As an important means to eliminate the negative externality generated in the process of environmental resources exploitation, studies on ecological compensation mechanisms are of great practical significance for environmental resources exploitation and basin pollution treatment. Focusing on the basin ecological compensation mechanism ( BECM), this paper summarizes previous study achievements on ecological compensation including its origin, its implication, practical patterns and relevant compensation standard, and discusses the relation between the two patterns, namely market-oriented pattern and government-oriented pattern. Furthermore, the paper assesses the BECM in Ziya River from the perspectives of basic thinking, policy framework and supervision system, and comes up with the opinion that the BECM in Ziya River is an organic whole which includes fund withholding system, improved performance evaluation system, and fund supervision and management system. And it is a classic example of the government-oriented BECM. At the end, this paper shows the reasons why BECM in Ziya River can operate effectively. Finally, according to the present national conditions, this paper holds that we should implement government-oriented BECM and puts forward relevant policy recommends towards improving the government-dominated BECM in China today.