Risk Evaluation of Public-Private Partnership Projects of Urban Rail Transit Based on Fuzzy Comprehensive Evaluation Method

The limited availability of construction fund has become one of bottlenecks hindering the development of urban rail transit in mainland China. The introduction of Public-Private Partnerships (PPP) model delivering private sector funds to the construction of public infrastructure can effectively alleviate the financial pressure on the government. However, higher practical risks have threatened the successful implementation of PPP projects and highlight the need of risk evaluation for PPP projects. This paper aims to evaluate the risk degree in the whole life cycle of PPP projects by quantitative analysis method. An index system on PPP risk evaluation of urban rail transit was established, covering macro-environmental risks, economic risks, legal risks, construction risks, and operational risks. Fuzzy comprehensive evaluation method was used to quantitatively evaluate the PPP risks. The case of XXX city was analyzed to demonstrate the use and capabilities of the method. The result shows the PPP risk evaluation method could provide effective decision-making support for risk allocation and control.