Franchising is an important method for governments to involve social capital in infrastructure and public utilities. In March 2006, Beijing officially enacted the "Beijing Urban Infrastructure Franchising Regulations", marking the beginning of standardized and legalized franchising for various urban infrastructure projects in the city. Prior to this, Beijing had been exploring franchising models for municipal infrastructure for over a decade, accumulating significant experience and lessons.
The former Municipal Administration Commission of Beijing (now the Municipal Administration Commission of Beijing), as the administrative department overseeing municipal public utilities in Beijing, initiated this research project to implement the "Beijing Urban Infrastructure Franchise Regulations". Beijing Jinzhun Consulting Company was entrusted with the research through a competitive bidding process.
The aim of this research is to analyze and study the specific tasks, internal functions, and operational procedures of the former Municipal Administration Commission in implementing franchising, based on both domestic and international practices of urban infrastructure franchising projects, as well as relevant laws and regulations including the Administrative Licensing Law of the People's Republic of China and the Regulations of Beijing Urban Infrastructure Franchising. Furthermore, the research led to the compilation of the "Measures for the Implementation of Franchising of Municipal Public Utilities by the Beijing Municipal Administration Commission (Draft Proposal)". In November 2008, the former Municipal Administration Commission organized a review and acceptance of the research project, with the review expert group providing high praise for the research report and its related outcomes.