The Research On Industry Performance Of Market-oriented Reform Of Municipal Solid Waste

Under traditional administrative system of municipal waste disposal(MSD), the duty of regulation department includes not only administration, but also providing the services of garbage collection, removal and processing. Long-term witch hunt regardless of affairs lead to a serious problems such as shortage of infrastructure investment and low level of safe disposal. In order to promoting the development of the municipal public sector, improving operational efficiency of municipal public sector, the former Ministry of Construction issued "on accelerating the commercialization of urban public utilities opinion in 2002," At the same time, in order to further improving the level of waste disposal and the quality of urban environment, the NDRC and other departments issued "Opinions about promoting the industrial process of urban sewage". The introduction of multiple policies and laws for the municipal solid waste industry providing an important legal basis for the market-oriented reform.China’s urban garbage disposal market-orientation reform is a systematic and institutional reform which take operating fees reform as prerequisite and the franchise system as the main tools of the introduction of competition and strengthen the supervision. Reform mainly around the property right reform, competition reform and regulatory reform. This article takes three dimensions as a starting point to research the city garbage disposal industry market-oriented reforms. By combing the existing research literature and theoretical basis, analysis systematically the economic and technical characteristics of the waste disposal business, and reviews the market-oriented reform of municipal solid waste disposal industry. Two hypotheses are assumed. One is the reform of competition under or without government regulation can improve the performance of industry. The other is the reform of property rights under or without government control will not obviously enhance the development of the industry performance. At last this paper conducts an empirical test about the market-oriented reforms by building industry performance indicator system.Based on panel data of 30 provinces between 2001- 2013, this paper takes the regulatory reform as an institutional background, focuses on competition reform, property rights reform and regulatory reform as well as the interaction between the two, and uses the GMM to empirical test hypotheses.Finally, drawing the influence of the explanatory variables for municipal solid waste disposal industry performance. Themain analysis conclusion includes: without considering the interaction terms, the introduction of competition for waste disposal service level and service quality has a significant role, but the effect on promoting investment in fixed assets for environmental sanitation and garbage cleaning is not obvious;in the whole, property right reform performance impact on the overall municipal solid waste disposal industry are relatively limited; in consideration of the interaction terms conditions, inadequate regulatory measures in the context of the introduction of competition and did not form a mutually compensate mechanism and regulatory policies, regulatory measures showed only short-term regulatory function on, do not have long-term role in promoting; and the regulatory reform, to some extent, make up for lack of property rights and promote the improvement of industry performance; by contrast,whether the impact of the interaction term, the long term, property rights reform of the industry performance enhance the role of different levels of neglect, we should pay attention to market-oriented reform and fundamental rights.