Abstract
This paper studies the validity evaluation problem of free allocation with preferential policy for initial emission permits (IEP), and establishes a validity evaluation model to evaluate the validity level for the free allocation of IEP based on the uniform price auction mechanism and model. Concretely, the definition of validity for the free allocation is presented, and the evaluation criterion and the evaluation process are given. Moreover, this evaluation model is applied to evaluate the validity level for the chemical oxygen demand (COD) in 14 counties and cities of Han River. Based on the evaluation results, several conclusions and suggestions are given on the pollutant discharging declare, environmental policy and free allocation method.
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