By Gao Shiji, Li Zuojun & Chen Jianpeng

Research Report Vol.18 No.2, 2016

The development of different countries shows government environmental regulatory system is a key part of environmental governance involving various parties, and also a basic system in modern states. For a long time, what causes frequent violation of environmental laws lies in the ineffective environmental regulation. Therefore, it is of urgency to reform China’s environmental regulatory system in order to deal with the persistent concern of environmental regulation failure, and to improve the regulatory function of the state in an aim to facilitate the establishment of the modern state system.

I. The historical development of pollution control and the building of environmental governance system indicate that the 13th Five-Year Plan period is a critical stage for China to work on environmental governance

1. The development of pollution control shows the 13th Five-Year Plan period will be a critical stage

In terms of major pollutants, their emission has shown a declining trend, thanks to strong policies during the 11th and 12th Five-Year Plan periods. Data show that some common pollutants reached the peak level and began to go downhill. As for air pollutants, emissions of sulfur dioxide (SO2) and nitrogen oxide (NOx) peaked in 2006 and 2011 respectively; while for the emission of water pollutants, like COD and ammonia nitrogen, the peak was reached in 2006. In addition, studies estimate some uncommon pollutants, including volatile organic compounds, ammonia and water pollutants caused by agriculture will peak in the next five to ten years or so. The 13th Five-Year Plan period will be an important turning point for the emission of major pollutants in China, when their emission as well as the total amount may peak. China’s industrial structure and trend of pollution emission show that, the period between 2010 and 2020 in China shares much resemblance with the 1970s in European and American countries, namely, the ending of pollution and beginning of treatment. Considering China’s green development from the relationship among economic growth, environmental quality and pollution emission, the gross emission of major pollutants in China will “detach” its relationship with economic growth during the 13th Five-Year Plan period, a critical turning point for realizing green development in China (Chen Jianpeng, Gao Shiji, Li Zuojun, 2014).

2. The 13th Five-Year Plan period is crucial for gradually optimizing China’s environmental governance system

From the perspective of building the environmental governance system, the report to the 18th National Congress of the Communist Party of China (CPC) proposed to build a beautiful country, and achieve lasting and sustainable development of the Chinese nation. It proposed to fully implement the overall plan for promoting economic, political, cultural, social and ecological progress, prioritizing ecological progress as important as the other four aspects in an unprecedented way. With the development of advancing ecological progress system since the 18th CPC National Congress, governments at all levels, are more politically determined and willing to protect the environment. With the implementation of the new Environmental Protection Law and Integrated Reform Plan for Promoting Ecological Progress, China is heading for a difficult and challenging stage at which ecological progress system including environmental governance system will be built. Recommendations for the 13th Five-Year Plan for Economic and Social Development, issued in November, 2015, explicitly proposed to reform environmental governance system, establish a emission permit system covering enterprises with fixed source of pollution, implement a vertical management system for environmental watchdogs under the provincial level to monitor and supervise law enforcement. Besides, it is of significance to establish a national real-time online environment monitoring system, perfect the system of disclosing environmental information, and build cross-regional environmental protection agencies. Predictably, the 13th Five-Year Plan period will witness theimplementation of a series of institutional arrangements under the framework of environmental governance, and China will gradually enjoy a perfect, effective and efficient environmental governance system, laying a solid institutional foundation for better ecological environment by 2030.

3. China faces tough challenges from ecological environment concerns during the 13th Five-Year Plan period. There will be a conflict between the pressing demand of the public for better environment and the slow improvement of environment

With respect to the changing trend of environmental quality, the 13th Five-Year Plan period will see the steady and continuous progress of most single environmental indicators in China, like the data of pollution emission and environmental monitoring data. However, attention should also be paid to the fact that the tipping points of major pollutants will be reached successively and the total emission will peak at a historical high. What’s more, the pollution situation will present a prominent feature of more compound pollutants. As environmental quality is affected by multiple factors, including accumulative effects of pollutants, climate, time and space, environmental situation may be complicated in different areas and different seasons. The public may feel that the environmental situation is the most complicated or even the “worst” during this period. Take air pollution in Beijing as an example. Though the annual concentration of PM2.5 declined between 2013 and 2015, air quality was getting worse for many people owing to the consecutive smoggy days in November and December 2015.

In 2013, China’s per capita GDP reached $6,959, exceeding 11,000 international dollars. Based on the World Bank standard, China can be counted as a high-middle income country. As the economy gears up and per capita income further climbs, the public will continue to attach importance to environmental pollution control and quality improvement. The development of advanced market economies shows environmental regulation has been strengthened along with the economic and social development as well as the rising per capita income. A related study also shows, since the late 1990s, environmental regulation in China has been enhanced in general (Li Gang et al, 2010), and will continue to improve. However, the public strongly calls for better environmental quality, while it will take a long time to realize the goal. Thus, the conflict between the aspiration of the public and environmental improvement will be there for a long time. Take air pollution as an example. Based on international experience and the trend of emission abatement of air pollutants in China, it will take another twenty years before the emission peaks and begins to be largely reduced, and environmental quality is up to the standard or improved fundamentally (Chen Jianpeng, Gao Shiji, Li Zuojun, 2013). Predictably, the above-mentioned conflict will show up, quite acute sometimes.

II. Significance of Reforming the Environmental Regulatory System During the 13th Five-Year Plan Period

1. More effective environmental regulation ensures pollution control during the 13th Five-Year Plan period

It is one of the major tasks for China to greatly reduce pollution emission in order to strengthen environmental governance during the period. As major polluting and energy-intensive industries successively reached the emission peak in the late 12th Five-Year Plan period, the emission of industrial pollutants shows a progressive or absolute decline. But pollutants in some industries will still remain stably high, especially those in transportation, which will be more difficult to solve with the increase of motor vehicles. According to related estimate, if existing sources of industrial pollution can meet the emission standard, major pollutants can be reduced by 40%―70% (Chen Jining, 2015; Sun Youhai, 2013). When it comes to transportation, pollution can be reduced by means of strict regulation and gradually raising the emission standard and limiting unqualified motor vehicles. As for urban sewage treatment, the 11th and 12th Five-Year Plan periods saw the large-scale construction of sewage treatment plants. The 13th Five-Year Plan period will be an important stage when these plants meet the emission standard. In general, making sure that pollution emission in all major fields meets the standard through more effective environmental regulation is the most significant and rewarding task for pollution control during the 13th Five-Year Plan period. ...

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