Study On Public-Private-Partnerships Legal Incentive Mechanism

Since the Third Plenary session of the 18 th Central Committee of the Communist Party of China, government is vigorously promoting the public-private-partnerships(PPP) development. This is a profound change in our financial field, relating to the reform of the financial system and the modernization of national governance capacities. In 2014, Ministry of Finance and National development and reform Commission, issued many PPP documents. At the same time, local governments rush to start PPP projects. In January 2015, a PPP project was signed in Chizhou city, Anhui Province, which is the first one of the projects under the promotion of the Ministry of Finance, marking China’s PPP from the warm-up phase to get down. Although China’s PPP development is fast, lack the appropriate legal norms and incentives, which is indispensable to safeguard the legitimate rights and interests of the social capital. Moreover, it’s a disadvantage for the sustainable development of PPP. Therefore, improving the legal incentive mechanism of PPP is of great significance.PPP originated from United Kingdom, in the early 1990 of the 20 th century after the introduction of China, has been more than 20 years of development history. Bounded by 18 session, PPP development in China can generally be divided into two stages. The first phase, PPP in China simply as a means of financing, evolving into the BOT、BT and other models, which did not play a role in changing ways of delivering public services. In the current circumstances, China’s PPP legal incentive mechanism has six aspects such as: legal incentive ideas, access legal incentive mechanism, fiscal legal incentive mechanism, tax legal incentive mechanism, finance legal incentive mechanism and supervision legal mechanism. These problems restrict the development of PPP.Based on the perspective of economic law, from its fun incentive function and based on PPP legal incentive mechanism abroad, come up with specific path of perfecting the legal incentive mechanism of PPP.The main content of this paper divide into four parts, the basic framework as below:The first part is the basic theory of the public-private partnership legal incentive mechanisms. The content including: Firstly,define general theory of public goods. Include concept of public goods, the classification, and supply subject of public goods. Secondly, introduce the theory of public-private partnership on public goods supply. Make basic definition and features of PPP, analysis advantages of PPP. Thirdly, set value target of PPP legal incentive mechanism. Point out that social oriented value and economic democratic value is its fundamental value. Lastly, clarify principles of PPP legal incentive mechanism, which are Optimal allocation of resources principles and Appropriate intervention principles.The second part is the current situation and problems of public-private partnership legal incentive mechanism. Firstly, summarize the current situation of PPP legal incentive mechanism in four aspects: law, Administrative regulations, Departmental regulations and other legal documents. Secondly, analyze the difficulty of present PPP legal incentive mechanism in six aspects: legal incentive ideas, access legal incentive mechanism, fiscal legal incentive mechanism, tax legal incentive mechanism, finance legal incentive mechanism and supervision legal mechanism. Then, draw up the conclusion that it is necessary to reform and improve the legal incentive mechanism.The third part is the outside study and reference of the PPP legal incentive mechanism. Firstly, introduce the PPP legal incentive mechanism of the United Kingdom, Australia and Japan. Secondly, learn from the five aspects to solve the problems of our country, which are as below: the modern legal incentive ideas, specific access legal incentive mechanism, abundant fiscal and tax legal incentive mechanism, complete finance legal incentive mechanism and integrate supervision legal mechanism.The last part is the improvement and perfection of PPP legal incentive mechanism. Based on the reference of the alien experience, draw up solutions from six aspects to improve the legal incentive mechanism, which are legal incentive ideas, access legal incentive mechanism, fiscal legal incentive mechanism, tax legal incentive mechanism, finance legal incentive mechanism and supervision legal mechanism. Thus, provide institutional guarantee for promoting the healthy and long-term development of PPP.