A Study On The Feasibility Of Vertical Separation Model In Chinese Railway Industry

How to choose an appropriate developing model for Chinese railway industry has become the study focus at home and abroad. The author selected the feasibility of vertical separation model in Chinese railway industry as the subject of the paper, studied the characters and the status of Chinese railway industry, and the problems in its reform, and analyzed railway regulatory reforms in other countries and optional model for railway reform: vertical separation, finally made some tests on the feasibility of vertical separation in Chinese railway industry, so as to find out a proper model which fits the status quo of Chinese railway industry.Nowadays, Chinese railway reform is needed and should be careful. After comparing advantages and disadvantages of different models, the author figured that Chinese railway industry does not possess the conditions to implement horizontal separation model, while vertical separation model could be a breakthrough of Chinese railway reform, and is good to solve the problems in the reform, such as administrative monopoly, the integration of administration and corporation, and endogenetic regulatory governance, etc.The results of demonstration study supports vertical separation model. The study implies that, the separation of passenger operation and freight operation, and the separation of operation and rail track are helpful to improve railway performance. Thus vertical separation model is feasible in Chinese railway industry.Vertical separation reform could not accomplish in an action, the reform should bring into effect step by step. There are two main lines in the reform. One lies in a from-bottom-to-top property right reform, in which administration and corporation should be separated, at the same time, rebuilding the inner structure of railway industry is taking place. The other line lies in a from-top-to-bottom regulatory reform, where setup of independent regulatory organization, and...