Research On The Prevention Of Legal Risks In The PPP Model

As a new supply method belonging to public service widely used around the world under marketed-oriented economy,Public-Private Partnership(hereinafter PPP)Pattern becomes the center of heated topic about national economy since it is introduced into China.Spurred by The State Council,some local governments launch varieties of PPP Project.Due to vast investment,long project cycle,interests of multi-party involved plus later starting in China with imperfection legislation,the legal risk prevention both in theory and practical is a practical problem which cannot be avoid.Author holds the opinion that only through analyzing legal risks,legislation design and building legal protection that can ensure the promotion of PPP.Therefore,this paper will emphasize the legal protection of legal risk about PPP.This paper is divided into three parts.The first part introduces the meaning of PPP model and the inclusion of PPP legal risk.First of all,it explains the different definitions of the meaning of PPP mode in the world,and then introduce the PPP legal risk discussion on the Connotation.It is clear that the rights and obligations of both public and private relations is the key to legal risk.And calling attention to the PPP model characteristics of interest sharing and risk sharing.The second part analyzes the legal risk of PPP.The paper discusses the conflict between the current law and the PPP practice,the conflict between the current different hierarchy laws and the conflict between the laws and regulations in different departments.And then discusses the test of the minimum demand risk allocation to both public and private.The study on disputation relief focuses on the lack of administrative litigation relief.Finally,discusses unsecured government guarantees from the perspective of legitimacy and financial crisis.The third part is the focus of this article.This part demonstrates the development of legal risk prevention system in PPP mode.Corresponding to the second part of the legal risk,this part explains the legal risk development methods by the top legal environment,risk management capabilities,multiple relief and intervention rights.The design of the legal environment must be started from the national legislation hierarchy,formulate specialized PPP law,improve the legislative level,and then classify regulation according to the characteristics of specific departments;Suggests on administration is to establish a unified management by central authorities that departments can play professional advantage within jurisdiction.Next,the minimum demand risk allocation is discussed in detail.The minimum requirements should be internalized to purely commercial risks and policy risks and distributed to private investors and governments depend on risk management capabilities.The third part discusses how to guarantee the security of PPP by right of intervention,and tries to provide useful reference for government guarantees.Finally,it discusses the way of PPP dispute relief.First of all,the author interprets the relevant provisions of the new administrative procedure law,and provides the legal basis for the settlement of PPP disputes in civil and commercial litigation,and demonstrates the feasibility of arbitration in the settlement of PPP disputes.