BOT is an abbreviation of build, operate and transfer, and a way of limited recourse project financing, based on which two important problems in organizing an urban sewage treatment plant can be solved, i.e. construction funding and operation management: a specialized company invests to build a sewage treatment plant, solving the problem of fund; for the sake of its own benefit, it make the plant in a stable and good operating state, solving the problem of operation management. Besides, building urban sewage treatment plants based on BOT mode can bridge funding gaps in urban infrastructure construction, further stimulate economic development, and realize industrialization, commercialization and modernization of operation of urban infrastructure. This may help to solve the problem of operation management currently encountered by these plants and lay the foundation for thorough improvement of environmental quality. Under BOT mode, the government mainly supervises the daily operation of sewage treatment enterprises and performs its related regulating functions. The main supervision content includes: to check whether the water treated is up to standard and to check and ratify the amount of water treated. The government entrusts environmental protection department and construction department to perform specific supervision work, respectively.

As an effective way of project financing, building and operation, BOT mode has very strong vitality. It is a relatively ideal choice for developing environmental protection infrastructure projects. Based on long-term practices in the environmental sector and governmental support, BOT investment mode will make irreplaceable contributions to the development and prosperity of environmental industry.

Compared with traditional governmental investment mode, BOT mode has several unique features. First, BOT mode can effectively solve the problem of shortfall in funding; second, by transforming an sewage treatment plant into an enterprise, the government can perform its regulating functions to the utmost extent, and the enterprise will improve its operation management to make profits; In order to maintain normal production, the enterprise must further perfect all management systems, raise production efficiency, and fully guarantee that the quality of water discharged comes up to standard. BOT mode is gradually becoming mature, and we believe that this mode as a trend will make greater contributions in the sewage treatment industry.

BOT Mode