Abstract

In order to improve the quality and efficiency of water pollution prevention and control project, the State encouraged social capital to participate in water pollution prevention and control PPP projects. But there are some problems in the field, including a low rate of return on investment, the imperfect investment environment and so on which hinder the participation of social capital in these PPP projects. So we need to perfect the social capital investment return mechanism, and establish a fair and safe investment environment and take other measures.

Highlights

  • Strengthening water pollution prevention and control efforts to protect the national water safety is related to national economy and people’s livelihood and is the focus of environmental protection work

  • On the basis that Central Government puts 13 billion yuan of special funds into the water pollution prevention and control, and guides social capital to participate in the “water-control”, the water ecological security objectives will be achieved

  • The Ministry of Finance and the Ministry of Environmental Protection jointly issued the “opinions on promoting the cooperation between the government and the social capital in the field of water pollution prevention and control” (“opinions”), to promote the use of cooperation between the Government and social capital (PPP) Models in the areas of water pollution prevention and control which has a significant meaning in improving the quality of the supply of environmental public products and services, enhancing the capability and efficiency of water pollution prevention and control

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Summary

Introduction

Strengthening water pollution prevention and control efforts to protect the national water safety is related to national economy and people’s livelihood and is the focus of environmental protection work. The Ministry of Finance and the Ministry of Environmental Protection jointly issued the “opinions on promoting the cooperation between the government and the social capital in the field of water pollution prevention and control” (“opinions”), to promote the use of cooperation between the Government and social capital (PPP) Models in the areas of water pollution prevention and control which has a significant meaning in improving the quality of the supply of environmental public products and services, enhancing the capability and efficiency of water pollution prevention and control. There are some problems in this field, including a low rate of return on investment, long payback period, the imperfect investment environment and incomplete mechanism to guide the social capital’s investment These problems caused the low enthusiasm and initiative of social capital in the field of water pollution prevention and control. Factors Preventing Social Capital to Participate in Water Pollution Control PPP Project

Low Rate of Return on Investment of PPP Projects
Long Payback Period of Investment of PPP Projects
Incomplete Investment Environment of PPP Projects
Imperfect Financial Guidance Mechanism
Improve the Social Capital Investment Return Mechanism
Optimize the Financial Guide System
Findings
Conclusion
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