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Industrial Pollution in China and Remedial Policies

Published online by Cambridge University Press:  12 February 2009

Eduard B. Vermeer
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This paper presents an analysis of the adoption and implementation of Chinese environmental policies and pollution abatement measures. It sketches the role of the State Environmental Protection Administration (SEPA) and the recently adopted Five-Year Plan for the years 1996–2000 in coping with China's increasing problems of water, air and soil pollution. Remedial measures, which could be legal, administrative or economic, are analysed both as part of more general programmes of legal and economic reform, and as specific designs for local or sectoral problems. In previous articles, I have discussed several major environmental concerns: environmental damages, scarcity of water, control over emissions by township and village enterprises (TVEs), investments and management methods. The present contribution will focus on wider political issues, such as participatory policies, differences in implementation between regions and sectors, and most recent developments in industrial pollution problems and abatement measures. This survey cannot be complete: the limitations of space and the need to give some concrete examples make it necessary to be selective. Therefore, while some problems will be highlighted – such as water treatment in the Huai River basin, sulphur dioxide emissions, and pollution by TVEs – other problems such as noise pollution will be omitted.

Type
China's Environment
Information
The China Quarterly , Volume 156 , December 1998 , pp. 952 - 985
Copyright
Copyright © The China Quarterly 1998

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References

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22. Statistical materials on China's environment are incorrect for several reasons: their scope is limited to enterprises of county-level and above, and some of the most seriously polluting organizations and TVEs. But very few TVEs, private companies and companies belonging to urban street committees, tertiary and service industries report data, and pollution by urban households is not included. Reporting is incomplete or fraudulent, in order to avoid pollution charges or fines. People concerned have inadequate knowledge and training, and measurements are taken infrequently. “Inspection of sources of industrial pollution happens two to four times annually for wastewater, one or two times for waste gases and noise, and for fixed waste even less often. Whether this really reflects the emission levels of the enterprises is difficult to say. Regulations on where to have sample spots, how often to sample and with which equipment are lacking. This is particularly serious for waste gas measurements, which last only a few minutes … There should be a three-level network of inspection. Industrial wastewater inspection by the enterprise itself should occur once a week (and follow the production cycle) … and waste gas once a month (and a sample be about one cubic metre) … Inspection by the branch station should be once every quarter for wastewater and twice a year for waste gases, fixed waste and noise. The higher-level stations should inspect a sample of 30 to 50%:” Chaoyang, Lin, “Lun zongliang kongzhidi paiwujiankong” (“Discharge monitoring under quantity control”), Huanjing baohu (Environmental Protection), No. 3 (1997), pp. 5–7.Google Scholar

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28. Staffing problems are most serious in underdeveloped inland areas such as Yunnan and Guizhou, where many counties have only one or two people, sometimes less, in charge of environmental protection. However, the same is true for some counties in the developed coastal provinces of Jiangsu and Zhejiang. In Sichuan and some other provinces, most counties and municipalities do not have an independent environmental protection organization. See NEPA (eds.), Documents from the Fourth National Conference, p. 324. Yunnan, Guizhou, Sichuan, Guangxi, Tibet and Anhui have less than half the national average of environmental staff per capita, according to data from State Statistical Bureau, China Statistical Yearbook 1995 (Beijing: China Statistical Publishing House, 1995), pp. 60 and 691.Google Scholar

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31. In 1991, more than 4 million hectares of farmland in the Huai River basin were flooded, striking more than 50 million people and causing direct economic losses of more than 30 billion yuan. The next year, the river's main stream was seriously polluted by a wastewater spill of 150 million cubic metres, making the water unusable for industry and drinking. Nevertheless, more than a million residents in three cities had to drink seriously polluted water for more than half a month. The pollution lasted for two-and-a-half months, affecting 350 kilometres of the river's course as well as part of the Hongze Lake. See Tiensheng, Pan etal., “Inspection of and reflection on the ecological background of Huai River calamity during 1991–1992,” in China Population and Environment Society (eds.), China Population and Environment, pp. 125–129.Google Scholar

