"If we expand the scale, can we effectively reduce the ex-factory price?"

Jiang Hailin thought for a moment and replied, "If the annual output exceeds 100 million cubic meters, it can be reduced by one hair. The problem is that such a large output is difficult for the local area to digest, and it is also a huge expenditure to build a water pipeline."
"Annual output of 100 million cubic meters?" Zhang Guanghe secretly wondered that the total water volume in Shandong Province last year was only 219.9 billion cubic meters, including 27.1 billion cubic meters of domestic water, 246.9 billion cubic meters of industrial water, 1,627.6 billion cubic meters of agricultural water and 37.3 billion cubic meters of ecological water supplement.
If Suiren Company puts into operation the seawater desalination plant, it can produce 100 million cubic meters of desalinated water per year, which is equivalent to one third of the domestic water of the residents in the province.
And the problem follows, that is, the problem of water delivery.
After all, not all cities are coastal cities, and Zhang Guanghe also heard about the beating of Pengcheng Suiren Company before coming here.
It is estimated that it is difficult for the company to agree to share with the other party because of Veolia’s sewage treatment plant project.
Sure enough, in the conversation, Jiang Hailin came up with a comprehensive plan, that is, the Ministry contracted a comprehensive plan, and it was not allowed to set up a separate waterworks water supply company.
After talking for two days, it was too late to reach an agreement. Finally, Zhang Guanghe ran to the headquarters of Suiren Company and had a foresight with Huang Xiu.
Head office small office
"Manager Huang, we are very sincere here. If we can reach a deal, it will be a good announcement for your company."
Huang Xiuyuan didn’t care about this. He directly asked a very realistic question, "If the desalination plant is built, how can it be guaranteed to be profitable?"
Zhang Guanghe wanted to explain something, but Huang Xiuyuan raised his hand. "Zhang Zhu, listen to me. When I say profit, does it mean that the local water company is profitable?"
"Well …" This question directly puzzled Zhang Guanghe and asked, "Does this have anything to do with the profit of the local water company? Desalination water from desalination plants is of course sold directly to water supply companies, and they are responsible for their own profits and losses. "
"Of course, if the water company can’t make a profit and just encounters local financial difficulties, will the water company pay on time? I’m afraid this is an unknown number. "
In the face of Huang Xiuyuan’s outspoken Zhang Guanghe, it is really awkward, and at the same time, he deeply associates this possibility.
The most common situation that private enterprises and state-owned enterprises encounter when doing business is that the money is often in arrears.
The water project is very sensitive and belongs to the people’s livelihood. It cannot stop the water supply company because of arrears.
As a result, the desalination plant is in a rather passive situation in the process of integration, which Huang Xiuyuan does not want to see.
"I believe that this situation is well known to Zhang Zhu. At present, the specific profits of local water companies are probably negative!"
Zhang Guanghe Nai nodded. Before he came to Shantou, he investigated some situations. Only Quancheng Water Company sold an average of one cubic meter of tap water, and it would lose money in 15 yuan.
That is to say, the domestic water in Shandong Province should lose more than 400 million yuan every year. If it were not for financial subsidies, these water companies would have gone bankrupt.
Zhang Guanghe is also a dilemma. "Although Mr. Huang has a precedent of private capital and foreign capital contracting water, your company has also contracted Tuocheng Water Company, but the whole water contracting in Shandong Province is still too large."
Huang Xiuyuan took out a document and handed it over. "How about this? For example, a joint venture between Shandong Province and our company will set up a total water company. We need 5% of the shares but need the management of the Ministry."
"5% stake? Department management? Can your company make the water company profitable? " Zhang Guanghe some curious.
"We can actually calculate an account: 2.4 billion cubic meters of industrial water and 300 million cubic meters of domestic water were collected in Shandong Province …" Huang Xiuyuan said while writing some data on paper.
2.4 billion cubic meters of industrial water and 300 million cubic meters of domestic water. The average selling price of water plus sewage treatment in 3 yuan means a total turnover of 16.2 billion yuan a year. Even in the case of stealing water, there is a turnover of 1.3 billion.
In fact, if the commercial water in domestic water is listed separately, the total turnover of Shandong Province will definitely reach about 100 million for adding some agricultural water.
The ex-factory price of Suiren Company’s waterworks in 3 yuan should be 600 million cubic meters of pure water a year, only 100 million yuan.
Subtract each cubic yuan of sewage treatment, which is 400 million yuan.
After some calculations, it only cost 6.6 billion. Where did the remaining 10 billion go? Even if 3% turnover is invested every year to maintain and transform pipelines and equipment, it will cost about 5.4 billion yuan.
There are about 600 million turnover left, so you can’t make 600 million manually, can you?
There are at most 160,000 employees in water companies in 16 prefecture-level cities, even if the average annual salary of each person is 10,000 plus other expenses and benefits, the maximum expenditure is 200 million.
Where is the remaining 400 million?
If the ex-factory price of the former waterworks is on the high side, it is understandable that this 400 million yuan was affected by this aspect.
But if Suiren Company takes over, this 400 million will become a profit point.
Seeing this, Zhang Guanghe couldn’t help asking, "That is to say, if the water is handed over to your company for management, can it be profitable?"
Chapter 51 Some changes
Huang Xiuyuan confidently replied, "It is ideal to make a profit of 400 million a year, but half of it is achievable."
This is indeed a huge temptation. You know, Shandong Province spends more than 400 million yuan on subsidizing tap water every year. If it is given to Suiren Company for operation, it can make a profit of 200 million yuan at the same time.
Once, it is equivalent to earning 600 million in Shandong Province.
In the process of Huang Xiu’s plan, Shandong Province holds 95% of the shares of the water company, and Shandong Province also ensures relative initiative.
Of course, he doesn’t have lunch during the day. The profit point of the company is not the 5% share dividend, but the sewage treatment and tap water are sold.
It is necessary to manage the water company to ensure that there is no problem with the water company and that the water company can also make a profit.
It’s a win-win solution. Maybe those who really suffer have those rats.
The only problem now is that it depends on the face.
The two sides discussed a rough plan, and Zhang Guanghe immediately rushed back to Shandong Province, hoping to facilitate this merger as soon as possible.
After seeing Zhang Guanghe off, Huang Xiuyuan rarely dealt with some companies. Although he doesn’t manage the company every day, it doesn’t mean that he doesn’t care.
Abe is always keeping an eye on the whole company, and Huang Wei will report to him regularly, and will inform him as soon as possible if he encounters particularly serious problems.
Through Abe Huang Xiuyuan, he knows the company like the back of his hand.
For example, after several months of price war, the company Hailu Gas has eaten 6% of liquefied gas in the urban area, and the average daily turnover of the market has reached about 30 thousand.
The company’s land and sea organic fertilizer also hit the Chaoshan organic fertilizer market, selling an average of 100 tons of organic fertilizer every day, with a total turnover of 3.42 million in September.
Blue Times City, the company with the largest expenditure, has built three large-scale farms. At present, there are about 6 pigs, 3 broilers, 3 laying hens, 2 meat ducks and 1 laying duck.
This is a preliminary scale, and with the passage of time, the blue age will gradually expand the scale of farming.
Huang Xiuyuan is also very concerned about this large-scale farming. He has repeatedly explained to LAM Raymond, the manager of the Blue Age, that scientific farming and epidemic prevention should be paid attention to.
Every farm should be closed and managed, isolated from external material exchanges as much as possible to avoid migratory birds and wild animals bringing in external germs.