(China Daily)
Updated: 2007-09-10 06:53

Privatized services should serve the interests of the public, says an article in Dazhong Daily. The following is an excerpt:

Jiujiang Bridge in Foshan, Guangdong Province, was constructed and opened to traffic in 1988. The total construction cost was 99.8 million yuan ($13.22 million). The bridge collapsed on June 15 after a cargo vessel struck it, killing nine people.

The bridge operator has filed a

compensation claim of 25.58 million yuan. According to court documents, toll fees collected in 1994 totaled 55.10 million yuan, 58.45 million in 1995 and 72.10 million in 1996.

These documents show that the toll fees collected have far exceeded the cost of the bridge. This also reveals a problem that cannot be ignored: how to guarantee the needs of the public after the privatization of services.

The privatization of public services is to make them low-cost, but efficient.

However, the government should still supervise these services, otherwise contracted companies are open to seeking maximum profits.

After loans are paid off, companies should not try to maximize profits by collecting fees at what they were originally set.

The government provides public services to taxpayers. Companies that have been engaged to provide some of these services should not treat taxpayers as mere customers and go after maximum profits.

Jiujiang Bridge's high toll collection is common in the country. The government should reflect on the problems of privatization. A competitive mechanism should be introduced to realize low costs and high efficiency.

At the same time, the government should enhance its supervision.

Independent professional bodies should be invited to audit the budgets of these companies, and more public participation in their supervision should be encouraged.

(China Daily 09/10/2007 page4)