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Research on the Sustainable Development Road Being Oriented by Low-carbon Economy SUN Fang1, WANG Xiaofeng2 1. College of Management, Shandong University of Technology, Zibo, China, 255049 2.School of Population, Resource and Environment, Shandong Normal University, Jinan, China, 255049 [email protected] Abstract: With the development of world economy, how to actively cope with the serious challenges caused by the global warming has become a focus of world widespread concern at present. From China's actual conditions, developing low-carbon economy, pushing forward the low-carbon consumption patterns, taking a low-carbon road, and gradually reducing dependence on high-carbon energy sources, is an important way and effective way to implement the strategy of sustainable development, but also are the objective requirements of scientific development outlook. So China take the road of low-carbon economy, not only in line with China economic and social requirements of sustainable development, also in line with the requirements of global environmental cooperation. This paper describes in depth the content of low-carbon economy, the necessity of developing low-carbon economy. This article also analyzes development status quo of low-carbon economy in China combining China’s realities and puts forward a number of possible ways achieving low-carbon development on China's economy in future. Keywords: Low-carbon economy, Sustainable development, Carbon trading, Low-carbon consumption 1. Introduction In 2002, the World Summit on Sustainable Development has reached some common understandings in the international community for climate change under the framework of the sustainable development. The United Kingdom in 2003 put forward the concept of low-carbon economy. The international community more deeply felt more than ever before that it is necessary for mitigation and adaptation to climate change action to be put into the national socio-economic development plan. So national must change economic development mode and be reliance on science and technology, especially the advances in clean energy technology. Low-carbon economy has become the dynamo of the next round economic growth universally accepted around the world in the context of financial crisis. It emphasizes on reducing dependence on fossil fuels, through the technological innovation, organizational innovation and transformation of the development model of real economy, to reduce greenhouse gas emissions and adapt and mitigate the Earth's climate warming. Developing low-carbon economy is to continuously increase technology research investment in the climate change, so as to improve energy using efficiency, develop clean energy technology, optimize the industrial structure, develop recycling economy and reconstructs the micro-foundation of economic and social sustainable development. 2. The Content of Low-carbon Economy Low-carbon economy has the basic characteristics with low-energy consumption, low emission and low pollution. Its basic requirements are how to cope with the impact of carbon-based energy sources on climate warming. The basic purpose is to achieve economic and social sustainable development. So low-carbon economy is a general kind of green economy forms, such as low-carbon development, low-carbon industries, low-carbon technologies and low-carbon life. Essence of low-carbon economy is to raise energy efficiency technologies, energy-saving technologies, renewable energy technologies and greenhouse gas emissions reduction technologies, to promote and realize the efficient use, clean use of energy and the low-carbon or carbon-free energy development and to maintain the global ecological 299 balance. This is an economic development model with evolution from high-carbon energy era to the era of low-carbon energy sources. Developing low-carbon economy is the inevitable choice of China's reality and future development. Among them, the essence question of low-carbon development is energy efficiency and clean energy structure, the core of it is the technology and institution innovation of energy sources and the goal is to mitigate climate change and promoting sustainable human development. Therefore, low-carbon economy is to rely on technological innovation and policy measures to implement an energy revolution and establish a model of economic development with fewer greenhouse gas emissions in order to mitigate climate change. Low-carbon technologies, also known as clean energy technologies, mainly refers to improving energy efficiency in order to stabilize or reduce the demand for energy, while reducing dependence on fossil fuels such as coal. The dominant technology involves in electric power, transportation, construction, metallurgy, chemical, petrochemical and other sectors as well as the clean and efficient use in renewable energy, new energy sources and coal, exploration and development of oil and gas resources and coal-bed methane, and the new technologies of effective controlling the greenhouse gas emissions in carbon dioxide capture and underground storage areas. 3. The Necessity of China Developing Low-carbon Economy 3.1 Developing low-carbon economy has become the mainstream strategic choice of the international community The world economy is through industrialization, information technology moving towards low-carbon. It is predicted that in the current global energy consumption structure, the proportion of the carbon-based energy (coal, oil, natural gas)is as high as 87%. If the future development continues to use the high-carbon model, to 2050, the world's economic scale is 3-4 times higher than it is now, the Earth will be overwhelmed. As a result, development model with the basic content of low carbon economy is put on the agenda. In 2003 the British Government published a White Paper on Energy - "Our Energy Future: Creating low carbon economy", in which the "low-carbon economy" concept was first put forward. Japan and the United Kingdom in the low-carbon economic development, there are many common visions. They put forward the building of low-carbon society and around the world are scrambling to