Evaluation index system for positive operation of water conservancy projects

Water Science and Engineering, 2009, 2(4): 110-117doi:10.388/j.isn.1674-2370.2009.04.011htp:/k.hhu.edu.cne-mail: wse @hhu.edu.cnEvaluation index system for positive operation of waterconservancy projectsQing yuan ZHU"2, Guo-hua FANG*'I. College of Water Conservancy and Hydropower Engineering, Hohai University, Nanjing 210098, P. R. China2. Jiangsu Water Conservancy Project Consrruction Bureau, Nanjing 210029, P. R. ChinaAbstract: The conditions for the positive operation of water conservancy projects are described inthis paper. A scientific and effective evaluation index system was established based on frequencyanalysis, theoretical analysis, and expert consultation. This evaluation index system can be dividedinto six first-level indices: the degree to which facilities are intact and functionality standards arereached, the status of operation and management funds, the rationality and degree of advancementof the management team structure, the adaptability and rationality of the water conservancy projectmanagement system, the degree of automatization and informationization of the managementtechniques, and the conduciveness of the exterior environment. The weights for evaluation indiceswere obtained through the analytic hierarchy process method with consideration of the differencebetween public welfare and profit-oriented water conservancy projects. This study provides ascientific method for evaluating the positive operation of water conservancy projects.Key words: water conservancy project; positive operation; evaluation index system; analytichierarchy process; weight1 IntroductionWater conservancy facilities are fundamental to the development of the economy andsociety. Because of its climate and geography, flooding and drought often occur in China andresult in tragedy. Therefore, the Chinese government attaches much importance to waterconservancy projects and many water conservancy facilities have been constructed since theestablishment of the People's Republic of China. However, because the study of operation ofwater conservancy projects is still in the preliminary stages (Gunasekaran et al. 1995; Bouwer2000; Rijsberman and Van de Ven 2000; Cheung and Leung 2000; Vonnegut 2000; Zeng andHayya 1999), there is not yet a widely tested and applicable strategy for realizing the positiveoperation of water conservancy projects. Therefore, water conservancy operation andmanagement conditions are poor in China. Further study of the positive operation of waterconservancy projects, the development of these projects within socialist market economicsystems, and deeper reform in water conservancy is ur中国煤化工e operation ofYHCNMHG*Corresponding author (e-mail: hhufgh@ 126.com)Received Jun. 2, 2009; accepted Nov. 2, 2009water conservancy projects involves many aspects, its scope is very broad, and its goals arenumerous. If there is no objective and scientific evaluation index system, the study of positiveoperation of water conservancy projects is not practical and cannot guide the management ofwater conservancy projects.Therefore, the conditions for realizing positive operation of water conservancy projectscan be described only after the positive operation of water conservancy projects is defined.Then, a scientfic and effective evaluation index system can be established with a defimitionand implication for each index. Finally, with consideration of the difference between publicwelfare and profit-oriented water conservancy projects, the weights for evaluation indices canbe obtained through the analytic hierarchy process method.2 Definition and implication of positive operation of waterconservancy projectsThe core goal for the positive operation of water conservancy projects is that the incomeis greater than or equal to the expenditure for the water management units. However, there issome one- sidedness in the study of positive operation of water conservancy projects. Forexample, some researchers have only examined social or economic efficiency, while otherresearchers have included the reform of the management system in their investigations. Infurther studies, some scholars have established a definition of positive operation of waterconservancy projects (Yang 1994; Su 2007). Mu et al. (2006) categorized water conservancyprojects as public welfare water conservancy projects, profit-oriented water conservancyprojects, or comprehensive water conservancy projects. The management systems of largecomprehensive water conservancy projects have been studied (Mu et al. 2006). Meanwhile,the basic implications of large comprehensive water conservancy projects were analyzed byMu et al, (2006) as follows: the positive operation of large comprehensive water conservancyprojects means that the hydraulic engineering facilities remain complete and functional until totheir service life, the preliminary design functions and goals can be safely achieved during theoperation period, and sustainable and stable economic or social efficiency is maintainedaccording to the design functions.Therefore, the essence of positive operation of water conservancy projects is as follows:under the condition of national economic benefits being greater than or equal to the costs inwater conservancy projects, the water management units can guarantee the financial balanceof payments and maintain the simple reproduction of projects, as well as the progressiverealization of the projects' expanded reproduction. It can be said that the implications 0positive operation of water conservancy projects are that the water conservancy projects'financial benefits are greater than or equal to financial中国煤化工a progressiveYHCNMHGQing-yuan ZHU et al. Water Science and Engineering, Dec. 2009, Vol. 2, No. 4, 110-117111realization from simple reproduction to expanded reproduction of hydraulic projects.The conditions for realizing positive operation of water conservancy projects include thefollowing: consistent operation of the project, adequate funds, an effective managementsystem, specialization within the management team, a rational structure, automatization andinformationization of the management techniques, and a good exterior environment.3 Evaluation index systemThe operation and management of water conservancy projects involves not only theproject itself, but also its resources, the society in which it is constructed, and the economy. Itis a multi objective, complex and multi factor system with complex subsystems. It is difficultto