Thursday, February 28, 2008

Will China bite the environmental bullet?

China is starting to realize that to go to a cleaner environment and to increase its energy efficiency is going to be costly. They estimate that the cost will be $300 billion over the next 5 years. They believe that supplying the technology will provide business opportunities. See Peoples Daily Online article, "Cost of going green."

They claim that China has vowed to cut its per-unit energy consumption by about 20 percent and discharge of pollutants by 10 percent between 2006 and 2010.” These are modest targets indeed; in the end they will likely require more stringent cuts. As the economy grows and more energy generation and industrial sources are opened in a fixed land area, the emissions from individual sources will have to be reduced so as to allow maintaining healthy ambient air quality levels. The issue of what will be the allowable emissions from individual will become more critical as more automobiles go onto the roads.

Concern was expressed on how to impose the cost on among those who nay have more-or-less ability to adsorb the costs. Policymakers are urged to develop fiscal and tax incentives to ease the cost burden. It sounds almost capitalistic, doesn’t it

Instead the Chinese policymakers should arm the State Environment Protection Agency (SEPA) with the necessary regulating, monitoring and enforcement powers, and tools perhaps modeled after the U.S. EPA. Once this is done SEPA could be provided with enough staff to fulfill the emission. With such a scenario, Chinese industry, using the same abilities that promoted the huge economic expansion, will bring pollution under control in a relatively rapid order.

Can China do it? Article 26 of China’s Constitution says it can!

“Article 26. The state protects and improves the living environment and the ecological environment, and prevents and controls pollution and other public hazards. The state organizes and encourages afforestation and the protection of forests.”

4 comments:

Angie S. said...

Norm
Aren't the Chinese also suppose to enjoy "freedom of speech" under the Constitution too? Here's to hoping both are not empty promises!
Angie

norman-p said...

Angie,

From my reading of Article 26 of the Chinese Constitution the State has the authority to implement environmental controls to whatever level they want. It probably also gives the State authority over the Provinces and local government when it comes to the environment.

You are also right about “freedom of speech, which is granted by Article 35:

Article 35. Citizens of the People's Republic of China enjoy freedom of speech, of the press, of assembly, of association, of procession and of demonstration.

It looks good until you get to Article 28

Article 28. The state maintains public order and suppresses treasonable and other counter- revolutionary activities; it penalizes actions that endanger public security and disrupt the socialist economy and other criminal activities, and punishes and reforms criminals.

Now it doesn’t look so good!!!

Gina said...

Guess the CCP read your blog, Norm. They announced Friday that they were making promoting SEPA to the Ministry of the Environment (see my blog for details) and adding more money and people for enforcement. Unfortunately, they didn't follow all your suggestions. The local environmental agents will report to the provincial or local government. Those folks continue to be the flies in the ointment!

They're going to have to get serious to meet their 20% energy consumption target. The NYT article "Far From Beijing's Reach, Officials Bend Energy Rules" says that they'd have to reduce consumption 4% each year, and they've only reached 1.23% the first year and 2.4% last year. At least it's on an upward trend.

Steve Adams said...

Norm, Gina beat me to it - it's curious that you posted this just a few days before the announcement by China of creating the expanded and better funded Mnistry of Environment. As for China meeting its various set benchmarks, they have a poor track record, largely because the central government is stymied by the locals.