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33. NEPA, (eds.), Documents from the Fourth National Conference, p. 182.Google ScholarIn 1990, Chinese paper industries released 4 billion tonnes of wastewater, with 8 million tonnes of organic matter, 800,000 tonnes of residual alkali, and 2 million tonnes of biological oxygen demand (BOD) (1990); by 1996, Chinese paper industries were responsible for one-sixth of China's industrial wastewater and one-quarter of its BOD, Huanjing baohu (Environmental Protection), No. 7 (1997), p. 9.Google Scholar

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35. The main problems are that they are levied on the single highest pollutive element only, charges are only half or less of treatment costs, costs may be passed on, and control of actual levels of emissions is weak. See, for example, Shenghong, Ran, “Huanjing baohu jizhong jingji shouduandi bijiao” (“Environmental protection and comparison of its economic methods”), Huanjing baohu (Environmental Protection), No. 4 (1996), pp. 30–32, andGoogle ScholarBangshan, Wu, “Qianxi woguo paiwu shoufei zhidu shishizhongdi wenti” (“Problems in the implementation of our country's pollution discharge fee system”), Huanjing baohu (Environmental Protection), No. 10 (1996), pp. 11–12.Google Scholar

36. Nevertheless, the investment projections of US$6.3 billion in 1996 rising to US$15.2 billion in 2000 have been taken seriously by some. See, for example, Saywell, Trish, “True grit,” Far Eastern Economic Review, 26 06 1997, quoting Environmental Business International (San Diego) and a report by Sofres Consulting Asia Pacific (Hong Kong); also quoted in China Trade Report, 04 1997.Google Scholar

37. China Daily Business Weekly, 11–17 05 1997.Google Scholar

38. Such investments totalled 3.78 billion yuan in 1995 and 3.66 billion yuan in 1996. As these were calculated at current prices, the real decrease may have been about 10%. State Statistical Bureau, Zhongguo tongji zhaiyao 1997 (A Statistical Survey of China 1997) (Beijing: Statistical Publishing House, 1997), p. 149.Google Scholar

39. CCICED Newsletter, Vol. 3, No. 1 (1997), p. 4, quotes China Environment News as to what “China will invest in environmental protection.”Google Scholar

40. By the end of 1995, 61% of the new industrial projects initiated at the county-level and above went through EIA, and 87% applied the “three-synchronous” procedure. 480 cities (out of 640) registered discharges of pollutants, of a total of 77,000 enterprises; 240 cities (out of 640) issued discharge permits to a total of 14,000 enterprises. NEPA, (eds.), Documents from the Fourth National Conference, p. 290.Google Scholar

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42. The first indicators are encouraging. 1995 and 1996 realized investments in pollution abatement measures financed from technical transformation funds were 5.4 and 6.2 billion yuan, respectively, increasing from 1.6 to 1.7% of total expenditures from these funds. However, the share of energy saving projects declined from 2.3% to 2.1%. See State Statistical Bureau, A Statistical Survey of China 1997, p. 43.Google Scholar

