China Power Investment Legal System

Now, China is experiencing the rigorous Crisis of Electricity Power, lack of electric power is becoming a serious social problem. It restricts fast development of economy and society, and electricity power has already become the choke point that counterworks the national economy and social development. The reason that electric power is short is various, such as electricity demanding upsurge led by the excessive growth and the increasing consume because of the change of people's life style. And the deepest reason is that investing to the electric power system is unreasonable especially in the electric power field. If the upsurge of current investment continues, in 2007 or in 2008, the amount of electricity supply will be a great deal of rich remaining, thus it will result in a great deal of waste of resources. The purpose of essay is to reform the unreasonable system of electric power invests currently and to build up the law system of investment that can meet the request of market economy development. Thereby, we can guarantee the balance of the electric power supply and demand of our country, which can realize the development of economy and society that can keep on.The general theory of law system of capital asserts investment is the foundation and principle of the establishment of the electric power investment law system. The theories of the System changing, property right and commonality choice are a main line of investigating our country's electric power investment. There are serious problem in the law system of investment market access, supervision, and capital market. Although we need pertinence law system because of the quality of quart-commonality, the unreasonable different treatment will bruise the private capital enthusiasm. So the short of total amount appears.The reason of the electric power investment's imperfection in our country needs to analyze the factors of economy and the system. in the economic aspect, we can know that it is benefit that drive the investment of electric power. Under the condition that national electric power is becoming short; the investor who has the first timing of the power supply construction will acquired the business opportunities. Because the electric investment subjects of power mainly are government-owned company, there are special benefits relations between them; they can control the policy of governmenteasily. In the system aspect our country still strictly controls the supply electricity. Although the investment subjects of electric power include the foreign capital, private capital, etc, the state-owned capital is still the most important. Private capital and foreign capital is the small part of these subjects. Because law system of the power industry is not perfect, the investor can not possess the right completely. At the same time, the government deployed the social resource with the method that left behind by the planned economy system. These traditional systems make the current investment law system of our country is unreasonable.Many countries adopt different models of investment to electric power. The traditional ways contain government control directly or indirect, etc. In 1990', about all of the countries have taken reforms in this field. The purpose of the reforms in all countries are different, for example, programming in the market, the market rule and control system etc. But all reforms follow the same principle: decreasing the government's controls and increasing the market and competition.This text accords to the Decision about the Reform the Systems of Investment released by the State Department in 2004, at the same time, we draw the successful lessons from foreign countries in the system of electric power investment. We build up the system of electricity power according to the demanding of electric power development. Under the market economy condition, we should build up the reasonable investment subject law system, the strict investor rights protection law system, balanced concrete technique innovation and environmental protection system.. At the same time, we should perfect the law frame and build up new electric power investment management system, including the government working effectively, the business' enterprise independent conduct, the association's self-discipline service, authority control organization etc. The final purpose of the perfecting the law system is forming deferent corpus of investment, different funds resource and investment method's diversification, and build up the new structure of the market. And the new effective investment system.