The Risk Allocation Of Urban Rail Transit PPP Project In China

Urban rail transit with energy-saving,land-saving,high efficiency,environmental protection,amenity and high safety is an important part of public infrastructure in our country.The development of urban rail transit is of great significance for the development of city.The urban rail transit investment and operating costs are high,taking PPP(Public-Private Partnership)model can reduce the pressure of government finance,break the monopoly and enhance operational efficiency.Due to the difference of goals and requirements between public and private sector,the negotiation is protracted,time is consumed and upfront fee is increased based on PPP model.On the other side,there need a strong cooperation agreement,a fair risk allocation mechanism and income distribution mechanism in the project to maximizing social profits.Firstly,through literature review and case analysis,the meaning and situation of PPP model was in-depth studyed,and that the reasonable and equitable risk allocation mechanisms is the basis of mutual benefit and win-win cooperation is pointed out.The advantage and disadvantage of several kinds of PPP model was sumed up by analysing the existing urban rail transit PPP project.Secondly,the principle of risk allocation is defined combined with the characteristics of the PPP project,and the determination of risk allocation indicators is based on the principle of risk allocation.An analytic hierarchy process survey was conducted to analyz the impact of the indicators on the proportion of risk allocation in risk allocation model,risk allocation model was builded based on the result of this survey.The proportion of risk of participants can be calculated by the risk allocation model.Then based on the characteristics of whole life of PPP projects,the risk allocation process and risk allocation system is designed.Finally,the Hangzhou Metro Line 1 PPP project was selected as a study case,The PPP project of Hangzhou Metro Line 1 is calculated by the risk allocation model,then the recommended proportion of participants’ risk taking is determined.The applicability of risk allocation model is analysed in this study case.