Research On Financing Strategy Of Chinese Energy Performance Contracting Based On Asymmetric Information Theory

With the scarcity of energy and energy savings become an increasingly important international and domestic context, Energy Performance Contracting (EPC) is a market-oriented energy management mechanisms, which is applied to promote energy-saving services, had been widespread in developed countries. Since the EPC model has been introduced into China, the financing difficulties, which is the most important issues, hinder its rapid development.This paper describes the development and financing status quo of EPC between the international and domestic countries; On the basis described three different EPC financing model ,namely, U.S. EPC financing model, Germany EPC financing model and Brazil EPC financing model, with the purpose of having an reference for Chinese EPC financing model. Then reviewed the Early Financing Theory, the Modern Financing Theory, and the New Financing Theory, the After Financing Theory, the latter two was established on Asymmetric Information. Finally, combined with China's current EPC financing approach, the paper analyzed the causes of difficulties in EPC financing.On the basis of reason analysis of difficulties in Chinese EPC financing model, come to an important conclusion: the incidence of Asymmetry Information is the main cause of difficulties that Chinese EPC financing model. Then in the second part of this paper, by constructing a financing strategy game model based on Asymmetric Information, demonstrated that Energy Service Companies (ESCO) would only consider the way to financing through debt, rather than allow Banks to provide equity in the case of Asymmetric Information between the Energy Users, ESCO, Banks and other stakeholders. On this basis, the fifth chapter of this thesis proposes a debt financing strategy--Relationship-based Financing strategy, which can eliminate the information asymmetry effectively between the ESCO, Banks and other stakeholders, and by way of empirical research proved its effectiveness.