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49. For treatment of black wastewater in a typical 10,000 tonnes/year paper factory, with an investment of 12 million yuan and annual operating costs of 3.8 million yuan, 70 to 72% of the alkali can be recovered and net profits are 1.26 million yuan and a decrease of chemical oxygen demand (COD) of 6,000 tonnes, and recovery of 2,800 tonnes of alkali. For treatment of intermediate water, a 5,000 tonnes/year factory needs 2 million yuan investment and annual operating cost of 570,000 yuan to achieve 80% COD reduction and water recovery rate. For the treatment of white water, the usual techniques reduce suspended matter (generally 0.8 to 1 gr/l) by 90% and COD by 60%; if the entire Taihu Lake area used this technique, it would need an investment of 40 million yuan, save 100 million yuan in water fees, reduce suspended matter by 100,000 tonnes, and create an annual net profit of 52.4 million yuan. For maize, in a 10,000 tonnes/year brewery, an investment of 7.5 million yuan and annual operating costs of 4.4 million yuan result in 95% reduction of COD and net annual profits of 2.1 million yuan and 10,000 tonnes of feed. Sugar cane treatment is less profitable: annual treatment of 70,000 tonnes of distillery waste requires an investment of 1.7 million yuan, with operating costs of 195,000 yuan, and annual profit of 175,000 yuan. Compound fertilizer plants using the level balance technique which produce 10,000 tonnes/year need an investment of 150,000 yuan and 96,000 yuan annual operating costs, with a net profit of 540,000 yuan and ammonia waste reduction of 79%. Those using prill towers and producing 20,000 tonnes need an investment of 1,930,000 yuan and annual expenses of 630,000 yuan, with annual profits of 1,290,000 yuan, thereby reducing 5 million tonnes of water per day, sulphates by 45,000 tonnes/day, phenol by 2,000 tonnes/day, and increasing ammonia compounds by 2,000 tonnes/year. Leather industries with a new technique requiring 100,000 yuan investment can obtain annual profits of 137,000 yuan and reduce chromium waste by 312 tonnes. For electroplating industries, various techniques result in very high profits with very low investment. Yongchao, Ke, “Sanhu shui wuran zhuangkuang ji wuran fangzhi jishudi fenxi” (“Analysis of water pollution in the three lakes and pollution treatment techniques”), Huanjing baohu (Environmental Protection), No. 1 (1997), pp. 44–46.Google Scholar

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54. Guocheng, Zhou, “Woguo chengshi feishui chuli gongchengzhong yinjin jishu he shebeidi xianzhuang yu jidian kanfa” (“Present situation of imported techniques and facilities in water treatment projects in China's cities and some views”), Jishui paishui (Water Supply and Drainage), No. 22 (1996), p. 6.Google Scholar

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56. The area affected by acid rain (pH below 5.6) increased from 1.75 million square kilometres in 1985 to 2.8 million in 1993. Acid rain is expanding northward and westward. Over 1 million square kilometres are affected by acid rains with pH value below 4.5, China Environment News, 08 1995, p. 5. Most seriously affected are central China and Sichuan (Chongqing), but also some coastal cities. Forty-three out of 84 monitored cities in China are affected. Acid rain is worst in Changsha, with an annual average pH value of 3.54, and in Xiamen, Ganzhou and Yibin, all with average values below 4.5,Google ScholarChina Environment News, 10 1995, p. 6, and July 1997, p. 2.Google Scholar

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60. The quantities emitted by TVEs in 1995 had to be estimated, as they were not included in regular statistical reporting, and the scope of data differed between provinces. When it was decided to control emissions by the year 2000 at the 1995 level, the problem of measurement of the base year became acute. In 04 1996, a new control plan was drawn up. See China Environmental Yearbook Editing Committee and Society (eds.), China Environmental Yearbook 1996, p. 115.Google Scholar

61. Between 1990 and 1996, energy consumption, almost 75% of which was in the form of coal, increased by 41.4% and energy elasticity of demand was 0.4 (calculated from A Statistical Survey of China, 1997, p. 109). The share of coal is expected to drop to 71.6% of primary energy, and its elasticity from the present 0.38 to 0.32 by 2000. Xinhua, 28 May 1997.Google Scholar

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66. Zhongguo xinwenshe (China News Service), 28 08 1997.Google Scholar

67. One author estimates that TVEs will be responsible for about 35% of industrial emissions of SO2 in 2000, implying a total of 8.4 million tonnes. Cao, Fengzhong, “Woguo xiangzhen qiye daqi, shui wuran ji duice” (“Air and water pollution by our country's TVEs and remedies”), Huanjing baohu (Environmental Protection), No. 5 (1997), pp. 3–6. This estimate may have been based on the findings (so far, unpublished) of the 1995 national survey of pollution by TVEs, which came too late to be incorporated in the Ninth Five-Year Plan.Google Scholar