establish a scientific, comprehensive, accurate, easy-to-use, multi-level and multi- objectiveevaluation index system for the positive operation of water conservancy projects. Therefore,an evaluation index system should utilize certain principles, processes, and methods, and theevaluation indices should be confirmed through primary selection and optimal selection.3.1 Construction principles and method procedureThe principles for constructing the positive operation evaluation index system of waterconservancy projects should be both scientific and operational, integrated and independent,layered and systematic, qualitative and quantitative, and objective and comprehensive. Theestablishment of the evaluation index system is based on the nature of the project, and movesas a process from the individual to the general. It includes the following steps: system analysis,target decomposition, primary selection, and optimal selection of the indices.3.2 Construction of evaluation index systemThis study adjusted and selected the indices using frequency analysis and theoreticalanalysis after consultation with experts. The primary evaluation index system was constructedwith consideration of acquirability and maneuverability, after further consultation with experts.Finally, the evaluation index system was constructed through principal component andindependence analysis of the primary evaluation index system.3.2.1 Establishment of evaluation index systemThe evaluation index system for positive operation of water conservancy projects wasestablished through primary selection and optimal selection, and includes a target layer, acriterion layer, and an index layer. The target level is the positive operation evaluation of waterconservancy projects, the criterion layer is made up of the condition components for positiveoperation of water conservancy projects (first-level index), and the index layer is the concreteembodiment of the positive operation of water conservancy projects (Table 1).中国煤化工MYHCNMHG112Qing-yuan ZHU et al. Water Science and Engineering. Dec. 2009, Vol. 2, No. 4, 110-117Table 1 Evaluation index system for positive operation of water conservancy projects and weights forindex-layer indicesIndex layerWeight for publicWeight forTarget layerCriterion layerwelfare waterprofit-orientedIndexconservancywater conservaervancyprojectprojeetDegree to which water0.27750.238 9Degree to which facilitis areconservancy facilies are intactintact and functionalityDegree to which design capabilitystandards are reached (G1)standards are reached0.092 50.079 6Profit-loss rate of water0.00930.166 4management unitsUse rate of operation and0.133 50.063 6management fundsStatus of operation andCollection rate of rational watermanagement funds (G2)(or eletricity) fecs and stipulated.063 1feesDevelopment rate of diversified0.02990.024 9economyAdaptation rate of number of0.10600.096 8Rationality and level ofadvancement of managementStandard- reaching rate ofteam structure (G). Evaluation of watermanagement talent structure0.035 30.0323conservancy projectpositive operationAccuracy and rationality index ofclassification and quality for0.09000.082 3Adaptability and rationalitywater management unitsof water conservancy projet Degree of distinct arangement0.036 50.0333management systems (Ga)and execution of dutyImplementation index ofmanagement-maintenance0.01480.0135separationDegree to whichSafe monitoring automatization0.037 20.034 9indexmanagement tecmniques arenated andManagement informationizationinformationized (Gg)0.018 60.017 5Index of improvement ofLevel of conduciveness of0.041 90.0393economic policyexterior environment towater conservancy projectMatching index of relativemanagement (Go)regulations and rules0.013 90.013 13.2.2 Weights of evaluation index systemConsidering the difference between public welfare and profit-oriented water conservancyprojects, the weights for evaluation indices are obtained through the analytic hierarchy processmethod (Tables 1 and 2). The analytic hierarchy process is an analysis method thatsystematizes policy-making thought for complex,phenomena.First, the question is decomposed into a multi-level中国煤化工essence and.TYHCNMHG'Qing-yuan ZHU et al. Water Science and Engineering, Dec. 2009, Vol. 2, No. 4, 110-117113general objective. A judgment matrix is formed through comparisons between every twoelements at each level, taking their super-level element to be the criterion. Weights areobtained through computation of the matrix's characteristic value and the eigenvector, andcombination weights are obtained after the weighted average of the super-level element isworked out. This computational process is repeated along the hierarchy in a downwardcascade, and finally the weights of the lowest-level elements are obtained.Table 2 Weights for criterion-layer indices of evaluation index systemWeight for indexProjectGGzGsPublic welfare water conservancy project0.37000.235 80.141 30.055 8Profit-oriented water conservancy project0.31850.129 10.05244 Definition and implication of evaluation index system4.1 Definition of quantitative indices4.1.1 Degree to which facilities are intact and functionality standards are reached(1) The degree to which water conservancy facilities are intact is an important operationand management index for water conservancy projects and it determines the service function.The degree to which water conservancy facilities are intact = the number of facilities with hightechnical performance/ the total number of facilities X 100%.(2) The degree to which design capability standards are reached = the practical capability/the design capability X 100%.4.1.2 Status of operation and management funds(1) The profit-loss rate of water management units is one of the main indices that reflectsthe status of the operation and management funds and helps determine whether waterconservancy projects can be reproduced or not. The profit-loss rate of water management units =the profit-loss quantum of water management units / the total cost X 100%. The profit-lossquantum of water management units = the total income of the operation service - the total cost -the tax.(2) The appropriate use of operation and management funds according to the nature ofeach individual project and based on cost accounting is a condition for realizing positiveoperation of water conservancy projects. The use rate of the operation and management funds =the used funds/ the total funds needed for operation and managementx 100%.