Legal Research On The Public-private Partnership Projects Supervision In China

Public-private Partnership originated in the United Kingdom.It refers to the government departments and social capital product public products or provide public services in the process of infrastructure construction.The PPP changes the original way of the supply of public services provided by the government monopoly,absorbs the social capital to join,reduces pressure on government finances,at the same time,the government also can absorb to the private sector advanced management technology and experience to provides a higher quality of public services to the public.The PPP mode was introduced into our country in the 1990 s,after that,the cooperation areas and scale of government and social capital expand unceasingly,method of cooperation continuous innovation.After the Party's Third Plenary Session of the 18 th CPC Central Committee,the PPP model in the further development of our country,the local governments vigorously promote the development of all kinds of PPP projects,but there are many problems and risks in the PPP projects operation.Legislative and regulatory departments need to pay close attention to the PPP.The market malfunction exists in the PPP projects operation,that including information asymmetry,external effect and imperfect competition.For example,the government and social capital can't clearly know the adverse information of credit,capital,etc.The two sides are in dispute easily,it's unhelpful to PPP smooth operation.Because enterprises lack of social responsibility consciousness,they too pursuit of corporate interests and create “negative externalities” problems.When the PPP model is applied to the natural monopoly industries,due to the imperfect competition,the social capital easily abuses of dominant market position that damages the interests of other enterprises or consumers.So,in the PPP projects,when interests of social capital conflicts with the public welfare of PPP,the government should monitor the whole process of the PPP operation to safeguard the social public interests.But in the PPP operation,the government is the decision maker,participant,and market regulator.How to clearly define its role and function? Because of regulation on the basis of conflicting policies from different departments,regulators' responsibilities are not clear,government regulation lack enough ability,these reasons lead to our government regulation failure in the PPP projects,for example,regulation on the basis of the content of legal conflict,coexistence of regulation repeat and regulation absence,regulators lack of independence,regulatory ways lack of diversification,etc.Aiming at the problems existing in the government regulatory failure,this article suggests that the state council should legislate the PPP special law under the national level,specific regulatory basis;set up dedicated regulators that form regulatory united force with other government regulators,clear the regulatory responsibility of the regulators;optimize the internal and external regulatory ways,improve the specific regulatory measures,promote regulation performance,etc.