Download China’s Necessity and Policy Options of Developing Low-Carbon Economy

China’s Necessity and Policy Options of Developing
Low-Carbon Economy
ZHOU Rui, FAN Weiguo
School of Economics, Shandong University of Technology, Zibo, Shandong, 255049
[email protected]
Abstract: The sustainable development of humankind is the world's major issues of social concern,
along with the carbon dioxide emissions continue to grow, Europe, the United States and other
developed countries has led to the development of low-carbon economy. China, as a country which
gives priority to low-end manufacturing, should also be actively in developing system policy, and
occupies the commanding heights of low-carbon economy through changes in the way of economic
development, the development of low-carbon technologies, strengthening international cooperation and
other measures.
Keywords: Low-Carbon Economy, Connotation, Necessity, Policy
1.
Introduction
Global Warming is a concern of the international community nowadays. World economy’s increasing
request of oil, coal and natural gas has made the increasing carbon dioxide emissions, and greenhouse
gas emissions and the resulting environmental and ecological issues will be further intensified. Facing
global warming challenge, United Kingdom and other European countries promoted the development of
“low-carbon economy”, as soon as Japan suggested the construction of low-carbon society, the world
competed to develop low-carbon cities. On the one hand, our country has problems of energy tension,
low average share of resources and serious environmental pollution, the development of low-carbon
economy is conducive to the spread of modern energy services, renewable energy, and energy efficiency,
improve energy structure and enhance energy security. On the other hand, the global climate warming
causes our country to face the big international shift emissions pressure, development of low-carbon
economy is a necessary required economic development model of “Reply to Climate Change in China”.
Therefore, how to embark actually from our country, develop low-carbon economy, and gradually
reduce the high carbon energy dependence, is the scientific development concept objective request, and
is also the solution of urgent reality pressure and international responsibility.
1.1 Connotations of low-carbon economy
Low-carbon economy can be understood in two aspects:
First, the low-carbon economy refers to the low energy consumption, low emission, low-emission-based
economic model, its essence is the energy efficiency and clean structure issues, and its core is energy
technologies and emission reduction technology innovation, industrial structure and system innovation,
and human survival and development of the concept of fundamental changes. Low-carbon economy has
three aspects: first, low-carbon economy is relative to the unconstrained, carbon-based intensive energy
production and energy consumption of high-carbon economy, development of low-carbon economy is
the key to lowering energy consumption and carbon emissions (i.e. carbon intensity), control of CO2
emissions. Second, low-carbon economy is relative to the fossil-based energy model of economic
development, the development of low-carbon economy lies in promoting economic growth and energy
consumption caused by carbon emissions gradually hook. Third, the low-carbon economy is relative to
the person for purposes of carbon fluxes, is to address human-caused carbon turnover increase in the
Earth's ecosystem imbalance of humanity self-preservation, the development of low-carbon economy is
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the key to change people's high-carbon propensity and live a low-carbon life. [1]
Second, from the connotation, low-carbon economy includes low-carbon production, distribution,
circulation and consumption these four links, Second, from the connotation, low-carbon economy
includes low-carbon production, distribution, circulation and consumption these four links, the core of
which is, on the basis of market mechanisms, policy innovation and system design, to improve energy
conservation technologies, renewable energy and greenhouse gas mitigation technologies, to establish
low-carbon energy systems and industrial structure, and to a achieve low-carbon production, circulation,
distribution and consumption. [2]
1.2 Features of low-carbon economy
Generally, the low-carbon economy has two essential features.
First, low-carbon includes production, exchange, distribution and consumption throughout the entire
process of social reproduction, the target points to minimize carbon dioxide and other greenhouse gas
emissions until achieving zero emissions, and thus get the most out of ecological and economic benefits;
Second, low-carbon simultaneously also includes energy use ecology of production, exchange,
distribution and consumption and throughout the entire process of social reproduction, in order to form
low-carbon energy, or even non-carbon energy national economic system, and guarantee the entire
economic society's clean development.
2.
