Abstract
The regional development strategy of China was converted from “Coast regional priority development strategy” to “Regional balance development strategy” in 1999. Under this strategy, Northwest China was planned to be the energy production base for local development and supplying power to the Beijing economic bloc. However, the lack of the water resource obstructs the construction of the energy production base. With this background, it is expected to achieve regional development by implementation of “Reallocation of Water Right” policy with reallocation of resources, including electric power. This study examined the resource allocation system in “Reallocation of Water Right” and calculated the volume of translatable water. Then the possibility of regional development in “Reallocation of Water Right” was analyzed. As a result, “Reallocation of Water Right” policy is effective to the provincial development. And it was clarified that the inter-provinces resources allocation is more economically effective than within one province.
