Beira Interior Toll Road PPP Project Analysis In Portugal

After the past decades when the economy in our country has experienced rapid development, we are in a certain condition which should transform the way of resource allocation and development model. We have entered a "Deep zone "of the economic reform. In the eighteenth National People’s Congress which held in 2012, Communist Party of China proposed we should consider the theory of "innovation-driven" as the new driving of economic development, the NPC also provided a new concepts and new theories for the economic transformation. The eighteenth NPC put forward the theory that different market players should compete fairly which is called "the theory of three equality"for guide the economic reform.Infrastructure means the government offered the public goods and service in order to satisfy people’s needs. The infrastructure whether or not perfect can be used measure the level of economic development. The developed country’s infrastructure is more perfect than the developing country. However, with the process of urbanization is speeded up, the scale of funds also growing. This phenomenon exacerbated government’s financial burden. After a long term, it will generate a negative impact on the economy. In addition, China’s private sector has developed rapidly. It has great interest in the infrastructure investment. But due to the excessive restrictions on private sector participate in the public goods and service construction, a large part of social capital was not be used. It will influence the economic sustainable development. Considering the actual situation, the government should change the infrastructure financing model as quickly as possible so that the social capital can be involved. To solve this problem, government can apply to PPP model. PPP model can introduce the private sector into the process of investment in infrastructure, not only solve the problem in the financing but also can improve the quality of public goods and service. PPP model is the main research object in this paper. Through analyzing the Beira interior toll road in Portugal, we can point the problems in the process of China’s PPP development. Then, this paper put forward the solutions. The main content of this paper includes the following parts:The first part is the introduction. It includes two aspects:the background of studies as well as the significance and the innovation.The second part explains the basic theory of PPP model. It includes PPP model’s definition and characteristics, especially the PPP model in the infrastructure.The third part introduces the basic information of Beira interior toll road project.The fourth part analyses the project’s main characteristic and reasons for success.The fifth part points out China’s development problems of PPP model, and raise the policy recommendations.The sixth part is the conclusion and prospect.