The Necessity of Developing Low-Carbon Economy in China
2.1 The background on which low-carbon economy is proposed
Generally, on the formation and background of low-carbon economy concept, there are the following
three aspects.
First, the most direct and underlying reason of low-carbon economy proposal are to cope with climate
change. Anthropogenic emissions of carbon dioxide and other greenhouse gases has caused global
warming, in turn, it affected human survival and development of their own. Reduce the carbon intensity
will be the protection of our common objective need of the Earth.
Second, the developed countries have passed the development stage of using carbon-intensive energy
sources as main driving forces. In other words, to maintain the existing level of welfare of developed
countries, it is not necessary to rely on carbon-intensive energy sources, especially coal production and
consumption. Empirical studies show that China's heavy chemical industry of energy intensity is three
times more service industry. From the process of industrialization, the United Kingdom, the United
States and other countries have achieved fully industrialized and urbanized historical task in the century,
or we can say that, they have passed a massive consumption of coal, oil and other fossil energy
development stage. During the latter part of the industrialization stage, these countries, main purpose of
production is to meet the needs of people's lives, with the exception of car required consumption of
petroleum products, food, housing, etc. can not rely on carbon-intensive energy production and
consumption. Generally speaking, the industrialized economies of developed countries is the
"high-carbon economy", which has high energy consumption and high carbon emissions as the main
character, there is no country in the world can achieve industrialization depend on low-carbon energy
sources. For the developing countries including China, to get rid of poverty and raise the living
standards is still a historic task, and the first important matter. Therefore, the development of low-carbon
economy is a huge challenge to developing countries.
Third, the use up of coal, oil and other energy resources is an inherent request of developing low-carbon
economy. From the world's energy reserves, the fossil energy can also be exploited for a long time.
Shan Bao. Reading from Low-Carbon Economy. (11th 2009) (in Chinese)
Li Sheng, Chen Xiaochun. Low-Carbon Economy: Connotation System and Policy Innovation. (10th
2009). (in Chinese)
[1]
[2]
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Under the existing technical and economic level and mining, if coal can be used for many years, the oil
can be used for many years; the hydrogen in the water is endless for future resources. For all this, we
should also see that, the economic cost of using the fossil energy is getting higher and higher, the
specification is getting stronger and stronger. Therefore, the key point of developed countries to deal
with the climatic change is energy conservation, exploring and using renewable energy sources and
electric automobile etc. technologies. Considering the energy resources sustainable use, the research and
development of the third generation nuclear power technology, energy conservation technology, solar
energy, wind energy and other renewable energy source development use technology, hydrogen energy
technology, electric automobile and so on, have become the areas that developed countries expand
investment in.
2.2 The necessity of developing low-carbon economy in China
2.2.1 China's strong dependence on energy resources.
Although our energy structure continues to be optimized, but the primary energy is still the production
of coal. There is more coal, less oil and few gas resources, determines that coal will remain the main
primary energy in our future for quite some time. The coal belongs to the “high carbon” the energy, our
country does not have the condition resources of inexpensive use of international “low-carbon” energy
and the energy intensity product exports massively, and it also increased our country's Unit carbon
intensity. Under the constraint of “The United Nations Framework Convention on Climate Change” and
“The Kyoto Protocol”, carbon dioxide and other greenhouse gas emissions of development resources in
international negotiations on climate change mitigation measures and decomposition in fact also in
contention for emissions of this development. International energy products constantly raise the price, it
gets more and more high, survival, risk-resistant ability is getting worse, and that would seriously affect
the stability of our country's economic growth.
2.2.2 China's insufficiency on technical and research innovation capacity.
China's insufficiency of technical and research and innovation capacity, is the reality we have to face,
and also our greatest challenge in shifting from “high-carbon” economy to “low-carbon” economy.
Although “The United Nations Framework Convention on Climate Change” and “The Kyoto Protocol”
required the transfer of technology from developed countries to developing countries, but the
implementation is not optimistic. Since the Reform and Opening Up, the implementation of the “market
for technology” policy. However, automobile and other high technology content of the product markets
were occupied by foreign companies, we did not get much of core technology and intellectual property
rights. “Cash cannot buy the core technologies”, our country needs to develop the technologies
independently and so on, this became mutual recognition between people of insight. The developed
countries have not started long on these technologies, it is not a big gap between them and our country.
