A Study On The Water Price Of City Dwells On The Basis Of PPP Model

Water is the basis for human survival. Its role is replaceable, inmodern society, water constitutes the lifeline for the existence anddevelopment of a city. However, the present water price fails to reflect thevalue of water resource, putting heavy burden on governments, financeand enterprises' management and disabling making people from enjoyingwater welfare. To improve this situation, a series of measures has beentaken in china's water supply system. One of these measures is the PPPmodel introduced in some places. This model brings the characteristics ofboth public and private sectors into full play. On one hand, private Sectorsare private sectors into full play. On one hand, private sectors are able tofully display their managerial and technological advantages. On the otherhand, public sectors are enabled to focus, their attention on thesupervision of private sectors. In this cooperative model, the two sectorstakes mutual risks and share dividends. In his analysis, the author thinksthat the focal point of this model lies in the price. The private sectorshope to reap more profits by high price. Whereas the public sectors haveto exercise supervision and control over price in consideration of socialwelfare. This thesis studies a city's water price mechanism in PPP model.First, it makes an in-depth study of the present situation in city dwellers' water supply. On this basis, it studies the necessity of introducing PPPmodel. Then it discusses the essence of water in connection with water'sattributes and studies the water ownership and the role of water market inPPP model, this thesis also studies the interaction between water price,water ownership and water market.Based on the price theory of someeconomists, it lays emphasis on the water price mechanism in PPP model,including the basic principles and the constituents of water price. In theend, it puts forward the water supply model that meets the needs of thevarious interested identities in PPP model. This study aims to providetheoretical basis in the PPP model for the related enterprises andmanagerial departments involving in the reform of cities water supply. Asa result, the governments will lighten its financial burden, the enterprisewill make more profits and the city dweller will enjoy better water supplyservice.