Research On Government Risk Management Of PPP Model

The government is main provider in public goods because of the large investment,low profit and long construction period in profit infrastructure construction.The demand for public goods is growing with the new era of China’s economic development and the accelerated development of urbanization.Local governments’ fiscal expenditure is difficult to meet the needs of urban construction development.On one hand,Public Private Partnership pattern can meet the growing demand for public goods;on the other hand,it can help reduce the financial pressure of the governments and also has played a powerful role in promoting the transformation of government functions.In recent years,China’s PPP project has developed quickly.According to the PPP comprehensive information platform database,there are 9285 projects in the database and the total invest amounts is up to 10.6 trillion due to June 30,2016.Because the PPP project construction is still in the exploratory phase,related law system is not perfect,the construction cycle is long and involving many departments,it is difficult to conduct a comprehensive supervision.So,we should see the huge government risk in the rapid development of PPP project.Because of the public nature of the PPP project,the risk will endanger the interests of the masses,so the risk management of PPP project is particularly important.The first chapter is the instruction of the background,significance,methods and framework of this paper.The second chapter is the theoretical basis of this paper.Through the literature reading and summarizing the PPP theory,pointing out the importance and necessity of PPP project risk management.The third chapter first propose a method to identify the risk of PPP project.Second,evaluate the government risk and put forward the importance of social benefit evaluation to government risk management.Finally,points out that government should imply the whole life cycle risk management in PPP project according to the implement procedure.The fourth chapter takes Y wastewater treatment plant as example,making proposal in government risk management.The fifth chapter makes five suggestions in government risk management of PPP project.This paper put forwards that government risk management based on the whole life cycle should be established.Based on the explicit of government position,reducing the government risk of PPP project through enhance the risk consciousness,perfecting PPP legal system,establishing local government risk management mechanism,enhance the risk management level and strengthen the PPP project talent construction.