Research On Financial Risk Management Of PPP Environmental Protection Project For Solid Waste Treatment

In recent years,with the continuous acceleration of China’s urbanization,the generation and digestion of garbage has far exceeded the carrying capacity of the environment.The development of harmless solid waste treatment methods has become a rigid demand of urban development.At the same time,with the national high attention to the environment,the government is not only facing the financial burden,but also facing the dilemma of low management level.Using PPP model to absorb social capital to participate in this industry can not only alleviate the financial burden of governments,but also improve the quality of products and service level.In view of this,China has issued a series of policies to promote the development of solid waste treatment PPP industry,and it has also maintained a strong momentum of development.Although PPP projects can bring many benefits to the waste treatment industry in China,but this projects have high financial risk,and various risk factors are complex and changeable,so it is necessary to carry out more strict control on the financial risk based on the whole life cycle of the project to ensure the operation of the project.Therefore,the research on the financial risk management of this project has not only higher theoretical significance,but also more important practical significance.First of all,this thesis introduces the theory of financial risk analysis of PPP projects worldwide,includes the whole process of financial risk management.Then,this thesis summarizes the main risk factors of solid waste treatment PPP projects in China.Based on the application of grey system theory in the field of PPP project financial risk assessment,this thesis constructs a risk assessment model.Then take Y solid waste treatment PPP project as an example,from the perspective of construction investment,operation cost and treatment subsidy income,to calculate the financial risk of the project,then take these key risk factors as the starting point to analyze the causes of financial risk,establish the risk list,carry out financial risk control analysis Finally,combined with the calculation results of financial risk measurement and grey system theory,this thesis puts forward effective financial risk management strategies.On the basis of financial data analysis,this thesis pays attention to the causes of financial risk as much as possible,and use statistical data to quantify it,so as to make financial risk management more comprehensive and objective.