68. Even in Shanghai, about half of all households still use small coal stoves to cook their meals. “This contributes to chronic bronchitis, pulmonary emphysema, and lung cancer,” China Environment News, 08 1995, p. 7.Google Scholar

69. Report by Premier Li, Peng “China's policy on energy resources,” Xinhua news release dd. 25 05 1997, tr. in BBC FE/2956 S1. The electricity price was raised to 0.36 yuan per kWh in May 1997.Google Scholar

70. NEPA (eds.), Documents from the Fourth National Conference, pp. 311–323.Google ScholarBoth had already been proposed by NEPA chief Qu Geping in 1991: see his series of articles in Huanjing baohu (Environmental Protection), Nos. 3–5 (1991).Google Scholar

71. Huanjing baohu (Environmental Protection), No. 1 (1997), p. 41; China Environmental Yearbook Editing Committee and Society (eds.), China Environmental Yearbook 1996, pp. 154–155.Google Scholar

72. China Environmental Yearbook Editing Committee and Society (eds.)Google Scholar, Ibid. pp. 483–85.

73. Ibid. pp. 483–88.

74. Zhao, Jiarong, “Nuli kaizhuang ziyuan zonghe liyong gongzuodi xin jumian” (“Strive to make a break-through in comprehensive utilization of materials”), Huanjing baohu (Environmental Protection), No. 2 (1997), pp. 36–37. The author sees major problems with awareness and understanding, stagnating legislation, weak management (notably on standardization, inspection and reporting) and the absence of an information network.Google Scholar

75. NEPA (eds.), Documents from the Fourth National Conference, p. 411.Google Scholar

76. Hu, Xiuren, “Feiqi boli huishou liyongdi diaocha yanjiu” (“Investigation of recovery and use of waste glass”), Huanjing baohu (Environmental Protection), No. 1 (1997), p. 43.Google Scholar

77. Huanjing baohu (Environmental Protection), No. 2 (1996), pp. 43–45.Google Scholar

78. Huanjing baohu (Environmental Protection), No. 7 (1997), pp. 16–17. The survey has data for individual cities.Google Scholar

79. According to a 1995 study, compliance rates for implementation of the “three-synchronies” varied between 95.2% for provincial-level projects to 90.4% and 84%, respectively, for municipal- and county-level projects. Of those where it was implemented, 95% of the provincial-level projects were up to standard, but only 84 and 82%, respectively, of municipal- and county-level projects. China Environmental Yearbook Editing Committee and Society (eds.), China Environmental Yearbook 1996, p. 37.

80. Guojia, huanbaoju ziran baohusi, Zhongguo xiangzhen gongye huanjing wuran jiqi fangzhi duice (Environmental Pollution by Township and Village Industries and Remedial Treatment Policies) (Beijing: Zhongguo huanjing kexue chubanshe, 1995), pp. 18–19.Google Scholar

81. China Environmental Yearbook Editing Committee and Society (eds.), China Environmental Yearbook 1996, p. 172.Google Scholar

82. In August 1996, the State Council ordered local authorities to close down small paper factories (output below 5,000 tonnes/year), leather factories (output below 30,000 hides/year), dyeing factories (below 500 tonnes/year), and chemical, electroplating, asbestos and other factories with antiquated polluting technologies. Local leaders of government and companies were threatened with prosecution if they did not comply. Huanjing baohu (Environmental Protection), No. 9 (1996), pp. 2–4.Google Scholar

83. Cao, Fengzhong, “Air and water pollution by our country's TVEs and remedies,” pp. 3–6.Google Scholar

84. 17,000 enterprises were shut down in Henan province alone. 259 seriously pollutive larger industries (mostly in paper and alcohol) in the Huai River basin were warned that if they could not meet discharge-standards before a certain date, or if they “illegally change their names, or shift the pollution problems to other enterprises, people can report them to the local EP bureaus.” Xinhua, 6 01 1997 and 17 March 1997.Google Scholar

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