develop low-carbon city. In June 2007, Japan and the United Kingdom co-sponsored the seminar with the theme "the development of sustainable low-carbon society". And they invested heavily in developing and utilizing solar energy, wind energy, light energy, hydrogen energy, fuel cells and other alternative energy sources and renewable energy sources. They actively develop the research on tidal energy, hydropower and geothermal energy. They stop or limit the development of high energy consumption industries, encourage them to move abroad and develop a particularly stringent standard of energy consumption for some energy-intensive products. In July 2007, the United States issued a "Low Carbon Economy Act", published a report entitled "Seize the Energy Opportunity: Creating a low carbon economy", in which proposed 10-step plan. The report also proposed to implement a series of tax breaks for wind, solar, bio-fuels and other renewable energy projects, offer loan guarantees and financial support and other preferential policies. In addition, Brazil, Mexico, South Korea, India and other developing countries also took the initiative to reduce emissions, limit row, and made positive efforts in developing low-carbon economy. 3.2 Developing low-carbon economy is the realistic choice for dealing with climate change A Nobel Prize winner Arrhenius as early as 1896 once predicted: fossil fuel combustion will increase carbon dioxide concentration of the atmospheric, which cause global warming. In the past 100 years, greenhouse effect caused by carbon dioxide and other greenhouse gases increased the global average surface temperature by 0.3-0.6 . The latest research report shows that only the increase in carbon dioxide concentration of atmospheric is controlled 2-fold less of pre-industrial level until 2050,it be ℃ 300 possible to avoid the occurrence of extreme climate change. The latest assessment report on climate change issued by the Intergovernmental Panel on Climate Change showed there is 90% confidence and also present that in recent years climate change are mainly from human activities emitting carbon dioxide, methane, nitrous oxide and other greenhouse gases. They also predicted that if this trend continues, global average temperature will rise by 1.0-3.5 to 2100. Consequences of global warming is glaciers melting, sea levels rising, ecosystem degradation, frequent natural disasters. These would threaten agriculture and food security, water security, energy security, ecological security and public health and safety, and also be a direct threat to human survival and development. In the background of global warming, China's climate has undergone significant changes. In China, from 1986 to 2006, there is continuous emergence of 21 national warm winters. The frequency and intensity of extreme weather, climate events and disasters increased significantly and the loss increased. At the same time there appears shortage of water resources and aggravation of regional imbalances, environmental degradation, loss of agricultural production, pressure increased of food security, sea-level rising and economic and social development in coastal areas is under threat. According to the report issued in the end of 2006 "National Assessment Report on Climate Change," predicted that the rate of China's climate warming in the future would further be accelerated, and most probably in the next 50 years to 80 years the national average temperature would rise 2-3 . Climate change would add the instability of agricultural production. Facing the future with temperatures rises and a series of serious consequences could be caused, developing low-carbon economy has become the urgent affair. ℃ ℃ 3.3 Low-carbon economy is an important driving force for China's economic development Low-carbon economy is based on the premise of reducing greenhouse gas emissions to achieve the greatest output of the economic development of ideas or forms. It will bring more innovative activities, which led to a decline in production costs and improve the international competitiveness of enterprises. Broadly, the "low carbon" can be seen as new constraints of economic development in environmental protection and energy saving, etc.. However, such conditions is not just the passive limitations and restrictions of development, but can induce enterprises to innovate or take the initiative to introduce new technologies by technology and systems matching with the new constraints, so as to enhance international competitiveness, thus promoting development. At present, many companies worldwide have already tasted the sweetness of low-carbon economy. At the same time, Developing energy-saving technologies, carbon capture and storage technology, developing and using wind energy, solar and other renewable energy sources and improving the efficiency of electric power facilities, etc., all can create employments and stimulate economic growth. According to statistics, export revenues of the German wind power equipment in 2005 reached about 60 billion Euros, accounting for half the volume of transactions of the global wind power generation equipment. In Japan photovoltaic power generation technology takes the first place in the world. It can be predicted that developing low-carbon economy is an important engine of China's economic development. 