The comparative study on the Public Private Partnership and efficiency in urban environmental management

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Because of the rapid urbanization and financial difficulties in Asian developing countries, Public-Private-Participation is getting important year by year. PPP is expected not only to contribute for fund raising, but also to improve the efficiency of the management body. This study aims to compare the efficiency of publicly and privately water management.First of all, we evaluate efficiency of 42 water companies in Asia and Pacific region by using DEA. In DEA, company's efficiency was evaluated between 1 to 0. And this study try to investigate the relationship between efficiency and social economic factors by using Tobit regression model. The results show that service contracts improve efficiency of the company. However, PPP does not always improve the efficiency of the company.Second, this study tried to make clarify development of the legal system about Public-Private Participation, and evaluate efficiency of 35 water supply companies by using DEA in China. However, there is statistical difference about efficiency between public companies and PPP companies.