with the compensation mechanism of watertransfer project, elaborates the ecological compensation, government compensationand market compensation,etc. Through summarizing and summing up these modes ofcompensation, the author analyzes deficiencies in China’s inter-basin water transfercompensation mechanism.Chapter five proves the compensation mechanism in chapter six, using centralline in the South-to-North Water Diversion project as an example. First describes thecentral line in the South-to-North Water Diversion project, introduces the basicsituation of the project. Secondly, analyzes the redistribution of the interests ofvarious subjects after the implementation of the central line project, and analyzes theinterest changes in order to clear the compensation liability mechanism. Thirdly,evaluates the current compensation policy in the central line project. Finally, takingHubei Yun County as an example, analyzes specific remedies to the water sourceareas, and reviewed the current compensation system.The main content of Chapter six is the relevant experience of the foreigninter-basin water transfer compensation system. Firstly, introduces the representativeon the international inter-basin water transfer project, analyzes positive role of theprojects in economic, ecological, geological and flood control. Secondly, sums up thesuccessful experience of foreign inter-basin water transfer management and relevantcompensation system. Finally, summarizes the enlightenment of foreign water transfercompensation mechanism to China: we should impose ecological construction tax, setup water rights system, complete the current financial transfer payment system,improve relevant laws and regulations and establish professional compensation institutions.The seventh chapter focuses on building an inter-basin water transfercompensation system. First, according to the reasons of the impaired benefits, dividescompensation to rights compensation an ecological compensation, and introduces therelevant situation of these two forms. Then the author argues that compensationmechanism should be running coordinately between rights compensation mechanism,ecological compensation mechanism and coordination oversight mechanisms.Through different compensation subjects, the author proposes a coordinated, effectingmutually compensation mode, unifying third sectors, government, market and thepublic.In the eighth chapter, under the mode of “third sectors, government, market andthe public” compensation implementation subjects, discusses the rights compensationmechanism in the central line project, ecological compensation mechanism andcoordination oversight mechanisms, in particular focuses on how to effectively realizecompensation system through the Interaction of these mechanisms.Campare to other research, there are several innovation points in this article:First, this paper builds an inter-basin water transfer compensation institutionsystematically. At present, there is little research on theory system of interbasin watercombining rights "compensation" and "ecology compensation". This study reveals themain building of the compensation system: right compensation, ecologicalcompensation system and the coordination of supervision mechanism,raise ininter-basin water transfer compensation system, to play the guiding role ofgovernment, market allocation function, participation of the third sector, publicsupervision function.Second, design of interbasin water transfer compensation system to run thesystem mechanism, the compensation system for the implementation of standardizeddynamic.In the right compensation system, put forward the "government+thirddepartments" pattern of institutional arrangements; in the ecological compensationsystem, design "government+marketing+third departments" pattern of institutionalarrangements; in addition, the formulation of government guiding, public supervision and coordination mechanism of supervision, guarantee the above system runningsmoothly, promote the standardization of compensation system, introducing dynamiccompensation idea, implementing compensation dynamic adjustment.