An extended input-output analysis of links between industrial production and water pollutant discharge in the Yangtze River Economic Belt

Abstract

Industrial production is key to economic development, yet it significantly influences the water environment. Recent literature has mainly focused on economic development and water pollution separately, lacking an integrated assessment. This study aims to clarify the links between industrial production and water pollution and its driving factors in the Yangtze River Economic Belt (YREB) in 2012–2017 based on environmentally-extended input-output analysis and structural decomposition analysis, thus identifying key regions and sectors for pollution reduction. The results revealed that manufacture of foods and tobacco (MFT) and chemical industry (CI) in Anhui, Jiangsu, Jiangxi, Hunan, and processing of petroleum, coking, processing of nuclear fuel (PPCN) in Chongqing were the primary sources of total chemical oxygen demand (COD), ammoniacal nitrogen (NH3–N), total nitrogen (TN), and total phosphorus (TP) discharges. The structural decomposition analysis (SDA) results demonstrated that the discharge intensity effect caused a decrease of 7.91 Mt, 0.22 Mt, 0.25 Mt, and 0.03 Mt of the indirect COD, NH3–N, TN, and TP discharge, while the scale effect led to an increase of 1.95 Mt, 0.26 Mt, 0.24 Mt and 0.03 Mt of them in 2012–2017. According to the analysis, water pollution reduction and industrial structure modernization are needed in the YREB. The technological upgrading of highly polluting industries and the structural adjustment between traditional highly polluting industries and high-tech industries were the focus for achieving green development of the YREB, especially in Anhui, Hubei, Guizhou and Yunnan. The establishment of green industrial parks, the development of environmental regulations, and the implementation of supply-side reform policies can benefit water pollution reduction and sustainable development.