Analysis of market development status and trends of lighting engineering PPP projects in 2020read count [238] release time：2020-04-02 22:43:00

The business model of lighting engineering companies is generally to participate in the bidding of lighting engineering construction projects. After winning the bid, the project construction will be carried out. During the project construction process, it will be supported by engineering design and lighting products. After the project is completed, settlement and collection will be carried out, and the project will be maintained during the warranty period. The current cooperation models between my country's lighting projects and customers include lighting project construction professional contracting, lighting project EPC general contracting, PPP business model, EMC model, etc. The PPP model (Public-Private Partnership), which is the cooperation between the government and social capital, is a project operation model in public infrastructure. Under this model, private enterprises and private capital are encouraged to cooperate with the government and participate in the construction of public infrastructure. As smart cities are proposed from the government level to the active response from the enterprise level, urban nightscape lighting construction continues to be carried out, and the lighting engineering PPP model has gradually become a common application model for lighting engineering projects.

The lighting engineering PPP project industry is mainly municipal engineering

According to data from the Government and Social Capital Cooperation Center (CPPPC) of the Ministry of Finance, search management database projects with the keyword "lighting". Among the industry distribution of lighting engineering PPP projects in the national PPP project management database in 2019, the municipal engineering industry has the largest number of lighting engineering projects, reaching 20, accounting for 49%; followed by urban comprehensive development, there are 7, accounting for 17%; tourism and transportation have 4 and 3 respectively, accounting for 10% and 7%.

Lighting engineering PPP projects are mainly distributed in Shanxi and Henan

Since lighting engineering PPP projects mainly belong to the municipal engineering industry, accounting for close to 50%; therefore, studying the regional distribution of lighting engineering PPP projects mainly studies the regional distribution of projects within the municipal engineering industry. Among them, Shanxi and Henan have the largest number of lighting engineering PPP projects, reaching 6; secondly, there are 4 in Shandong and Yunnan, and 3 in Fujian and Guangxi.

The investment amount of lighting engineering PPP projects is relatively large, and most of them are in the preparation stage.

Judging from the investment amount, the investment amount of national lighting engineering PPP projects in 2019 is mainly in the range of 300 million to 1 billion, with the number of projects reaching 17, and the number of projects exceeding 1 billion reaching 15. The main reason is that lighting projects mainly serve municipal overall engineering projects, so the investment amount of its projects is the total investment amount, which is generally larger.

Judging from the stage of the engineering projects, most of the national lighting engineering PPP projects in 2019 are still in the preparation stage, with the number reaching 30. The number of lighting engineering projects in the execution stage is only 5, and the implementation rate is only 12.2%, which is low. The main reasons include fewer excellent PPP projects, too long project approval times, operation and maintenance, possible risks during the period, and operational problems, etc.

Typical lighting engineering PPP projects across the country in 2019 include the municipal facilities construction PPP project in Binhe District, Jiyang District, Jinan City, Shandong Province, and the poverty alleviation infrastructure improvement PPP project in Ningling County, Shangqiu City, Henan Province. For example, the PPP project for the construction of municipal facilities in the Binhe area of ​​Jiyang District, Jinan City, Shandong Province was launched in November 2019. The project is located in the southeast of Jiyang District, south of Xinyuan Street, north of Huanghe Street, east of Yinhe Road, and west of Donghuan Road. The total investment of the project is 1,656.5311 million yuan, and the project construction includes road engineering, greening engineering, lighting engineering, pipeline engineering, etc. This lighting engineering PPP project is mainly a government payment return mechanism project with a long cooperation period.

Although my country's lighting engineering PPP model currently encounters many problems and challenges, my country's PPP model is exploring experience in its gradual development. Its need to solve local debt problems and transform into a service-oriented government has created a good policy premise for PPP, which will receive government support for a long time. As lighting is a key area of ​​energy conservation and environmental protection, PPP can solve problems such as funding, policy support, and processes for lighting projects. Many companies in the lighting engineering industry have great confidence in the positive impact that the company's winning of the lighting engineering PPP project will have on the company's performance.

Article source - China Semiconductor Lighting Network