Eco-Compensation in China
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- Lydia Black
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1 Regional Capacity Building Workshop on NBSAP for South Southeast and East Asia Eco-Compensation in China Experience and Approaches LIU Guihuan Chinese Academy for Environmental Planning, SEPA Jan.14-18,2008 Singapore
2 Contents DEFINITION OF ECO-COMPENSATION COMPENSATION STAKERHLODERS IN ECO-COMPENSATION COMPENSATION EC POLICY MEANS IN CHINA EC FRAMEWORK IN CHINA EC PILOT WORK IN CHINA CONCLUSIONS
3 DEFINITION PES = EC Definition Connotation EC purpose : protect the ecological system function; Promote the harmonious relationship between human beings and nature; EC basis: Ecosystem service value; Eco-conservation cost; Opportunity costs; EC means: Regulates the relation of ecological protector, beneficiary and destroyer with the means of finance, taxation and market. The most direct method is Equivalent Compensation for Occupancy of the natural resource; Constrain the destruction of ecological environment; To make compensation for the abandonment of development opportunities To make compensation for the additional input by individuals or regions for the protection of specific ecological environment; To make protective input compensation for regions or natural ecological components with significant ecological value.
4 STAKERHOLDERS STAKERHOLDERS DAMAGING THE ECO-SYSTEM STAKERHOLDERS PROTECTING THE ECO-SYSTEM BENEFICIARIES OF NATURE CONSERVATION AND IMPROVED ECO-SYSTEM
5 EC POLICY MEANS Governmental guidance: Direct legal regulation to internalize ecological costs; Government funds and subsidies: Special project funds, financial subsidies; Market-based compensation: Ecological compensation charging; Guarantee deposit of ecological restoration or recovery; Ecological service payment;
6 Zhejian Province, Fujian Province, Jiangxi Province, Guangdong Province and some Other practices down to up policy making
7 EC SYSTEM IN CHINA Western EC Financial Transfer Payment Regional Management Policy Eco- Function area EC Western Region Support Planning State Purchasing Policy Government-initiated Eco- Construction Vertical Compensation China EC System Basin EC Response Supporting, Cooperation Basin Water Right Trading Policy Ex-situ Development Horizontal Compensation Supporting System Components EC Establishing compensation funds Collect Compensation fee Restoration Guarantee Deposit Sector-managed Compensation Laws and Regulations Institutional Management Financial & Taxation System Policy Making Scientific Research
8 EC PILOT WORK IN CHINA Nature Reserve EC Mechanism Key Ecological Function Reserves EC Mechanism River/Lake Basin EC Mechanism Pilot / Focused Fields Mineral Resources EC Mechanism Opinions on guiding the pilot work of ecological compensation (SEPA,2007)
9 Compensation of Key Ecological Function Reserves State Green Purchasing Governmentinitiated Eco- Construction Financial transfer The land using right of state-level nature reserves and extremely sensitive areas of ecoconservation will belong to the state by the means of purchasing; The planning and construction of state-level nature reserves and key ecological function areas will be led by the State; special financial subsidies are used in development zones, key ecological function areas and ecological fragile zones;
10 Ecological Compensation of River/Lake Basin Compensation modes: 1 Twinning support cooperation the upper and lower reaches form the relationship of twinning support 2 Basin water right trading On the basis of fair water distribution and water quality control 3 Ex-stu development the lower reaches may provide development enclaves for the upper reaches To choose small-and-medium scale basins or basins involving fewer provinces (or autonomous regions and municipalities) to develop pilot of basin EC;
11 Ecological Compensation of River/Lake Basin key aspects: 1 Compensation evidence Water resource quantity and quality, acreage of nature reserves, protection areas of water resource and ecological function zones 2 Compensation standard Opportunity-cost method, protection expenses method 3 compensation platform River basin coordination and management institutions Nature reserves management mechanism Management institutions of ecological function protection areas Leading group of ecological province & ecological city construction
12 Charging policy of ecological compensation Fund Fee Guarantee Charging Establishment of protection compensation fund Ecological public welfare forest; nature reserve; basic farmland subsidy Levy of ecological destruction compensation fee (mainly for coal exploitation) Pilot work had been started in Shanxi Province Implementation of restoration guaranteedeposit system Mine exploitation; construction material development Building state policies of charging on ecological destruction compensation Financially centralized; administered by different levels
13 CONCLUSIONS 1. EC policies would be effective to improve ecological system function and enhance environmental quality. 2. However, EC policies in China are still in the tentative stage, China has just started the pilot work. 3. There are a lot of key Technical Steps or questions to be solved. 4. We should pay more attention to these technical steps with the pilot work progressing.
14 CONCLUSION Key Technical Steps of EC Design the compensation mechanism Qualitative research Analyses of investment in protection Evaluation of ecological services Quantitative research Identification of the main responsible body Qualitative research
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