Study On Risk Conduction And Control Of Old City Reconstruction In PPP

In recent years,with the rapid development of urbanization in China,the city has gradually experienced problems such as the old and outdated old town,crowded housing,incomplete infrastructure,poor ecological environment,and bad environment,which have not only seriously affected the appearance of the city and people’s lives.Quality,but also have become the bottleneck of the overall development of the city.Therefore,the National Development and Reform Commission of the Ministry of Housing and Urban-Rural Development pointed out in the “Thirteenth Five-Year Plan” of the National Urban Municipal Infrastructure Construction that the “Thirteenth Five-Year Plan” period is the decisive stage for the building of a well-to-do society in an all-round way in China.The new type of urbanization is the only way to build a well-to-do society and an important driving force.The municipal infrastructure is the material basis for the new type of urbanization,and it is also an important guarantee for the reconstruction of shanty towns and urban villages where about 100 million people live.Governments at all levels should regard strengthening and improving the urban infrastructure construction as a key task,ensuring necessary investment,strengthening the local government’s funding guarantee for urban infrastructure construction,and giving full play to the guiding role of central government financial funds.We will vigorously promote government and social capital cooperation(PPP),give full play to the decisive role of the market mechanism,form an effective combination of government investment and social capital,and actively guide the orderly participation of social capital in urban municipal infrastructure construction,operation,maintenance,and services,and improve municipal public utilities.Investment efficiency and service quality.In 2014,the total area of existing building reconstruction in China exceeded 530 million square meters,accounting for more than 17% of new construction,and total existing buildings exceeded 60 billion square meters(more than 90% required building energy-saving transformation).Therefore,it is necessary to establish a comprehensive old city transformation model that takes into account the society,history,culture,and economy.By drawing on the experience of successful urban renewal in Western developed countries,the introduction of the PPP model into the old city transformation project is currently more reasonable and in line with our country’s full-scale completion.New urbanization requirements.However,at present,the use of risk identification and analysis tools for the reconstruction of old urban PPP projects in China is insufficient,and sometimes even relying on managers’ intuitive experience to judge,leading project companies to identify the project risks is not clear,and can not make a reasonable judgment on the risk of the project.Therefore,in the face of these risks,the project company,as the main participant,needs to carry out scientific and systematic risk identification of the old city transformation PPP project,and carry out targeted control over the risks of the old city transformation PPP project on the basis of recognition.In the end,the project will get the most benefit with the minimum investment.This paper takes the risk of PPP project transformation in the old city as the research object,and follows the research paradigm of "investigation-evidenceapplication" to conduct a detailed study on the risk transmission mechanism and control of the old city transformation PPP project in China.First of all,the article uses the literature research method,expert interview method and ISM tool to construct the risk transmission factor of the old city transformation PPP project risk transmission system(survey),which is a complex system with multi-level hierarchical structure.There are obvious hierarchical and importance relationships among the 55 risk factors,and the factors are distributed over 6 different regions and 6 different levels.The public sector of the government,social capital,and residents of the Old City are the top surface direct risk factors for the transformation of PPP projects in the Old City.Secondly,using SEM,the theoretical model(empirical)of the risk transmission mechanism of the PPP project in the old city was verified,and through the optimization and fitting of the structural equation model,four key risk paths for the risk transfer of the PPP project in the old city were obtained,namely: Cultural Environment → “Development Environment” → “Social Capital Interests” → “Risk of Old City Renovation PPP Projects”;“Legal Environment” → “Policy Environment” → “Government Public Benefits” → “Social Capital Interests” → “Old City Reform PPP Project Risk";"Legal Environment" → "Policy Environment" → "Government Public Benefits" → "Old City Residents’ Will" → "Old City Renovation PPP Project Risk";"Demolition Environment" → "Old City Residents’ Will" → “Risks for PPP project renovation in the old city”.Finally,with the help of the SEM,the key risk transmission routes from the government’s public sector,social capital,residents of the old city,policy environment,legal environment,cultural environment,demolition environment and development environment form a risk control proposal for the old city transformation PPP project.(application).This paper provides more practical research results and risk control suggestions for the risk management of PPP projects in China’s old cities,which will promote the construction of the risk assessment and management system for the old city renovation PPP projects in China.It can serve as a public government for PPP projects in China’s old cities.Departments,social capital parties,and residents of the Old City provided guidance and reference for project risk control and even fair sharing.