Central Pressure and Local Change in China's Water Infrastructure Development: A Comparative Study of Guangdong and Shandong

Abstract

This study examines the impact of central government pressure on local government in China, focusing on the adoption of sustainability-oriented approach water infrastructure. It also explores how public-private partnerships (PPPs) in the water sector evolve in response to policy shifts toward sustainability. Initially, PPPs were established to address fiscal constraints and meet infrastructure demands, serving as key drivers of economic growth. However, the Chinese government has recently begun to incorporate ecological considerations into these partnerships. This study explores the factors that motivate local governments to adopt a sustainability perspective in urban development, analyzing the economic, social, and environmental dimensions involved. Focusing on Guangdong and Shandong—two provinces that have actively implemented water PPPs—this paper reveals how local officials have responded to changing evaluation criteria and environmental mandates. Through a comparative analysis, the study reveals that local governments interpret and implement central directives in diverse ways.