Government Regulation Changes, The Process Of Marketization Of The Municipal Utilities

The public utility of the municipal administration in China has been fettered by such an idea that the public utility of municipal administration is public welfare which should be held responsible to the government that this idea has caused many problems such as the unimpeded medium of resources for either investing or introduce, the low abilities of the welfare institutions, the inefficiency of the municipal administration and so on. It can even be considered as the last monopoly trade of the market structure in this country. The fundamental way out for the public utility of the municipal administration lies in market. It should be surrendered to the market. However the process from the public utility of the municipal administration to the market is not simply a change of the devotion method. That means that the unitary devotion in the past will become multivariate. It is also a kind of conflict between market and administration, between surroundings and external surroundings of the enterprise. Therefore, the change of the government regulation must be enforced to develop the course of the reform and the border areas of the public utility effectively.This essay firstly introduces the macro background of the reform of the government regulation in the public utility ?That The public utility of the municipal administration in China are surrendered to the market needs to determine the municipal administration position rationally on the basis of the modern enterprise . That is the crux of the matter. Meditating the disadvantages in the current public utility of the municipal administration makes the public regard that the municipal administration should neither be get rid of nor done nothing with. It is necessary to reform and its direction of the reform is to establish the system of the incentive-regulation. The theories from behaviorism, administrative law and economic, which analyze the essential structure and the behavior mode of the incentive-regulation, guide the direction to the incentive-regulation for the public utility of the municipal administration. At the end of the essay, by analyzing the demonstrations from the reform of Shenzhen public utility and that of Changsha bus utility, we draw three conclusions: 1. To establish the incentive-regulation system is the crux of the matter 2. The incentive-regulation in China is in the bud. 3. It needs to develop and improve legal system comprehensive to permit the private enterprise to set foot in public utility in incentive-regulation.