(3) The collection rate of rational water (or electricity) fees and stipulated fees = thequantum of actual collected water (or electricity) fees and stipulated fees every year 1 thequantum of rational collected water (or electricity) fees and stipulated fees according to thestandard every year x 100%. Rational collected water_stipulated feesaccording to the standard can enable the pre中国煤化工for waterTYHICNMHG114Qing-yuan ZHU et al. Water Science and Engineering, Dec. 2009, Vol. 2, No. 4, 110-117conservancy projects.(4) Development of water management units should include the development of acomprehensive economy in order to make good use of the human resources, material resources,and water and soil resources within the management scope while managing and utilizing waterconservancy projects well and developing the water resources. The rate of development of adiversified economy = the actual income from the diversified economy/ the objective incomefrom the diversified economy x 100%.4.1.3 Rationality and level of advancement of management team structure(1) The number of posts should conform to the lowest quantity principle and thepersonnel quota while the number of the workers is adapted to the posts required for watermanagement units. The adaptation rate of the number of employed staff and the postsrequired = the present number of workers employed/ the number of workers required x 100%.(2) The standard-reaching rate of the management talent structure = the actual number ofprofessional technical personnel/the ideal number of professional technical personnelx 100%.4.2 Implication of qualitative indexes4.2.1 Adaptability and rationality of water conservancy project management system(1) The accuracy and rationality index of clasification and quality for water managementunits: In order to realize the positive operation of water conservancy projects, the category andnature of the water management units should first be made clear. Second, the operation andmanagement system should be formed with a clear division of functions and duties. Third,internal reform of water management units should be carried out according to principles ofsimplified administration, higher efficiency, and greater staff enthusiasm, which contribute tothe water conservancy projects' safe operation and comprehensive benefit development.(2) The degree of distinct arrangement and execution of duty: A distinct and efficientsystem should be built according to the nature of the water management units. A promotionmechanism that regards responsibility resolution as its core should be established, while areward and punishment system that regards target assessment as its core should be built.Normative implementation and enforcement is realized through the resolution ofresponsibilities, distinct duties and rights, supervision and handling, reward and punishment,and public supervision and appraisal.(3) Theimplementationindexofmanagement-maintenanceseparation: .Management- maintenance separation can be realized through maintenance bidding (Mu andZhao 2005), promotion of contract management, cultivation of the enterprise and the market,and selection of the subject of the water conservancy project's maintenance. .4.2.2 Degree to which management techniques are automated and informationized(1) The safe monitoring automatization index:中国煤化Iitoring sysemMHCNMHGQing-yuan ZHU et al. Water Science and Engineering, Dec. 2009, Vol. 2, No. 4, 110-117115includes monitoring of data collection and the database of working conditions. The monitoringdata consist of the saturation line, seepage discharge, deformation displacement, structuraljoint tension, and uplift pressure at the dam foundation. The monitoring system must be onlineto detect abnormal structures in a timely manner or forecast the development trend in order totreat problems and maintain the equipment. At the same time, perambulation of administrativestaff is needed to cope with abnormal conditions in a timely and ready manner.(2) The management informationization index: The whole management of the waterconservancy project is brought into the information management mode through constructionof the basic database and operation and management database for water conservancy projects,while standardizing collection, management, and reporting of the basic status.4.2.3 Level of conduciveness of exterior environment to water conservancyproject management(1) The index of improvement of economic policy: The positive operation of waterconservancy projects requires a good extemal environment. Operation and managementexpenses for public welfare water conservancy projects are financed through correspondingeconomic policies, while the setting of a water price can allow for the recovery of the totalcost (including depreciation) with a reasonable profit for profit-oriented waterconservancy projects.(2) The matching index of relative regulations and rules: The positive operation of waterconservancy projects requires the appropriate environment. For instance, there should berelevant laws, rules, and regulations as a safeguard for effective operation and management.This allows for the achievement of a legal basis for operation and management of waterconservancy projects and the promotion of the standardization of operation and managementof water conservancy projects.5 ConclusionsA scientific, rational, and feasible evaluation index system must be established toevaluate the positive operation of water conservancy projects, which includes many factorsand covers a broad scope. Conditions for realizing the positive operation of water conservancyprojects are advanced in this paper. A scientific and effective evaluation index system withdefinitions and implication of every index was established by selecting indices based onfrequency analysis, theoretical analysis, and expert consultation, after confirming theconstruction principles and methods. Finally, considering the difference between publicwelfare and profit-oriented water conservancy projects, the weights for evaluation indiceswere obtained through the analytic hierarchy process method. This is very important torealizing positive operation of water conservancy projects and to constructing operationmechanisms in line with socialist market economi中国煤化工udy should beconducted to validate the applicability of this evaluat:YHCN M H Gure.116Qing-yuan ZHU et al. Water Science and Engineeing, Dec. 2009. Vol. 2, No. 4, 10-117ReferencesBouwer, H. 2000. Integrated water management: Emerging issues and challenges. 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