Risk Assessment of China’s Water-Saving Contract Projects

Abstract

In order to alleviate the problem of water shortage, the Ministry of Water Resources of China proposed a Water-Saving Contract (WSC) project management model in 2014, which is similar to the Energy Performance Contract (EPC). In this context, this research aims to explore the applicability of China’s WSC projects by risk assessment, and to help promote WSC projects in China. Different from traditional risk assessment, this paper takes into account the uncertainty of the EPC project’s risks, and adopts the multielement connection degree set pair analysis to evaluate both the level and trend of the risks. The results show: (1) the overall risk of China’s WSC projects is low, so WSC projects are very suitable for promotion in China. However, the overall risk shows a trend of decelerated ascent, which shows that there are some potential high-risk factors in China’s WSC projects; (2) among the many risks of the WSC projects, audit risk, financing risk, and payment risk are at a high-risk level; market competition risk is at a medium-risk level; the remaining risks are at a low-risk level; (3) among the medium and high risks, audit risk, financing risk, and market competition risk have a trend of accelerated ascent, while payment risk has a trend of decelerated decline; in low risks, inflation risk has a trend of decelerated ascent, while the remaining risks have a trend of accelerated decline.

Sociodemographic determinants of water conservation behavior: A comprehensive analysis

“…Table 4 demonstrates a strong link between factor 1 and the variables equipment, I1, I4, I5, I7, I8, and I9. Equipment in water-saving service operators are the ones responsible for the operation of the project as well as the maintenance (Li et al, 2020). Meanwhile, factor 2 is connected to how people use water daily.…”

Impact of government subsidy on the optimal strategies of improving water use efficiency for a high-water-consumption manufacturer

“…Incorporating water right transaction, Xin and Sun (2018) analyzed the optimal strategies of production and water right trading K 52,6 simultaneously in a self-saving-HWC industry by proposing a differential oligopoly game framework. However, in practice, small-and medium-sized manufacturers generally suffer from greater financial, technical and management risks undertook by themselves and all the above disadvantages may contribute to failure that investment costs will not be recouped by water-saving projects (Li et al, 2020). To avoid share and transfer risks in self-saving scenario, manufacturers can turn to specialized resource-saving institutions for help.…”

Risk Assessment of Water Saving Management Contract Based on Normal Cloud Model

“…Ma [8] and Li [9] have conducted thorough investigations into the risks associated with WSMC projects, proposing robust mitigation strategies. It is noteworthy that contract water conservation management is still in its preliminary stages within China, leading to a scarcity of research on associated risks.…”