In recent years, China's renewable energy exploitation industry is rapidly increasing. If China increases
investment in this field, we can achieve it by leaps and bounds.
2.2.3 Carbon emission becomes new trade barrier,
In the global economic recession caused by financial crisis, the carbon emissions are becoming the new
green barriers in developed countries, and becoming a new weapon in the trade war to suppress the
advantages and limitations of the Chinese exports. Moreover, the carbon emissions will become an
important international strategic resources. China's place is in the low end in the industrial chain in the
international industrial division, resource and energy-intensive exports accounted for a larger scale,
which will be provided at the local strategy for the future development of the space industry. Finally, as
a result of the carbon emissions of greenhouse gases, environmental contamination caused serious
consequences, which hindered the development of our national economy.
3.
The Policy Measures of the Development of Low-Carbon Economy in Some
Developed Countries
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To meet the implementation of “The Kyoto Protocol” and other international treaty provisions on
climate change, the developed countries took the lead in the development of low-carbon economy, and
have achieved certain results. Emphasis on economic development, while at the same time contributing
to discharge low-carbon economy, and recognizing the rights and interests of the developing countries,
while at the same time for both developed and developing countries through further economic and social
changes in the pattern of development. [3]
3.1 Britain's policy measures in developing low-carbon economy
UK is one of the earlier countries started to explore on low-carbon economy , in a more systematic and
comprehensive climate change response policies, the policy is a comprehensive, systematic and
comprehensive features of the legislation, from a macro to the enterprise, among the various measures.
The UK is the most positive advocates and practitioners on controlling world's climate change, and also
the pioneer in this field. “The Kyoto Protocol”, the goal of which stipulated for European Union is the
greenhouse gas withdrawal reduces row of 8% to 2012 in 1990 foundation, “reduces the displacement
according to the European Union interior to share the agreement”, Britain's goal was in the level reduces
row of 12.5% to 2012 in 1990. But Britain formulates the domestic target is, to make every effort to
reduce in 2010 the carbon dioxide row of 20%, to reduce row of 60% to 2050, and achieve the
low-carbon economic development. To promote low-carbon economy through incentives, is a distinctive
way of the UK's climate policy . British carbon economic practice of energy and environmental policy
development and the transition to a low carbon economy is of great significance. First, climate change
tax (CCL) system. Climate change tax, i.e. energy use tax system is a core part of UK's overall strategy
on climate change. Climate change tax was enforced from 1 April 2001, in view of the different varieties
of the rate of different energy, the taxation object also has a detailed and specific requirements.
Government climate change tax revenue primarily through three channels: first, returned to the
enterprise is all climate change levy is a tax paid to the employees of the enterprises of the national
insurance lower 0. 3 percentage points; second is through “strengthening investment subsidies” project
encourages enterprises to invest in energy-saving and environmentally friendly techniques and
equipment; and third, for the establishment of carbon fund industry and public sector energy efficiency
Consulting offers free, on-site survey and design recommendations, and for small and medium-sized
enterprises in promoting energy efficiency.
Second, the Carbon Fund. Carbon Fund is the investment by the United Kingdom Government, by
enterprises to operate as an independent company, which was founded in 2001. The main sources of
carbon Fund is climate change tax, from the 2004/2005 onwards, the two new sources, landfill tax and
from the UK Department of trade and industry of small amounts of money.
3.2 Germany's policy measures in developing low-carbon economy
The main implementation of climate protection in Germany's high-tech strategy. In August 2006,
Germany has launched the first cover all policy areas of “The High-tech Strategy for Germany” with a
view to continuie to strengthen the innovation strength to Germany in the future of the tech market
ranked in the world. “High-tech strategy for Germany”, since the start of scientific and economic circles
for industrial research and development gave birth to future technologies raise 30 billion euros of private
capital, to Germany's technological innovation provides tremendous financial support. In order to
achieve the climate protection goals, from 1977 until now, the German Federal Government has
introduced five energy research projects, the latest issue of plan from 2005 to improve energy efficiency
and renewable energy development, and adoption of “high-tech strategy for Germany” provides fund
support.
