In 2026, the National People's Congress and the Chinese People's Political Consultative Conference will clarify the strategic direction, and water conservancy will be officially incorporated into the national strategic foundation. During the 15th Five Year Plan period, a total investment of 7 trillion yuan in water conservancy will be fully implemented, and the construction of modern water networks will accelerate. The civil engineering and water conservancy fields will usher in a golden opportunity period of ten years of development.

Clarify the six key areas

The 7 trillion yuan water conservancy investment layout is precise, and the six core construction directions have been determined, which are also the core focus of project application and business layout: national water network and major water diversion projects, flood control and disaster reduction and embankment reinforcement projects, modernization of large and medium-sized irrigation areas, integrated construction of urban and rural water supply, water ecological protection and restoration, digital twin water conservancy and smart water management construction. The above-mentioned fields all enjoy central financial subsidies and priority guarantee for factor resources, making them the core battlefield for water conservancy practitioners.

Collaborative efforts of diversified capital

The construction of water conservancy projects has established a collaborative funding guarantee system among the government, financial institutions, and social capital, greatly improving the feasibility of implementation. The government level is based on the investment within the central budget, ultra long term special treasury bond, and local special bonds, which can be used as project capital; At the financial level, policy banks mainly provide long-term low interest loans of 25-30 years, matching the cash flow of engineering construction; Social capital can participate in the revitalization of existing assets through franchising, new PPP models, TOT/ROT, user payment for operational water projects, gap subsidies for quasi public welfare projects, and joint construction by central and private enterprises becoming the mainstream model for major engineering projects.

Compliance management to avoid risks

Water conservancy investment drives incremental opportunities throughout the entire industry chain, with clear development space in each link: upstream infrastructure and building materials demand is steadily released, midstream equipment manufacturing is experiencing intelligent upgrades, and survey and design and engineering general contracting orders continue to grow; The downstream intelligent water management, water rights trading, digital twin water management, AI hydrological scheduling and other tracks are rapidly emerging, and the dividends related to new quality productivity are most concentrated.

While seizing opportunities, it is necessary to strictly adhere to the bottom line of four major risks: complete and compliant procedures in the early stage to ensure the smooth entry of the project into the warehouse; Scientifically plan for income balance and ensure stable cash flow of the project; Standardize cooperation models and strictly prevent the addition of hidden debts; Enhance the comprehensive strength of technology, funding, and operations to cope with market competition. Keywords: water conservancy investment, national water network

Water security is closely related to national security, and the 7 trillion yuan investment in water conservancy is not only an important support for stable growth, but also an important opportunity for the high-quality transformation of the water conservancy industry. The industry is transitioning from traditional engineering construction to integrated construction and operation, with green, intelligent, and market-oriented development becoming the mainstream.Editor/Gong Ziwei