Study On Risk Control Of Water Conservancy Project Based On Construction Angle

Government increases the investment in water conservancy projects with the desire to strengthen water conservancy construction of the nation. However, the shortage of financial resources hinders the development of water utilities. As a result, local governments set their sights on BT mode, type of financing model. Water conservancy project constructed through introducing social capital results in the establishment of BT. Water conservancy and hydropower construction enterprises are facing with unprecedented opportunities. Although BT model in China has been running for many years, but the use of this is new in water project.Due to the insufficiency of national legal norms, there has been no clear definition to BT mode. In the meantime, because of the particularity of different projects, BT model has evolved into a variety of modes, and some companies carried out illegal operations with BT, which lead to risk profusion of BT project. Strengthening management and control of BT risk in companies is necessary.The article first introduces the Research status at home and abroad, and then given out it’s concept, advantages and disadvantages, as well as its operational procedures. Then it introduces the basic theory of risk management, especially in identifying and analysing BT project. The article finally works out the actions to this problem. The article aims to establish risk breakdown structure through brainstorm to identify BT project risk in water conservancy project construction; then it analyzes the causes, probable results of BT risk as well as its preliminary signs through qualitative analysis. The result would be scored through expert scoring method, then the Risk Priority Numbere (RPN) level would be sorted. According to the characteristics of BT water conservancy projects, the article proposes measurements in water conservancy construction enterprises.Finally, it suggests that water conservancy construction enterprises can be divided into four categories according to the similarity of the risk response measures. The first type is strengthening the contract negotiation and management, and then the internal management. Thirdly, strengthening personnel training, and finally purchase of insurance. The companies can solve the BT risk problem by establishing the investment management mechanism, carrying out a comprehensive enterprise budgets, competitive contracting of internal projects, and pre-project planning to BT risk.