[3]
Guo Yin, Wang Minjie. Present Situations and Trends of International Low-Carbon Economy
Developmeng. (11th 2009) (in Chinese)
369
4.
The Problems We Met in Developing Low-Carbon Economy
There are the following problems we met in developing low-carbon economy.
4.1 Our country is on the stage of rapid request of energy demand
China's industrialization, urbanization, modernization, is on the stage of rapid request of energy demand,
the development of high-carbon characteristics highlight the unavoidable emissions, sustainable
development and has become one of the greatest constraints. Our resources condition determines the
energy structure of coal-based, large thermal power station construction on environmental threats to the
inestimable.
4.2 Backward in industrial producing technology
The main body of China's economy is the secondary industry, which determines the energy consumption
of the main sectors of the industry, while industrial production technology backward exacerbated
China's economic characteristics of high-carbon.
4.3 Lack of technology innovation system
As a developing country, China's economic transition to a low-carbon from high-carbon by the biggest
constraint is the overall technological backwardness, technical research and development capacity is
limited, if rely on imported technologies to commercial channels, we need a huge amount of money
invested. Developed countries to adopt energy efficiency, low emissions as the core of the development
of low carbon revolution, investing in low carbon technologies, and industry, energy, technology, trade
policy is a major adjustment, and production before the commanding heights of preemption, and our
technical and financial constraints, the elaboration of international rules on cannot have more right to
speak. However, the development of low-carbon economy is to achieve sustainable development, the
transformation of the economic development model in a rare opportunity.
5.
Our Country’s Methods and Policy Options in Achieving Low-Carbon
Economy
5.1 Convert of economic development model
Achievement of low-carbon development first requires to adjust the economy, their requirements and
accelerate change in China's economic development, industrialization strategy overall requirements are
basically the same.
1. From the pursuit of speed of development, to emphasize the development of quality change from
dependence on exports and industry to promote economic, based on domestic demand and secondary
and tertiary industries, and pull together. China's greenhouse gas emissions in the 20% ~ 30% were
foreign demand stimulation of dependency of the current emission calculation method based on the
principle of the country in the international climate negotiations are facing great pressure. In addition,
the development of China's service sector is obviously not only substantially lower than developed
countries, but also significantly lower than the average for developing countries. The economic structure
of the return of rationalization will benefit from the change from high-carbon to low-carbon.
2. From the main reliance on material input, to rely on scientific and technological progress, improve the
quality of labor, management changes and create the same economic results, are physical products
(especially energy-consuming products) of mass production, and the more developed countries was
product design, marketing services, financial services, education, industry, and even cultural
entertainment, the production of material goods. The latter units of the added value of greenhouse gas
emissions.
3. From the industrialization of the incremental development by leaps and bounds, transformed from
industrialized countries to a certain extent can reduce industrialization process of greenhouse gas
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emissions, but the premise is better able to absorb the predecessors in industry, science and technology,
management, and other aspects of the creation of advanced results. Our country must adhere to Central's
new industrial road, for a number of areas.
5.2 Exploring low-carbon technologies
The value low-carbon technology's research development and the technological strength are feasible
according to the technology, the economical reasonable principle, the research proposed that our country
low-carbon development's technical road map, promotes the high energy efficiency low-carbon
emissions technical research and development and the promoted application, establishes the energy
conservation and the energy efficiency, the cleaner coal and the clean energy, the new and renewable
sources of energy as well as the natural carbon gradually collects and so on multiplex low-carbon
technology systems to speed up to the coal-burning highly effective power technology, catches and seals
the high performance electric power to save, the ultra highly effective heat pump, technical research and
development and so on hydrogen production, transportation and memory, form the technological
strength, provides the powerful support for low-carbon reforming and the growth way transformation.
