Research On Equity Structure Of PPP Project Based On Public-Private Interest Balance

China is in the rapid development of urbanization stage,the demand for infrastructure construction is very large,the public sector to bear the burden of funds is also very heavy.The PPP(Public-Private Partnership)can involve private investor in the field of infrastructure construction,reduce the pressure of the public sector,but also can combine the advantages of both public and private sectors,improve the quality of the project to make it better for the public.In the PPP project,the interests of the public and private sectors are not entirely consistent,the public sector is concerned with the social benefits of the project,while the private sector is pursuing the economic benefits obtained from the project,the interests of the two there is a certain conflict.The equity structure of the PPP project can control the public and private ownership of the project to a certain extent.Therefore,this paper focuses on how to balance the interests of both public and private parties through the rational allocation of equity structure,so that the public and private parties can cooperate better in the PPP project.This paper analyzes the interests of the public and private parties in the PPP project,and classifies the equity structure of the PPP project by using the ownership concentration based on relevant theories.And then it uses the theory of financial governance to analyze the impact of different ownership structures on public and private interests in PPP projects.Next,it uses the cost of this indicator to represent the public interest through quantitative methods;On the basis of satisfying the public interest,to satisfy the private sector's economic benefits by making the private sector not benefit less than the opportunity cost or the required remuneration,and finally the equity structure of the PPP project that can balance the public and private interests.Finally,the model will be applied to a specific case which is proved to be practicable.This paper studies the equity structure of PPP projects based on the balance of public and private interests.The aim is to reduce disputes between the public and private parties in the PPP project and to protect the interests of both parties,and also make the PPP project proceed smoothly.