Government Allocation, Market Allocation and Government Intervention in China's Water Policy Reform
2008
Jiang, Min
In order to fight against the severe water crisis, the Chinese government has initiated a water policy reform under which market allocation mechanisms are to be promoted and facilitated within the framework of the traditional government (administrative) water allocation. This paper explores the reform of China’s water allocation institutions. By analysing and evaluating current practices in government allocation and market allocation in China, the paper calls for a mix of government and market in water allocation in the specific context of China’s water policy reform. To allocate water in a sustainable, equitable and effective manner, market allocation mechanisms need adequate but not overreaching government intervention.
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