Development of low-carbon economy is the key to low-carbon technology innovation capacity
determines our country can achieve low-carbon economy, including energy-saving and efficient use of
clean coal, oil and gas resources and coaled methane exploration and development, renewable energy
and new energy, carbon dioxide captures and storages areas to develop effective control of greenhouse
gas emissions, new technology, electric power, transportation, building, metallurgy, chemical,
petrochemical and automotive sectors. Experts estimate that only save carbon dioxide capture
technology that allows human emission reduction actions to reduce 30% of the cost. The replacement of
fuel, efficient use of energy, increases the utilization of renewable energy, carbon dioxide capture and
integration measures can effectively reduce emissions of greenhouse gases. The developed countries
have the mature low-carbon technology, our country must through the international consultation and the
cooperation mechanism, and the promotion developed country to our country's technical transfer, the
enhancement low-carbon technology international introduction, the digestion and two innovations. Our
country should participate in the international energy technology market and the carbon trading market
positively, promotes the sustainable development through each kind of incentive mechanism, and for
low-carbon technology, low-carbon product export formulation incentive mechanism.
5.3 Making low-carbon policies
Development of low carbon policies, the formation of low-carbon development of long-acting
mechanisms to address climate change legislation feasibility study in the relevant statute revision
process, increase climate change related articles, and gradually established a climate change regulatory
system. The development low-carbon economy supports our country to establish the carbon emissions
statistics to monitor and to manage the system, gradually setup area greenhouse gas emission standard
and inspection system; The research formulation drive low-carbon economic development's special
operational policy measures, set up development low-carbon economy the special fund; The research
establishment advancement low-carbon economic development's mechanism and the laws and
regulations safeguard system, at the right moment formulates the low-carbon economy promotion law;
The establishment scientific innovation mechanism, supports the technology development, the industrial
production demonstration and the achievement transformation; The improvement enterprise participates
in the environment, enhances public to realize and to strengthen the international cooperation and so on.
China should be targeted at different levels of development and regional features, select a number of
provinces, autonomous regions and municipalities, according to the low carbon economic development
in the different contents and objectives of the pilot work experience to exploration of low carbon
economic development path. Low-carbon economy will also need to incorporate into national economic
and social development and planning; in particular with a view to the development of low-carbon
economy will be incorporated into the development planning and focus on industrial development plan
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to establish a low-carbon economic development in the area model and the industrial mode.
5.4 Strengthening international cooperation
Strengthening of international cooperation, research and development form a low-carbon technologies in
the international negotiations on climate change, it is necessary to uphold the principle and the use of the
international community has reached the spirit of the Convention and files, on sustainable development,
common but differentiated responsibility, we must adhere to the principles and the attitude to actively
concession, but not radical, action should take the initiative and not blind faith, policies to be flexible
and keep pace with the times. Our country should advocate that developed countries must mandatory
emission reduction, the cost of developing a voluntary emissions reduction must be excessive emissions
in the history of the industrialized countries undertake to establish responsible developing country image.
Developed to developing countries, greenhouse gas emission reductions of capital and technology.
Through the climatic change international cooperation's new mechanism, the introduction, the digestion,
the absorption advanced suitable low-carbon technology participates in the formulation profession
energy efficiency and the carbon intensity international standard, the range pole, causes our country key
industry, the key field low-carbon technology, the equipment and the product achieves international
advanced and even the advanced standard.
6.
Conclusion
As the largest developing country in the world, our country is faced with emission reduction obligations
and to fulfill the right to development, the development of the dual mandate, and has become a low
carbon economy in the future the only way to achieve sustainable development, and developed a
low-carbon economy as we walk the road of low carbon development provides a valuable experience. In
the future, our country should continue to increase its energy conservation and emission reduction
working in national legal and policy-level support to encourage relevant local laws and regulations of
the formulation and implementation; as soon as possible on the development of renewable energy
business subsidy policies, on renewable sources of energy to develop reasonable price, so that the use of
clean energy business profitable in order to advance energy savings, optimizing energy structure;
accelerating the pace of industrial restructuring, strongly supporting the modern service industry, such as
the development of low-carbon industries, with a view to be in the new round of low carbon technology
revolution, the commanding heights of the occupation.
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