The Research Of Energy Management Contract Economic Incentive Mechanism

As we all know, since three times since The Third Scientific Revolution, energy issueshave become issues related to national economic lifelines. Through analysis, we found thatthe energy management contract in China is not only feasible, but essential. Energymanagement contract with professionalism, characteristics of zero risk, savings, andlong-term nature, could have effectively increased productivity, conserve resources, protectthe ecological environment of the community and to promote economic growth. In ourcountry, the Government will pay more attention to the promotion of energy managementcontract.Development of energy management contract in China is not ideal, however, and evencan be said to be struggling. After analysis, the reason is that externalities of energymanagement contract. To maximize profit is every modern enterprise’s natural characteristic.However, due to the positive externalities and the intergenerational externalities of energymanagement contract, the energy units and energy service companies are unable to fullyachieve Pareto optimal under market economy conditions. The energy units and energyservice companies will lose the power involved in the energy management contract,eventually leading to failure of the entire energy management contract market.To eliminate externalities, the Government should develop strong and effective policiesand systems to attract the parties actively involved in energy management contract. Economicincentive mechanism of energy management contract can achieve this process very well. Onthe basis of taking full account of economic development and energy-saving market in China,and using the related principle of economics, such as externality theory, game theory and soon, this paper analysis the stakeholders of energy management contract and their interestsrelationship, and build a economic incentive mechanism of contract energy management. Atlast, this article in accordance with the economic incentive mechanisms set up a set ofeconomic incentive scheme of energy management contract, which is suitable for China’snational conditions and effectively guides our Governments in the development of energymanagement contract policies. Additionally, this article put forward a set of security measurefor a effective operation of the economic incentive mechanisms of energy managementcontract. The security measure including a sound organization, improve policies andregulations, effective financial mechanism, the advanced science and technology knowledgeand culture means, etc.Through the development of economic incentive policies using the units and energyservice companies participate in energy management contract actively.The economic incentive mechanism of energy management contract was designed toenable more and more energy consumption units and energy service companies to participatein energy management contract actively. Further more, it extend the development and application of energy management contract, form a contract energy management servicemarket, and establish a long-term mechanism of energy management contract in our country.