4. Development Status of China's Low-carbon Economy China is in the rapid development stage of industrialization, urbanization and modernization and the development of heavy chemical industry is relatively rapid. A large-scale infrastructure construction can not stop and great demand and rapid growth of energy are hard to change. In other words, at present China's energy consumption is at a "high-carbon consumption" state. In 2007, China's coal consumption accounts for 69.5% of total primary energy consumption. The long-term energy consumption structure dominated by coal brought about serious environmental problems to our country. At present, 85% of carbon dioxide, 90% of sulfur dioxide and 73% of the dust emission are caused by coal-fired. This kind of energy structure with the core as coal, now and in the future for a long period of time are unlikely to change. With the further development of industry-oriented and heavy and chemical industry, the 301 proportion of coal in total energy consumption will continue to increase and carbon dioxide emissions will continue to grow. As the technology and equipment is relatively old, China's carbon dioxide emissions per Unit GDP are much higher than developed countries. And the accelerated development of six high energy-consuming industries such as energy, automobile, steel, transportation, chemicals, building, materials and etc. would make China become a typical representative of "high-carbon economy". In the next 30 years, China will continue to be the disadvantage of lower end of the international industrial chain, in the accelerating development period of the "heavy industry” of industrial medium-term and the stage of industrialization and urbanization development. This stage also is a period of the rapid growth of energy and resources consumption. The area of production, consumption and circulation are in the situation of high-carbon economy, which will inevitably lead to higher emissions of greenhouse gases and result in a series of political, economic, diplomatic, and ecological consequences. At present, China's carbon dioxide emissions are in the second of the world. It is expected that carbon dioxide emissions in China account for 20.7% of the world until 2015 and more than in the United States (20.1%), which becomes the first emissions big power all over the world. Overall, the status quo of carbon emissions in China is quite severe in the future and developing low-carbon economy is the strategic choice of achieving sustainable development of China. 5. Conclusion According to the experience from the United Kingdom, low-carbon policies and measures mainly include three aspects: The first is to increase the energy efficiency and develop renewable energy resource. The second is to establish carbon trading and other market mechanisms, to set emission caps, and to encourage investment on increasing energy efficiency and clean technology development relying on carbon emissions trading. The third is setting the Carbon Fund and the government should pay an important role of the role of supporting and encouraging the development of low-carbon technologies. Foreign experience can not be copied. combined with China's realities, there are two viable roads to choose in the development of low-carbon economy: the first is continue to accelerate high-carbon industrialization and advance low-carbon economy until reaching the level of developed countries. And the second is from now transformation and to go directly to a low-carbon industrialization road. While the former continue to walk this path, there has experience, technology is mature and the risk is small, but are more likely to lose the unique opportunity for development, the consequences will inevitably cause the conflict in resources and the environment. The latter is in contrast, although there are likely to enjoy the "monopoly rent" of developing low-carbon economy, this is, after all, a new road being lack of operational experience and hiding a huge risk. So how should China choose exactly? From the external environment, as the world's largest developing country, the third largest economy, the second largest energy consumption and carbon emissions countries, in the increasingly fierce international competition, to achieve the "Peaceful Rise" must take the lead in realizing the economic transition - undergoing the road of low-carbon economy with Chinese characteristics. From within the perspective of sustainable development, If you continue to walk the industrialization road of high-carbon, it is bound to rely heavily on the support of electric power and other infrastructure. In accordance with the general experience, these infrastructures have large-scale investment, long construction period and long period of use, easily in the technical foundation and social infrastructure level, forming a "lock" effect or "path dependence". Then we can only become a developed country a base for the transfer of carbon-intensive industries and once again lagging behind in front of the new development opportunities. The essence of China low-carbon road to industrialization is through the development of low-carbon-style, across the inherent phase of the traditional industrialization path, through the “peak” of carbon emission and realizes leap-forward development. As a developing country, if China want to achieve industrialization transition from high-carbon to low carbon, it can through effective policy measures, absorb, introduce and imitate sophisticated low-carbon production technology of the 302 developed countries. These can develop from a higher starting point, have a more faster and better development in the less cost of environment and resources and achieve the level of the developed countries development at a smaller costs and a higher limitation. So the technology gap of low-carbon can make China’s low-carbon industrialization having the late-development advantage. Developing low-carbon economy is the first choice to achieve China's sustainable development. In order to achieve low-carbon economic development, we must be promote low-carbon economy through concept renewal, technological innovation, consumption innovation, management and structure innovation, and handle with four low-carbon links such as the production, circulation, distribution and consumption of low-carbon. Through low-carbon economy, technology, industry, energy, trade and investment policy formulation and implementation, the land, capital, populations (human capital) and other factors of production are be guide concentrating into the low-carbon technology R & D and, the field of diffusions and the low-carbon industry. And further we participate into the new international division of labor and are adapt to the international environment changes, and go out of the sustainable development road under the constraints of a low-carbon economy. References [1]. Stern Nicolas. Stern Review on the Economics of Climate Change [M]. Cambridge University Press, 2007 [2]. 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