Abstract

Researches on standards of ecological compensation will raise awareness of protecting the ecological environment in the basin and maintain the economy’s and society’s sustainable development. This paper constructed an ecological compensation model on the Liuxi River Basin in Guangzhou, China. Data and statistics were acquired from the statistical yearbook in Guangzhou Statistical Information Network, including the total GDP, total wastewater discharge amount and total population of Guangzhou for 13 years (1995, 2000, 2005–2015). Then, SPSS was used to fit the scatter plot of volume of wastewater discharged per capita and GDP per capita, and the most accurate regression equation was selected. Most importantly, an ecological compensation model was constructed based on emission rights and it was then used to calculate the annual eco-compensation fee for Conghua, where the river’s upper part is located. The results showed that the amount of ecological compensation in 2017 was 33.821 billion Chinese Yuan, which should be used to compensate Conghua for the emission rights it had given up for protecting water quality of the Liuxi River. This study provided an effective reference to the government’s decision on continuous improvement of the “Guangzhou Ecological Compensation Plan for Liuxi River Basin”.

Highlights

  • Since the Opening up and Reform, China’s economy has achieved impressive growth, leaping from 13th place in 1980 to the 2nd largest economy in the world (Hu, 2012)

  • The results showed that the amount of ecological compensation in 2017 was 33.821 billion Chinese Yuan, which should be used to compensate Conghua for the emission rights it had given up for protecting water quality of the Liuxi River

  • This study provided an effective reference to the government’s decision on continuous improvement of the “Guangzhou Ecological Compensation Plan for Liuxi River Basin”

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Summary

Introduction

Since the Opening up and Reform, China’s economy has achieved impressive growth, leaping from 13th place in 1980 to the 2nd largest economy in the world (Hu, 2012). On the contrary, Zhang (2008) suggested that the policies which restrict pollution mainly in water sources and upper reaches of river basins generates additional costs due to the treatments of the contaminants. He developed a different model in which lower reaches ought to subsidize the upper reaches to compensate for the economic losses caused by the reduction of pollutant rights due to restrictions. The ecological compensation model of the upstream stream of the Liuxi River Basin in Guangzhou is discussed, based on the idea that the right to pollution is the right to development. The study is hoped to provide references for the improvements in ecological compensation method in this area

Emission Rights
Basic Ideas
Briefing of the Liuxi River Basin
Calculation of the Price of Emission Rights
Scatter Plot and Analysis
Calculation and Analysis
Calculation of the Total Emission Right of Conghua
Determination of the Price of Emission Rights of Conghua
Calculation of Ecological Compensation Value in Conghua
Findings
Discussion
Conclusion
Full Text
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