Research On Financial Risk Management Of XH Company In Wind Power PPP Project

Due to limited government resources and lack of management experience,more and more public infrastructure construction adopts Public-Private Partnership.But from the wind power PPP project of XH Company in recent years,due to the large investment,long period,many participants,the social capital have to a big financial risk when they participate in PPP project.Therefore,the XH Company need to identify,analyze and propose solutions to the financial risks in the process of PPP projects.Firstly,based on defining the PPP model and the definition of financial risks of PPP projects,the article reviews the financial risk management of public infrastructure construction,the related systems of financial risk management of PPP projects,and scholars' research.Then divide the PPP project stage based on the whole life cycle theory,clarify the related subjects of the PPP project based on the stakeholders' theory,define the financial risk sharing method based on the equity theory and efficiency theory,and clarify the financial risk response method based on the internal control theory.Secondly,introduced the overview of XH Company and the participating wind power PPP projects.It was found that the existing PPP projects have some problems.The reasons for these problems were explored:the identification of financial risks of PPP projects did not base on the whole process of the project,the analysis of specific financial risks of PPP projects was inadequate,and the financial risk response measures of PPP projects were not appropriate.Thirdly,it proposes that XH Company establish a financial risk management system when it participate the Wuji Wind Power PPP Project.The program specifically identifies and analyzes the project's value-for-money plans,loan financing programs,and the financial risks of construction and operations management,and propose corresponding countermeasures:comprehensive and dynamic financial risks among government and enterprises,multi-faceted exploration of financing channels to achieve transfer of financing risks,improvement of corporate internal control construction,and transfer of cost overrun risks through contractual arrangements.Finally,put forward three safeguard proposals.The article proposes a comprehensive and concrete financial risk management program based on the life cycle of the PPP project for the Social Capital XH Company,which will help protect its interests in the PPP project and facilitate the smooth progress of the PPP project.