The Study Of Changsha Sewage Disposal Privatization

In the past two years, nationwide utilities trade raise the tide of privatization, Changsha has also carried on the privatization of sewage disposal trade.The government of Changsha after the preparation since June of 2003, which is almost lasting one and a half years, has signed the " transfer of assets agreement "and "license management agreement" for two sewage disposal plants in Changsha in October of 2004, and has transferred the relevant assets and matierials formally to the investors in January of 2005.In the course of privatization of the sewage disposal plants, the government of Changsha has dealed with the relation of transfer price and recturn tariff well, has discussed and signed the license management agreements which are comparatively perfect, has basically realized the purpose of effective supervision and avoidance of government's credit's risks in the form of contract, and has successfully finished the transfer by the standardized operation. Compared with original operational system of sewage disposal trade in Changsha, the property right has been distincted, the governmental responsibilities and business have been separated. After the privatization, the low efficiency in enterprise's operation and the situation of low feedback have been improved in the utilities, the governmental supervison has been strengthened, the financing channel for utilities has been widen. Furthermore, the way of privatization has offered the sewage disposal trade of Changsha the new direction of fast development, which has almostly realized the planned target.Since some problems has even existed in the process of privatization now, serious analysis of the experience and lesson of privatization of sewage disposal trade in Changsha, study of the way, the transferring process and trade supervision of the privatization are very important. On the base of definite final purpose, the way of privatization of sewage disposal must be improved gradually, the sewage disposal market must be regulated by the rational system design, the efficiency must be promoted by the market competition , so that the sewage disposal of Changsha will get on the track of healthy and benign development.